This study was aimed at analyzing value chain of Groundnut in Pawi Woreda, Metekel Zone, Beni-shangul Gumuz Region with specific objectives of identifying groundnut value chain and examining the performance of actors in the chain; analyzing the determinants of groundnut supply to the market in the study area; and identifying and map marketing channels. The data were collected from both primary and secondary sources. The primary data for this study were collected from 155 farmers, 30 traders and 25 consumers through using questionnaires.
Descriptive statistics and Econometrics models were used to analyze the collected data. Results show that the main groundnut value chain actors in the study area groundnut producers/farmer, input suppliers, local assembler, wholesalers, retailers, Processers and consumers. It is also found out that groundnut passes through several intermediaries with little value being added before reaching the end users. The chain is governed by wholesalers and Processers who have capital advantage over the other chain actors. Therefore, farmers are forced to capture a lower share of profit margin.
The result of OLS regression model indicated that marketable supply is significantly affected by sex of household head, age of household head, agricultural extension service, owner ship of transport facility, distance of the nearest market and quantity of groundnut produced. Therefore, policy aiming at increasing farmers’ access to modern inputs, developing and improving infrastructure, gender consideration, and improving extension system are recommended to accelerate the chain’s development.
Table of Contents
CHAPTER 1. INTRODUCTION
1.1. Background of the Study
1.2 Statement of the Problem
1.3 Research Question
1.4 Objective of the Study
1.5 Significance of the Study
1.6 Scope and Limitation of the Study
1.7 Organization of the Study
CHAPTER 2. LITERATURE REVIEW
2.1 Concept of Value Chain
2.1.1. Major concepts guiding agricultural value chain analysis
2.1.2. Effective demand
2.1.3. Production
2.2. Value Chain Governance
2.2.1. Value chain upgrading
2.2.2. Market and marketing
2.2.3. Marketing efficiency
2.2.4. Marketing channel
2.2.5. Marketing Performance
2.2.6. Measuring value chain
2.3. Benefit of Value Chain in Agricultural Sector
2.3.1 Developing value chain systems towards the benefits of the poor
2.4. Development of Market-Driven Groundnut Value Chain
2.5. Review of Empirical Studies
2.5.1. Value chain approach
2.5.2. Determinants of marketable surplus
2.6. Conceptual Framework
CHAPTER 3. RESEARCH METHODS
3.1 Description of the Study Area
3.2. Types, Sources and Methods of Data Collection
3.3 Sample Size and Sampling Technique
3.4. Methods of Data Analysis
3.4.1. Descriptive and inferential statistics
3.4.2 Value chain analysis
3.4.3. Analysis of groundnut value chain performance
3.4.4. Econometric models
3.4.5. Factors affecting market Supply
3.5. Hypothesis, Variable Selection and Definition
3.5.1. Dependent variable
3.5.2. Independent variable
CHAPTER 4. RESULTS AND DISCUSSION
4.1. Socio-demographic characteristics
4.1.1. Farmer’s demographic characteristics
4.1.2. Land size and land use
4.1.3. Access to markets and other services
4.1.4. Proximity to markets
4.1.5. Access to market information
4.1.6 Use of Credit
4.1.7Access to extension services
4.1.8. Farm Inputs utilization
4.1.9. Household resource ownership
4.1.10. Production, storage and marketing of groundnut
4.2 Value Chain Analysis
4.2.1. Actors and their role in Groundnut value chain
4.2.2 Primary actors
4.2.3 Supporting actors
4.3. Value Chain Governance
4.4 Marketing Channels and Performance Analysis
4.3.1 Groundnut Marketing Channel
4.4.2. Analysis of market performance
4.5 Econometric Model Outputs
4.5.1. Determinants of groundnut market supply
4.6. Challenges and Opportunities in Groundnut Value Chain
4.6.1. Production constraints
4.6.2. Production opportunities
4.6.3. Marketing constraints
4.6.4. Marketing opportunities
CHAPTER 5. CONCLUSION AND RECOMMENDATIONS
5.1. Summary and Conclusion
5.2. Recommendations
CHAPTER 6. REFERENCE
CHAPTER7. APPENDIX
Research Objectives and Key Topics
This study aims to conduct a value chain analysis of groundnut in Pawi Woreda, Metekel Zone, Ethiopia, with the primary objective of identifying the value chain, examining actor performance, analyzing determinants of market supply, and mapping marketing channels to provide insights for improving productivity and farmer income.
- Identification and mapping of groundnut value chain actors and marketing channels.
- Analysis of factors influencing the quantity of groundnut supply to the market.
- Evaluation of marketing performance, costs, and profit margins of different actors.
- Identification of production and marketing constraints and opportunities for development.
Excerpt from the Book
1.1. Background of the Study
Agriculture is a core driver of the Ethiopian economy. It accounts for about 42 percent of the Gross Domestic Product (GDP), 77 percent of employment and more than 85 percent of the total population that is directly or indirectly engaged in agriculture and generates about 84% percent of the foreign exchange earnings of the country. The role of agriculture in securing the food needs for the fast growing population is considerable (ATA, 2016).
Despite having all this importance, agriculture continues to face a number of problems and challenges. The major ones are adverse climatic conditions, lack of appropriate land use system resulting in soil and other natural resources degradation, limited use of improved agricultural technologies, the predominance of subsistence agriculture and lack of and/or absence of business oriented agricultural production system, limited or no access to market facilities resulting in low participation of the smallholder farmers in value chain or value addition of their produces (Bezabih, 2010).
Ethiopia has immense resources for agricultural production. According to CSA (2017/18) Meher Season Post-harvest Crop Production Survey indicate that a total land area of about 12,677,882.27 hectares are covered by grain crops i.e. cereals, pulses and oilseeds, from which a total volume of about 306,126,383.06 quintals of grains are obtained, from private peasant holdings. According to the above report from the total production of grains crop cereal cover 80.71% of hectares, pulses cover 12.61 % of hectares and oilseed cover 6.68% of hectares. It was first introduced to Eritrea and then to Hararghe in early 1920s by Italian explorers (Yebio, 1984).
Summary of Chapters
CHAPTER 1. INTRODUCTION: Provides an overview of the role of agriculture in the Ethiopian economy, details the specific context of groundnut production, and outlines the problem statement and research objectives.
CHAPTER 2. LITERATURE REVIEW: Discusses the theoretical foundations of value chain analysis, value chain governance, and empirical studies relevant to agricultural market performance and supply determinants.
CHAPTER 3. RESEARCH METHODS: Describes the study area, data collection processes, sampling techniques, and the econometric models applied to analyze the gathered data.
CHAPTER 4. RESULTS AND DISCUSSION: Presents a detailed analysis of the socio-demographic characteristics of respondents, evaluates the groundnut value chain performance, discusses econometric model outputs, and identifies production and marketing constraints.
CHAPTER 5. CONCLUSION AND RECOMMENDATIONS: Synthesizes the main findings of the study and proposes policy-oriented recommendations to enhance groundnut production and value chain efficiency.
Keywords
Groundnut, Value chain, Pawi Woreda, Marketable supply, Marketing margin, Smallholder farmers, Agricultural economics, Ethiopia, Market performance, Production constraints, Econometric model, Value addition, Market channels, Socio-demographic characteristics, Extension services.
Frequently Asked Questions
What is the core focus of this research?
The research focuses on analyzing the groundnut value chain in Pawi Woreda, Metekel Zone, Ethiopia, to understand the flow, performance, and challenges faced by different actors involved in the sector.
What are the key areas covered in this thesis?
The thesis covers the socio-demographic profile of producers, the identification of value chain actors, marketing channel performance, and the econometric analysis of factors influencing groundnut supply to the market.
What is the primary objective of this study?
The main objective is to identify and map the groundnut value chain, examine the performance of actors, and analyze the determinants of marketable supply to provide recommendations for improving the sector.
Which methodology was employed for the analysis?
The study utilized descriptive statistics for demographic and performance data and multiple linear regression (OLS) models to identify factors influencing the volume of groundnut supplied to the market.
What topics are discussed in the main chapters?
The main chapters include an introduction, a review of literature on value chain theory, a detailed methodology, results and discussion on actor roles and governance, and finally, conclusions with policy recommendations.
Which keywords best describe the paper?
The most important keywords include Groundnut, Value chain, Pawi Woreda, Marketable supply, Marketing margin, Smallholder farmers, and Econometric model.
How is the market supply affected by household head characteristics?
The research found that both the age and sex of the household head have a significant negative impact on the quantity of groundnut supplied to the market.
What impact does extension service have on groundnut production?
The study indicates that access to agricultural extension services positively and significantly influences the volume of groundnut supplied to the market.
What are the major marketing constraints faced by producers?
Producers face issues such as unfair pricing, cheating in weighing, limited access to market information, and poor infrastructure for storage and transportation.
- Citation du texte
- TIZAZU AMBAW (Auteur), 2019, Value Chain Analysis of Groundnut, Munich, GRIN Verlag, https://www.grin.com/document/505489