ANALYSIS OF YAM MA'~KETING IN SELECTED LOCAL GOVERNMENT AREAS OF KOGI STATE: (A CASE STUDY OF BUNt! AND IJUMU LOCAL GOVERNMENT AREAS OF KOGI STATE)

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1 1, ANALYSIS OF YAM MA'~KETING IN SELECTED LOCAL GOVERNMENT AREAS OF KOGI STATE: (A CASE STUDY OF BUNt! AND IJUMU LOCAL GOVERNMENT AREAS OF KOGI STATE) BY AFOLABI, ANN ADEN IKE MATRICULATION NUMBE'{: 2004/18029AE PROJECT SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE A \V ARD OF BACHELOR OF TECHNOLOGY IN AGRICULTURE, B. TECH. (AGRIC.) IN THE DEPARTMENT OF AGRICULTURAL ECONOMICS AND EXTENSION TECHNOLOGY, SCHOOL OF AGRICULTURAL, TECHNOLOGY, FEDERAL UNIVERSITY OF TECHNOLOGY MINNA, NIGER STATE. I i I I J j, 1 NOVEMBER, 2010

2 ANALYSIS OF YAM MARKETiNG IN SELECTED LOCAL GOVERNMENT AREAS OF KOGI STATE; (A CASE STUDY OF B(f/\lJ AND IJUMU LOCAL GOVERNMENT AREAS OF' KOGI STATE) BY AFOLABI, ANN ADENIKE 2004/18029AE DEPARTMENT OF AGlUCULTURAL ECONOMICS AND EXTENSION TECHNOLOGY, SCHOOL OF AGRICULTURE AND AGRICULTURAL TECHNOLOGY, FEDERAL UNIVERSITY OF TECHNOLOGY MINNA, NIGER STATE. NOVEMBER, 2010.

3 DECLARATION I hereby declare that this project is independently initiak by me. That the findings emanating from this research work to the L have not been accepted in substance for the award of any other degree o. this university or any other institution. Afolabi Ann Adenike... Candidate's Name ) 'J/I( (] Ifl Signature and Date ji

4 CERTIFICATION This project is the original work, approved, supervised and carried 0111 h~ AFOLABI ANN ANUOLlJWAPO ADENIKE 2004/18029AE in partial fulfillment of the requirement for the Award of Bachelor of Technology in Agriculture, (B. TECH). dcgrn' ill Agricultural Economics and Extension Technology Mallam Abdullahi Abdulazeez (Project Supervisor) Signature and Hate... Dr. Job Nmadu (Head of Department) ~=b (1 '/v1l- Signature and Dat~" '" /. J / Prof. S. A Rahman (External Examiner).--~~/IIII' ~ I Signature and Date iii

5 DEDICATION This project is especially dedicated to Almighty God, the one who grants wisdom for making it possible for me to su"'cessfully graduate in the Department Agricultural Economics and l~xtension Technology, Federal University of Technology Minna. iv

6 ACKNO\-VLEDGEMENTS My utmost appreciation goes to Almighty God for his protection, provision Lind loving kindness thwughout my stay in Federal Uni\ ~rsity of Technology Minna. I wish to express m) honest and uncnding appreciation to my supervisor, Mallam Abdulazeez for his wonderful guidance and support at the coursc of this research \vork. My gratitude goes to the entire staff of my faculty for their moral and academic contributioll to me over the years. I remain highly indebted to my parents Mr and Mrs. Lawrence Ayodele Afolabi, whose instructions. prayers and struggling spirits brought me to this level also my lovely sister Ik Adesola and my beloved brother Revival Olatunbosul1 Afolabi for their words of encouragement and their financial and moral support through out my programme. Also to my grandmother Mrs Esther Bello Afolabi f()i' her moral supports toward my programme, also my Late Aunty Eniola Afolabi for her word of encouragement throughout 111) programme may her gentle soul rest in perfect peace (Amen). My sincert: appreciatioa to my beloved one (Temi) Peter Darlinton Ndubuisi ufcrc for his contribution and ultimate support throughout my programme thanks love for been there fur me, also my lovely friend and sister Christy anj brother Debo for their contribution, SUPIJl)rt ami care throughout my programme. Finally, I consider myself fortunate to have friends like Sarah Odiwo, Abimbola Jemilehim I sincerely regret to my inability to mention the names of many individuals \\'ho in one way or the other helped in my academic and academic struggles, I am for ever grateful. God bless you all. v

7 CONTENT Title Page Declaration Certification Dedication Acknowledgement Table of Contents labll OF CON ltnls PAGE.....,.....,.,...,.,.,.,... '"..., '"... '"... '" "..,... '"., \'... "... \.... \1-\'111 List of Tables \ List of Figures... ix Abstract... x CHAPTER ONE 1.0 INTRODUCTION Background of thc Study Economic Potential of Yam... "..., Problem Statcment..,...,...,...,....) 1.4 Objectivc of the study Justification or the study Scope and limitation or the study... 5 CHAPTER TWO 2.0 LITERATURE REVIEW Concept of Agricultural Marketing... /) ') ') Market and lvlarketing Marketing...,...,...,..., ,2.2 Basic Features of Market Marketing Functions...,...,..., Relationship between Marketing and Production Marketing Eflicienc)'... 1 () 2.6 Marketing Inefficiency... 1 I 2.7 Marketing Channels Marketing Channel of Yam vi

8 .8 Marketing Cost and Margin of yam Marketing Cost Marketi ng I'vlargin Factors Alll.'cting thl' f\larketillg ('pst or.'\grjcullural Produce... 1 ~ 3.0 METllODOLOGY... ~o 3.1 The Study Area Climate and Vegetation Population and Occupation Sampling Size and Sampling Technique Data Collection G Analytical louis CHAPTER FOUR 4.0 RESULTS AND DISCUSSION Socio-Econol11ic Characteristic of the Marketers Distribution of respondents according to age Distribution of respondents according to sex... 2.'\ Distribution of Respondent according tu tlh:ir Illarital status... ~ Distribution of Respondent according tu their educational Ie\ cl Distribution or Respondent according to hollsehold si/(~... 2~ Distribution of Respondent according to their nl(~ior occupation... 2<) Distribution of Respondent according to year of experience Yam Marketing Channels... JO Distribution of Marketers by mcasurement used by buy yam Distribution or Respondent according to their period of Yam purchase by l'vlarkcters... 3: Reasons for Buying from producers by respondents Source of Produce Source of Information vii

9 1 I I 4.2, , Source 0 f F i nanee J4 Problems encounter in ll1'lrketirl~~ h) respondcnts G Storage and storage Cost Processing and Processing Cost Marketing Channel oryam Marketing Cost and Returns of Yalll for Marketer....3() Average cost Price incurred per group of' Y~11l1 markding Analysis o I'fdarketing margin and 1\larkeling Ll'liciellC) Yam Marketers...,...,...,..., Marketing Margin Marketing Efficiency problems encountered by the Yam marketers ill the study area... : CHAPTER FIVE 5.0 SUMMARY, CONCLUSION AND RECOMMENDATION Summary of major finding...,.,..,...,..,...,..., Conclusion...,... '...,...,...,..., Recommendations Reference...,., ".,..,...,...,...,... 4(j Appendix viii

10 1 I I f TABLE LIST OF TABLE I ' TITLE Table 1 Distribution of respondents according to age PAGE Tabk 2 Distribution 0" respumknts according to Sl'\ Tablc 3 Distribution of rcspomil'nts according 1U their mariwl Sldlus... 2) Table 4 Distribution ofrcspondents according tu their education levels... :?6 Table 5 Distribution or respondents according to houschold si;:e Table 6 Distribution of respondents according to their major occupation Table 7 Distribution of respondents according to year of experience Table 8 Yam Marking Channels Table 9 Distribution of Marketers by Measurement used to buy Yam Table 10 Distribution of respondents according to their Period of Yam purchase by n1arketcrs. '..., ,...,... "...,., 3 2 Table 11 Reasons for buying from producers by rcspllndents...,... "... 3:? Table 12 Distribution llfrespondents according tll the source of yam Table 13 Distribution or markcters by sourcc or information..., t Table 14 Distri bution of respondents according to source 0 r capi tal Table 15 Problems cncounter in marketing by respondents... :16 LIST OF FIGURLS FIGURE TITLE PAGE Figure 1 Marketing channel of ya111...,..., ix

11 ABSTRACT This study examined was on analysis of yam marketing using Ijumu and Bunu Local Govenmlent Area of Kogi State as a case study. The objective of this study are to describe the soci-economic characteristic of the respondents, determine the marketing cost and return of them marketers in the area, examine the marketing channel of yam marketers the area, determine the marketing margin and marketing efficiency of the yam marketer in the study areas and to identify the problems associated with yam marketing in the study areas and (80) eighty, questionnaires were administered to the 80 marketers in the two local government areas randomly. Primary data were analyzed using descriptive statistics marketing margin and marketing efficiency and marketing channel were estimated. The result indicated tnat the average marketing cost was N21,700 per group and the marketing margin was 37.5% and the marketing efficiency was 59.3% in the study area which indicate that yam marketing are profitable. The response of the selected respondent shows that the major problems of the marketers are; transportation problem, lack of finance, lack of credit facilities, inadequate market infrastructure, price fluctuation and lack of storage facilities of the product. Above all yam marketing is a well recommended agricultural business in Nigeria. To improve the marketing of Yam in Nigeria, it is recommended that adequate transportation in terms of good roads and functional vehicles should be provided by government private individuals and cooperative groups to facilitate of yam tubers sale, there should be standard grading of yam to facilitate organized sale of yam in Nigeria. x

12 CHAPTER ONE 1.0 INTRODUCTION 1.1 Background of the study Yam (Dio... corea spp) is the second most important root crops in Africa with production reaching 39.9 million metric tons which is one third of cassava production (Wikipedia, 2005). Babalaye (2003) reported that in 2000 global yam production was approximately 37.5 million metric tonnes of which 96% was accounted for in Africa with Nigeria alone accounting for nearly 75% of that total world production, thus making Nigeria the world largest producer of yam with 27 million metric tonnes per annum. This species of yam originated from cote-divorce and Cameroon. Olukosi (1990) observed that yam is regarded as a rainforest crop because its growth is monthly concentrated in the rainforest zones. But in recent years, crop improvement had made yam cultivate suitable in all the ecological zones of Nigeria. The crops have about six species which include Dioscorea. Kayensis, D. demtorum, D. rotundatal, D. alata and D. bulbifera. However, the most common yam grown and consumed is D. rotundata which originated from coto-diviore and Cameroon. The importance of yam in the world and in Nigeria in particular is not only for its role as a major staple but its socio-cultural significance in the life of the people of all arable crops in Nigeria (Olukosi, 1990). In Nigeria, yam is closely linked to culture and is part of the religious heritage of several tribes. Yam often plays a key role in religious ceremonies. The new yam festival making the onset of the harvest period is still an outstanding social event everywhere in A the yam growing belt of Nigeria like in Kogi state, village like Kabba Bunu local government, 1