Abstract
Pepper is an important cash crop for its contribution to income generating and employment opportunity to majority of the rural household. However, enhancing pepper producers to reach market chain is a key issue needed in the study area. This study intended to analyze determinants of market supply of pepper among smallholder farmers in Wonberma district of west Gojjam zone of Amhara region. Both primary and secondary source of data were used to collect qualitative and quantitative data. Two stage sampling method were used and data was collected from 130 pepper producers. Multiple linear regression (2SLS) model was used to analyze factors affecting market supply of small holder pepper producers. The result of Two Stage Least Square (2SLS) indicated that market supply of pepper was significantly affected by quantity of pepper produced; pepper farming experience, one year lagged price and family size. Therefore, this study underscores enhancing farmers bargaining power through cooperative; strengthen institutional services and infrastructure development for policy implication.
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