Determinants of market participation for small scale broiler farmers in Leribe District of Lesotho

Abstract

The poultry industry is the fasted growing sub-sector of agriculture in the developing world and this is attributed to several pulling and pushing factors. On the demand side, the issue of urbanisation, income increase and animal protein requirements particularly for chicken has a positive influence on the growth of poultry production. Poultry farming is highly practised in rural households in Lesotho, and it constitutes an important contribution to the development of the rural economy in most developing countries. The poultry industry remains an important sub-sector of agriculture like in many other developing countries and it remains the main source of livelihood for village people and other small-scale farmers in the economy. Many rural communities are keeping poultry as a source of meat and eggs to feed their families, raise income from the surplus and create employment opportunities. However, access to formals markets remains a critical challenge for the farmers. This study examined the socio-economic, market and institutional factors that influenced broiler farmers’ market participation and intensity of participation in the Leribe district in Lesotho. A two-stage sampling technique was employed to select 114 respondents from five villages and the survey data was collected through a structured questionnaire. Heckman's two-stage model was used to analyse factors influencing farmers' market participation and the intensity of market participation. Gender, farmer income, storage access, production experience, extension service, credit access and information access were significant and influenced farmers’ market participation decisions. The study recommends interventions that will increase access and formal market participation.