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MODELLING COOPERATION IN ORGANIC FARMING IN LATVIA
Abstract
Organic farming in Latvia is becoming more and more popular. The number of certified organic farms in Latvia increases annually. In 2016, the number of certified organic farms was 4147. The number of companies offering organic products as well as the number of consumers who are willing and able to buy these products is increasing. However, organic products are relatively expensive and less affordable than conventional products, which makes it difficult for farms to sell their produce, thus hindering the development of the regions. Therefore, co-operation can be one way of dealing with such a problem because not all farmers can be entrepreneurs and sell their products in the market. A survey of organic farming enterprises has been conducted in order to find out their opinions of cooperation and collaboration with other farmers. After analysing all the data, it has been concluded that only 15% are the members of any kind of cooperation, however more than a half has expressed the wish to collaborate. Applying the Analytic Hierarchy Process method (AHP), three scenarios have been made, according to which organic farming enterprises should work in order for the industry to develop. Based on the opinions of experts, organic farming in Latvia would develop if the enterprises were involved in cooperation.
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