ABSTRACT

The study was designed to analyze price differentials in the marketing of selected agricultural produce in Abia State. Primary data were used for the study .Data collected were done by the use of a structured questionnaire .Four hypotheses were tested in the study .Two hundred marketers were sampled for the study which consists of 40 marketers of each of the produce (Garri Rice ,Plantain, Beans, and Yam.)Descriptive statistics ,trend analysis ,z-test, marketing margin analysis ,marketing efficiency analysis, profit analysis ,profitability index analysis and regression technique were employed in analyzing the data obtained for the study. The findings of the study showed that marketing of the selected agricultural produce were done by actively age individuals who are educated with moderate household size both in rural and urban markets, whereas garri ,rice ,plantain and beans were dominated by women ,Yam was dominated by their men folks in rural and urban markets in Abia state. Monthly retail prices of the selected produce in both rural and urban markets increase at an increasing rate over time. There is significant heterogeneity in the retail price of garri, plantain and yam ,whereas there is homogeneity in the retail price Rice and beans in both rural and urban markets in the state .While retail price of plantain, garri ,and yam are more expensive in urban markets than in rural markets ,Urban marketers of Rice beans and yam had a better marketing margin in than rural rural marketers of the produce. On garri and plantain, rural marketers had a better marketing margin than Urban marketers. On garri ,rice plantain, beans and yam, Urban marketers had a better marketing efficiency, profit and profitability index than rural marketers. Price differentials in the marketing of the selected agricultural produce in the state are significantly determined by Marketing experience, purchase cost ,storage cost ,market charges distance to market ,transportation cost ,price of substitute ,perception about inflation ,level of education ,number of customers ,but mostly challenged by low patronage due to economic adversity and high cost of transportation .The study recommend that any effort by Government to address the differentials in the prices of the agricultural products should consider the above mentioned factors that determined the price differentials among rural and urban marketers of these products.