Determinants of Market Participation of Smallholder Sorghum Farmers and Strategies for Improving Their Participation; the Case of Moretna Jiru District, Ethiopia

Abstract

The purpose of this study is to identify market participation of smallholder’s Sorghum producers in Moretna jiru district, central Ethiopia. Primary data was collected from 355 randomly selected smallholder farm households from three randomly selected kebeles in the district. The survey data was analyzed using descriptive statistics and econometrics model with probit and Tobit censored model. Results of the probit model analysis showed that output, farm size, extension contact and ownership of transport positive and significant role in households’ decision to participate in sorghum output sales at 1% level of significance; whereas, household income, off-farm income, access to credit and lack of information negatively at 1% and 10% level of significance. Results of Tobit censored analysis showed; extension contact, farm size, output and membership of farmer group have positive and significant role in the value of sorghum at 1% level of significance; while access to credit was found to have negative significant role at 5% level of significance. Farm size, output, extension contact and membership of farmer group was found to affect both households’ decisions to participate and intensity of participation in sorghum sales at 1% level of significance. Based on the findings there is a need to enhance the interaction between extension export and farmers and distribute trained extension exports in all kebeles by giving different trainings. ; and help the farmers improve land productivity, where possible, by intensifying farm practices through provision of sustainable and timely availability of inputs and management practices so as to generate surplus sorghum output and boost sales.