Operating Performance Analysis on Farmers’ Associations in Yunlin Area Implementation of Agricultural Financial Law

The results show that the operation performances in fund management, non-performing loans diminution and risk management enhancement are improved significantly in the credit department in Yunlin after the financial regulation reform. The performance of the supply and marketing department is also enhanced because the reform provides incentives for the decision makers of the associations to transform the department into a main source of revenues by promoting high-value and locally branded agricultural products. The effective application of inputs by the insurance department to maximize outputs for the association has been growing continuously after the financial reforml. However, the extension department still needs improvements in using their budget wisely to assist farmers in exploring development opportuinities. Overall speaking, the agriculture financial reform has brought positive influences on the operation of farmers'' associations which lead to beneficial results for farmers in the Yunlin area. However, it is still of vital importance for the inefficient associations to improve their operation to bring the reform into a full play.