ABSTRACT

The research work aimed at analyzing the efficiency of marketing of Irvingia kernel (Ogbono) in Ohafia agricultural zone of Abia State, Nigeria. The sampling frame covered the wholesalers and retailers, a sampling size of 72 respondents, 36 for wholesalers and 36 for retailers were used. A randomized multi stage sampling technique was used in data collection. Three (3) local governments were purposively selected with 4 markets from each of the local government. Well structured questionnaires were used to collect the primary data. Data obtained were analysed with simple statistics, such as means, frequencies and percentages, multiple regression and Gini coefficient, marketing margin and efficiencies and, cost and returns. The result from the socio-economic characteristics showed that the market was dominated by females, it also showed that majority of the marketers are relatively active and energetic people, the market was also found to be dominated by married people. The regression result for the wholesalers showed that, marketing experience, cost of purchase of Irvingia are significant at 5% and 1% respectively and are positive determinants of the quantity traded, while household size has a negative significant effect at 5%. For the retailers, the level of education, cost of purchase and transportation cost are significant at 10%, 1% and 1% respectively and are positive determinants of the quantity traded. The semi-log was chosen as the lead equation for wholesalers, whereas the exponential was chosen for the retailers and the choices were based on the R2value, F — ratio, number of significant variables and their signs as they conform to apriori expectations. The costs and return analysis result showed higher cost on the wholesalers and higher profit, the wholesalers and retailers were technically inefficient but economically efficient. The trade in Irvingia kernel showed to be inefficient as the marketing efficiencies for both the retailers and wholesalers were less than 100%, but the retailers were more efficient at 54.92% as against the 18.06% for the wholesalers. From the value of the Gini coefficient obtained for the wholesalers and retailers, the market is strongly competitive with G= 0.16 and 0.18 for wholesalers and retailers respectively. The main constraints which limited the marketers were storage difficulty, lack of credit facilities, financial difficulties and inadequate standard of measurement, high cost of the kernel was also noticed amongst the retailers. Based on the findings from the work, it is recommended that socio-economic and marketing infrastructure should be improved upon to reduce the marketing costs. The marketers should be exposed to seminars, symposium and further formal education for them to conform to modern marketing conditions. They should also form co-operatives for mutual help and assistance for the marketing activities.