Cocoyam marketing in south east nigeria

Project Abstract

<p> Cocoyam is highly perishable and considerable economic losses occur after it is harvested.<br>This is as a result of rot, sprouting and other physiological changes. These losses could be<br>reduced through efficient storage, processing and marketing. This study is about economic<br>study of cocoyam marketing in south-east Nigeria. It specifically ranked market participants<br>preference for cocoyam cultivars and the reasons for such preferences. It showed the main<br>marketing channels and socio-economic and institutional factors affecting the choice of<br>marketing channels.<br>It showed the structure and conduct of cocoyam marketing and socioeconomic<br>and institutional factors affecting the volume of cocoyam marketed. It estimated<br>the costs and benefits of cocoyam marketing as well as the net income of six storage<br>methods. It assessed the effectiveness of six storage methods. The study was guided by null<br>hypotheses that socio-economic and institutional factors did not determine the choice of<br>marketing channels; that socio-economic and institutional factors did not determine volume<br>of cocoyam marketed; that the mean income of farmers, wholesalers and retailers did not<br>significantly differ and that the mean cocoyam rot of the six storage methods did not<br>significantly differ. A total of 260 marketers comprising 100 producers, 60 wholesalers and<br>100 retailers were selected through stratified random sampling techniques. Data were<br>collected from both primary sources. Primary data emanated from various questionnaires and<br>weekly/monthly monitoring of the six storage methods. Descriptive statistics such as tables,<br>charts, percentages and mean and inferential statistics such net income analysis, four firm<br>concentration ratios, Herfindahl-Hirschman Index and Gini-Coefficient, Multinomial logit<br>regression model, correlation analysis, Ordinary least square regression model and Analysis<br>of Variance were used to achieve the objectives. The results showed that producers,<br>wholesalers and retailers preferences for cocoyam cultivars depended on culture and food<br>pattern more than anything else. It also showed that four firm concentration ratios and<br>Herfindahl-Hirschman Index did not indicate oligopolistic behavior although their Ginicoefficient<br>showed unequal distribution of market sale. The average net income of producers,<br>wholesalers and retailers per year were ₦204,246, ₦3,650,000 and ₦474,000 each<br>respectively while the net income of the six storage methods were ₦56.92, ₦47.96, ₦47.80,<br>₦43.36, ₦15.25 and ₦3.00 per kg respectively. Approximately 33% of the variations in the<br>volume of cocoyam marketed were explained by socio-economic and institutional variables.<br>The multinomial logit regression analysis has R2 value of 0.56 and showed that age and<br>storage cost were significant (P &lt; 5%).The correlation results for objectives iii and vi showed<br>that distance to market, family labour, size of land allocated to cocoyam income from other<br>sources and purpose of marketing were significant at (p &lt; 0.001) and thus contribute to<br>improvement in marketing. The Analysis of Variance (ANOVA) showed statistically<br>significant difference (P &lt; 0.01) in the mean income of farmers, wholesalers and retailers as<br>well as the mean disease severity of the six storage methods. So, the first, second, third and<br>fourth hypotheses were rejected, while the alternatives were accepted. The study therefore,<br>recommended that government should build the capacity of market participants through<br>seminars. Additionally financial/technical support should be provided especially to the<br>commercial farmers. There is also need for agricultural-chain partnership between the<br>farmers and processors. <br></p>

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