BDU IR

RICE VALUE CHAIN IN LIBO KEMKEM DISTRICT, AMHARA REGION, ETHIOPIA

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dc.contributor.author Bimrew Tadesse
dc.date.accessioned 2022-01-12T07:37:19Z
dc.date.available 2022-01-12T07:37:19Z
dc.date.issued 2022-01-12
dc.identifier.uri http://ir.bdu.edu.et/handle/123456789/12928
dc.description.abstract Due to Ethiopia’s large area and favorable agro-climatic conditions, the country has immense potential for expanding rice production area and high consumer demand exists in the country. However, the rice sector is not fully developed as compared to the potential. Many institutional, organizational and technological factors were attributed to existing inefficiencies in rice production and utilization. The aim of the study was to evaluate Rice value chain in Libo Kemkem District of South Gondar Zone, Amhara National Regional State. For the study both primary and secondary data were used. Primary data was collected from 394 sample rice producers and other 57 rice value chain actors. A multi-stage sampling technique was used to select sample rice producer households. First, out of 31 rural kebeles in the district, 15 potential rice producer kebeles were selected. Second, 5 kebeles were selected randomly. Thirdly, households who produced rice were listed and finally, 394 households were selected using simple random sampling technique based on the population proportion. The data were analyzed and interpreted by using descriptive statistics and econometric model. The Structure Conduct Performance approach was used to analyze the efficiency of rice market. Heckman two stage model was used to analyze factors affecting rice market participation and volume of sales. Producers, processors, whole sellers, retailers and consumers were the direct value chain actors. Lack of investment capital and working place, unhealthy trade competition and information asymmetry were found to be the main barriers to entry into the rice business. The results of Structure Conduct Performance analysis showed a weak oligopsony market structure at Yifag market with four firms’ concentration ratios (CR4) of 42.24%. With respect to conduct, price setting strategy deviates from competitive market norms and marketing margin and cost analysis showed unreasonable cost and profit share among rice market chain actors. The highest marketing margin producers, millers, wholesalers and retailers received from different channels were 84.4%, 16.7%, 8.6%, and 18% respectively. Therefore, rice market in the study area being inefficient. Few large traders collude each other to set the price, while others follow them. The Heckman two stage model results showed marital status, market information, rice farming experience and productivity positively and significantly affected both market participation decision and marketed surplus. Experience of saving was affected participation decision positively and significantly and household size affected participation decision negatively and significantly. Thus strengthening value chain development by improving the xv extension services and accessing improved seed, increasing bargaining power of producers by promoting rural financial institutions/cooperatives and strengthening market information access and trade regulatory systems are some of the actions to be taken to strengthen the sector’s development. en_US
dc.language.iso en en_US
dc.subject Agricultural Economics en_US
dc.title RICE VALUE CHAIN IN LIBO KEMKEM DISTRICT, AMHARA REGION, ETHIOPIA en_US
dc.type Thesis en_US


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