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The purpose of this study was to analysis the determinants of commercialization teff and its
factor productivity outcomes. Particularly , the study investigate the level of commercializationof teff production, total factor productivity outcomes of teff production of households operating
at different levels of commercialization and factors that affect household participation in the teffout put market. Stratified random sampling was applied to select sample kebeles and the
stratification variable was agro ecological zone and 220 sample respondents were selectedbased on simple random sampling technique from the five sample kebeles. Structured questioner
was a main tool to collect cross sectional data from the sample respondents.. The descriptiveanalysis revealed that the level of commercialization in the study area was on average semicommercial one. Moreover, one way ANOVA test was applied to cheek the existence of
significant total factor productivity variation among households operating at different levels ofcommercialization. Censured Tobit regression was applied to analysis the factors that affecmarket participation of households’ in teff output market. The result revealed that from the tota12 explanatory variables, five variables were statistically significant. Of which, land size (landallocated for teff production) and previous year market price of teff was positively related with
market participation and while participation in the off farm income activities, access to credit
service from formal financial institution and educational level of the household heads related
negatively with quantity or volume of teff sold. Thus, emphasis and intervention should be given
for household to increase market participation and improve levels of commercialization. |
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