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Volume 9, Issue 6, December 2020, Page: 163-173
Determinants of Smallholder Commercialization of Tomato Crop in Siltie Zone, Southern Ethiopia
Bahilu Ejeta, Department of Agricultural Economics, Werabe University, Werabe, Ethiopia
Derebe Ermias, Department of Agricultural Economics, Werabe University, Werabe, Ethiopia
Gosaye Ashetu, Department of Agricultural Economics, Werabe University, Werabe, Ethiopia; Department of Plant Science, Werabe University, Werabe, Ethiopia
Received: Sep. 22, 2020;       Accepted: Oct. 12, 2020;       Published: Nov. 4, 2020
DOI: 10.11648/j.aff.20200906.12      View  55      Downloads  29
Abstract
The productivity of agricultural resources was very low; especially in the developing world where production is common on fragile lands and characterized by small-scale subsistence farming. Commercialization of agriculture provides farm households with a means to alleviate poverty and food insecurity by generating incomes in the rural areas. This paper aims to identify factors affecting commercialization of tomato crop by smallholder farmers in Siltie Zone, Southern Ethiopia. Both structured and unstructured questionnaires and Focus Group Discussion were used to collect data from 175 respondents randomly selected from designated locations in the study area. Descriptive statistics and heckman two stage models were used to analyze the collected data. According to first stage Heckman selection estimation (probit regression) model result, Education, frequency of extension contact, distance to market, market agreement and lagged price played a significant role in smallholder commercialization decision. In the second-stage of Heckman selection estimation family size, education, land allocated for tomato production, frequency of agricultural extension contact, distance to nearest market, productivity, lagged price and inverse mill’s ratio were significantly affect level of tomato commercialization. Thus, the study recommends the need for designing appropriate intervention mechanisms focusing on the abovementioned factors so as to improve the performance of tomato crop commercialization.
Keywords
Commercialization, Heckman Two Stage Models, Tomato, Smallholder
To cite this article
Bahilu Ejeta, Derebe Ermias, Gosaye Ashetu, Determinants of Smallholder Commercialization of Tomato Crop in Siltie Zone, Southern Ethiopia, Agriculture, Forestry and Fisheries. Vol. 9, No. 6, 2020, pp. 163-173. doi: 10.11648/j.aff.20200906.12
Copyright
Copyright © 2020 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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