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Determinants of market participation among smallholder teff farmers, empirical evidence from central Ethiopia

Atinkugn Assefa Belete, Abibual Getachew Nigatu

2023Environmental Development20 citationsDOIOpen Access PDF

Abstract

The livelihood of many Developing-world rural households depends on agricultural productivity. Commercializing smallholder agriculture is a crucial step in advancing the economic development of most developing nations, including Ethiopia. Although having a lot of production and marketability potential, Teff crop marketing hasn't received enough attention. Therefore, the primary objective of this study is to identify variables that affect smallholder Teff producer-farmer decisions regarding market participation as well as the amount of Teff sales in central Ethiopia. For this study, primary data were acquired from 355 Teff producer farm households who were chosen at random throughout the 2022/23 production seasons. Descriptive statistics and Probit and Tobit censored models were employed to analyze the data. The result of the survey indicates that out of a total of 355 Teff producers, 146 households are participants and 209 households are non-participants in Teff crop output. Extension contact, output, and membership in farmer organizations had an impact on households' participation decisions as well as their level of involvement. According to the study, it is necessary to address significant socioeconomic and resource issues to increase the level of market involvement of smallholder farmers in the studied area. Policy interferences that pursue improving these factors are very important to market participation.

Topics & Concepts

Tobit modelLivelihoodProductivityProbit modelProduction (economics)ProbitBusinessDeveloping countryDescriptive statisticsSocioeconomic statusAgricultural economicsAgricultureOrdered probitEconomicsGeographyEconomic growthPopulationArchaeologySociologyMathematicsEconometricsStatisticsDemographyMacroeconomicsAgricultural Innovations and PracticesAgriculture and Rural Development ResearchAgriculture, Land Use, Rural Development
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