PAPER TITLE :ECONOMIC ANALYSIS OF PEPPER MARKETING IN OYO STATE, NIGERIA

APPLIED TROPICAL AGRICULTURE | VOLUME 21 NUMBER 3 2016

Paper Details

  • Author(s) : Alawode, O.O.* and Abegunde, V.O.
  • Abstract:

This paper focused on the economic analysis of pepper marketing in Oyo state, Nigeria. Specifically, the paper identified
the distribution channels and constraints to pepper marketing, and also analysed the profitability of pepper marketing and
its determinants in Bodija and Sasa Markets in Oyo state. Data were collected from one hundred and fifty six pepper
marketers; seventy-eight wholesalers and retailers each. Descriptive Statistics, Profit Margin and Multiple Regression
were used for data analysis. Results show that 33.4% of pepper marketers got pepper fruits directly from farm gates, while
66.6% got pepper fruits through other channels such as agents. The profit margin for wholesalers (16.48% and 11.83%)
was higher than retailers (10.86% and 11.78%) in Bodija and Sasa markets respectively. Majority (81.4%) of the pepper
marketers identified insufficient working capital as the most serious constraint to pepper marketing. Years of experience in
pepper marketing, start-up capital, waste disposal and security of point of sales had significant positive influence, while
quantity of pepper supplied had significant negative influence on the profit realized from pepper marketing. Pepper
business is profitable, and as such, if properly harnessed, many unemployed youth can be removed from the street.