Determinants of the Volume of Market Surplus of Forest Coffee Produce and Price Received by Coffee Farm Household in Essara Woreda, the Cause of Dawuro Zone, Southern Nation Natonalits and Peoples Region, Ethiopia

Abstract

the factors that affect the existing forest coffee value chain of Essara woreda are market surplus production and price received by coffee farm households. To these end 235 sample producers, local coffee collector, local traders, wholesalers and consumers were identified from 9 kebele, Balle and Tarcha town for the study. Based on the findings of the study the volume of production and marketing were found to be affected by age, family size, market Center and all-weather road distance, the level of deforestation and factors that aggravated deforestation, selling price, experience of producer households and mixing forest coffee to garden coffee to increase the volume. About 2%  of market surplus coffee is transacted in through formal market while, 98 % is through conventional market, as a result of which producer obtain less income and 98 % forest coffee producer’s income source is depending on natural forest coffee production and marketing while, the level of deforestation is too high it needs appropriate intervention and awareness creation.

Keywords: Essara Woreda, market surplus, price