Please use this identifier to cite or link to this item:
Title: Influence of transaction costs on market participation by smallholder poultry farmers in Nigeria : a mixed methods study
Authors: Antia-Obong, Essien Akpan
Issue Date: 2018
Publisher: Newcastle University
Abstract: Background: Market participation provides an opportunity for smallholder farmers to raise their income levels and hence improve their livelihoods. However, their decision to participate is hindered by individual, socio-economic and transaction costs (institutional) factors. Investigations into these factors have traditionally applied quantitative analysis even though transaction costs incorporate both tangible and intangible costs. Consequently, important motivations and barriers (intangible costs) perceived to influence smallholder market participation decisions have been left unobserved or unaccounted for. Setting: This study is set among smallholder poultry farmers in Nigeria. The Nigerian poultry sub-sector is under an import ban regime aimed at encouraging domestic participation in poultry markets. However, imposing a ban without a deliberate effort at instituting policies to ensure that its benefits trickle down to those mostly in need (i.e. small-scale farmers) is likely to be counter-productive. Aim: The aim of the study was to investigate the influence of transaction costs on market participation by smallholder poultry farmers in Nigeria. The objectives of the study were to first, determine the transaction costs factors influencing probability of participating in poultry markets, extent of market participation and choice of where to sell live poultry, and second, to explore perceived influences of transaction costs underlying smallholder market participation decisions. Methods: An explanatory sequential mixed methods design comprising an initial quantitative phase and a subsequent qualitative phase was employed. For the quantitative phase, primary data from a 2015 smallholder market participation survey was analysed to test for significant factors influencing smallholder market participation. For the qualitative phase, a subset of the significant factors were explored using semi-structured interviews with 20 socio-economically diverse smallholder poultry farmers recruited from participants involved in the initial quantitative survey. iii Findings: First, the quantitative analysis showed that literate female farmers with a large household and flock size, who have access to veterinary services, alternative sources of income besides poultry, and who are located further from market centres yet close to tarred roads are the type of farmers that are more likely to participate in poultry markets. Second, literate married farmers presumably female with a large flock size, who rely on the use of motorbike and mobile phone, who are native to an area and mainly rely on other farmers as the main source of market information and have lower earnings from non-farm work are the type of farmers that would intensively participate in poultry markets. Third, the market choice of poultry farmers who are remotely located with large flock sizes, who attract regular or repeat customers, who anticipate selling at a lower price per live weight of poultry whilst maintaining a strong bargaining or negotiating position would be through the farm-gate market channel. The qualitative analysis further revealed more importantly that being self-employed with a mid-level education also enhanced market participation. Conclusion: The findings from the study indicate the need for continuous rural infrastructure development in the areas of roads and telecommunications. Furthermore, in order to ease access to market information, institutionalised market information services need to be prioritised. In addition, improved access to veterinary services through technical support for farmers needs to be strengthened. In addition, land access and title deeds need to be formalised to enable long-term land use and expansion. More importantly, rural finance programmes instituted to address the credit needs of farmers should account for farmers’ educational levels and employment status to further ease market participation. The findings therefore demonstrate the importance of relying on both quantitative and qualitative evidence in smallholder market participation research.
Description: PhD Thesis
Appears in Collections:School of Agriculture, Food and Rural Development

Files in This Item:
File Description SizeFormat 
Antia-Obong E 2018.pdfThesis6.59 MBAdobe PDFView/Open
dspacelicence.pdfLicence43.82 kBAdobe PDFView/Open

Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.