Social networks for the sustainability of the dairy sector: The role of cooperatives

The dairy sector in Tunisia is suffering from a lack of coordination and cooperation between the stakeholders. This study suggests cooperatives as a solution to better manage the supply chain. The analysis is based on the social networking paradigm to understand the structure and conduct of the dairy value chain with a focus on trust as key determinant of coordination between stakeholders. Two groups in one region and with different institutional arrangements were investigated. One group is composed of stakeholders organized into a cooperative, while the second was composed of unorganized stakeholders. Using a Participatory Rural Appraisal (PRA) approach we find evidence that cooperatives help stakeholders build trust, be better connected and reduce conflicts and problems among actors in the dairy value chain.