Determinants of Commercialization of Agricultural Products in East and West Gojjam, and Awi Zones, Amahara Region, Ethiopia

Abstract

Agricultural commercialization is a process of involving the transformation from agricultural products for household subsistence to production for the market in orders to enhance the likelihood of the farmers. The objective of this study is to investigate the determinants of commercialization of agricultural products in the three zones of Amahara region. Both explanatory and causal types of research were applied and by review of previous empirical studies, a research questionnaire was developed for small holder farmers as a means of data collection. To address the objective of the study, 359 questionnaires were prepared and distributed to the respondents. The actual data collected from small holder farmers were analyzed by using binary logistic regression and the model summary model  which is explained the predictors  between 31.1% (Cox and Snell R square) and 56.17% (Nagelkerke R squared) of the dependent variables of  market participation and the finding indicates that eleven predictor variables such as, marital status, education, family size, farm size, training, off farm income, access to extension, access to irrigation, access to private transportation, access to market information and price volatility have statistically significant effects on commercialization of agricultural products. Therefore, it is suggested that the identified problems are addressed through collaborative and deliberate action of both farmers and the government to bring sustainable solution to enhance commercialization of small holder farmer’s in the study areas.

Keywords:  Commercialization, logistic regression, determinant factors, Agricultural products, east & west Gojjam zone.

DOI: 10.7176/EJBM/12-7-04

Publication date:March 31^st 2020