Econometric analysis of factors affecting market outlet choice of mango fruit producers in Hadero Tunto Zuriya District, Southern Ethiopia
Derebe Ermias
The perishability nature of mango fruit necessitates an effective marketing outlet choice decision. But, selecting the appropriate market outlet is not easy task because different constraints affect producers to select the relevant outlet. Thus, this study was undertaken to identify factors affecting mango fruit market outlet choices in Hadero Tunto Zuriya District, Ethiopia. Combinations of purposive and random sampling techniques were employed, to select 150 mango producers in the study area. Multivariate Probit model (MVP) was used to analyze the determinant factors that affect the choices of market outlet of smallholder mango producers. In the study area local collectors, wholesalers, retailers and direct consumers marketing outlets were used by mango producers. MVP model result revealed that distance to the nearest district market and quantity produced had a positive association for the probability to choose the local collector market outlet whereas, current market price a negative association. The probability to choose wholesaler outlet was positively influenced by quantity of mango fruit produced. Market price, own transport access and market information had positive association for consumer market outlet, whereas non/off-farm income access and amount of quantity produced were negatively affected the probability to choose the retailer outlet. Therefore, this implies that the need to invest on improving the present infrastructure like roads, transportation facilities and market information delivery system are vital area of intervention that would assist smallholder farmers to choose the more rewarding market outlet.
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