Determinants of Potato Marketed Surplus Among Smallholder Farmers in Banja District, Awi Zone of Amhara Region, Ethiopia

Melkamu Bazie Fentie

doi:10.11648/j.ijae.20170204.15

Abstract

Potato is important for its contribution to food security and as source of cash income for a large proportion of the rural households. However, enhancing potato farmers to reach markets is a key issue needed in the study area. This paper was aimed to identify factors affecting marketed surplus potato farmers using survey data collected from randomly selected 120 farmers. Descriptive statistics was used for characterizing farmers and econometrics analysis was used for identifying determinants of marketed surplus. The distributional graph of household’s log-marketed surplus data seem to be reasonably symmetric, though possibly left skewed. The multiple linear regression estimation result indicated that total livestock unit (number of livestocks owned), land size allocated for potato production, distance to all-weather road, irrigation access, other farm income and lagged price as significant predictors of potato marketed surplus. The study recommended expansion of irrigation access and further infrastructural development for policy implications.

Highlights

Ethiopia has suitable edaphic and climatic condition for the production of high quality seed potato and ware potato
Econometric analysis uses multiple linear regression model to analyze factors affecting farm level potato marketed surplus in the study area because all potato producers participate in the market
This study was aimed to identify the determinants of potato marketed surplus among small holder farmers

Summary

Introduction

Ethiopia has suitable edaphic and climatic condition for the production of high quality seed potato and ware potato. About 70% available agricultural land is located at an altitude of 1800-2500m which is suitable for potato production [1,2]. It has area coverage of 66, 745 ha and production of 784,993 tonnes in the country [3]. Potato has been considered as a strategic crop by the Ethiopian government aiming at enhancing food security and economic benefits to the country [6]. It is among the major vegetable export products [7]. Potato exported to bordered countries to Somaliland and Djibouti is increasing which is major motive for potato farmers in Eastern Ethiopia [9]

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Conclusion