TITLE:
Smallholder Farmers’ Decision and Level of Participation in the Potato Market in Uganda
AUTHORS:
Christopher Sebatta, Johnny Mugisha, Enid Katungi, Apolo Kashaaru, Harriet Kyomugisha
KEYWORDS:
Smallholder Farmers, Market Participation, Heckman Model
JOURNAL NAME:
Modern Economy,
Vol.5 No.8,
July
18,
2014
ABSTRACT: Smallholder potato farmers in Uganda face
many production and marketing challenges including limited access to markets
and low surpluses for sale into the market. This study sought to underscore the
factors that influence smallholder farmers’ decision to participate in the
potato market and level of participation in such markets. Data were collected
from 200 smallholder potato farmers in Kabale and Mbale districts. Descriptive
statistics and a two-stage Heckman model were used to analyse the data. Results
indicated that proximity to a village market positively and significantly (p ≤
0.05) influenced decision to participate in the potato market. Results of the
second stage of the model indicated that non-farm income earned negatively and
significantly (p ≤ 0.01) affected the potato farmer’s level of market
participation.