Determinants of Market Participation among Kocho Producers in Hadiya Zone, Southern Region, Ethiopia

Abstract

Hadiya zone in southern region of Ethiopia has been known for enset farming. kocho is the  major product of enset. In the study area, kocho have been perceived to have high market value, resulting in tradeoffs with staple food. Despite kocho market value, its market participation has not been studied and quantified. Therefore, this paper aims to determine the factors influencing market participation and marketed surplus of kocho. Data was obtained from a sample of 398 households selected using multistage sampling techniques. The data was analyzed using the descriptive statistics and Heckman two-stage model. The results showed that age, sex, access to market information, availability of labour, non/off farm income, farming experience, perception of kocho price, quantity of kocho and livestock holding 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 labour saving technology, availing market information services, building farmers’ experience, encouraging farmer’s livestock holding besides farming, and paying attention to female households are needed to increase kocho marketed surplus.

Keywords: Heckman two-stage model, market participation, small-scale kocho farmers