Smallholder potato producers’ market orientation: the case of Tiyo district, Arsi zone, Oromia, Ethiopia

Abstract

AbstractThis research is aimed at analysing the determinants of smallholder Potato producers’ market orientation and, their market performance in Tiyo district. For this study about 209 sample smallholder producers were selected randomly from five kebeles (peasant associations) from Tiyo district. The data were collected in 2022 production year. Descriptive statistics and an econometric model of the ordinary least square method were used to analyse the data. The Market Orientation Index of Potato producers was found to be 0.2963 revealed that farmers are moderately market orientated in potato production. The findings revealed that about 58% of the total gross market margin goes to the middlemen while 42% of total gross market margin goes to producers. The important factors including age, family size, farm size, cooperative membership, and livestock ownership excluding oxen and equines were found to be significantly affecting market orientation of smallholder potato producers in the study area. Lack of Fair sale price due to brokers, lack of market information, low price of the product, lack of market, Perishability of the product, poor linkage with other value chain actors, lack of storage facility, and lack of transportation facility were subsequent marketing problems of smallholder Potato producers in the study area The findings of this research can be used for a policy aiming at improving farmers’ cooperative development, illuminating illegal brokers, strengthening market linkages among Potato value chain actors, developing product promotion centre to enhance the development of potato production and marketing which improves farmers’ market orientation and performance in the country.

Keywords

• Market orientation
• market performance
• potato
• ordinary least square
• Tejada Manuel; Universidad de Sevilla; Seville; Spain
• Science