Determinants of Status and Extent of Market Participation among Bulla Producers in Hadiya Zone, Southern Ethiopia

Abstract

Hadiya zone in southern region of Ethiopia has been well known for enset farming.  In the study area, bulla the major product of enset has been perceived to have high market value, resulting in trade-offs with staple food. Despite bulla market value, determinants of bulla producer market participation has not been studied and quantified. Therefore, this paper aims to determine the factors influencing market participation and marketed surplus of bulla. Data was obtained from a sample of 398 households selected using multistage purposive and random sampling techniques. The data were analyzed using the descriptive statistics and Heckman two-stage model. The results showed that age, sex, access to market information, availability of labor, perception of bulla price, extension visit and quantity of bulla producer had significantly influenced market participation decision and extent of marketed surplus. Based on the findings, the study suggest that offering farmers a fair price, encouraging the use of labor saving technology, availing market information services and paying attention to female households are needed to increase bulla marketed surplus.

Key words: Heckman two-stage model, market participation, small-scale bulla farmers.