TITLE:
Local Trade Networks among Farmers and Traders
AUTHORS:
Abdul-Samad Abdul-Rahaman, Patience Pokuaa Gambrah
KEYWORDS:
Local Trade, Social Network Analysis, Food Trade, Exponential Random Graph Models (ERGM), Food Security
JOURNAL NAME:
Social Networking,
Vol.12 No.4,
September
6,
2023
ABSTRACT: Both farmers and traders benefit from trade networking, which is crucial
for the local economy. Therefore, it is crucial to understand how these
networks operate, and how they can be managed more effectively. Throughout this
study, we examine the economic networks formed between farmers and traders through
the trade of food products. These networks are analyzed from the perspective of
their structure and the factors that influence their development. Using data
from 18 farmers and 15 traders, we applied exponential random graph models. The
results of our study showed that connectivity, Popularity Spread, activity
spread, good transportation systems, and high yields all affected the
development of networks. Therefore, farmers’ productivity and high market
demand can contribute to local food-crop trade. The network was not affected by
reciprocity, open markets, proximity to locations, or trade experience of
actors. Policy makers should consider these five factors when formulating
policies for local food-crop trade. Additionally, local actors should be encouraged
to use these factors to improve their network development. However, it is
important to note that these factors alone cannot guarantee success. Policy
makers and actors must also consider other factors such as legal frameworks,
economic policies, and resource availability. Our approach can be used in
future research to determine how traders and farmers can enhance productivity
and profit in West Africa. This study addresses a research gap by examining
factors influencing local food trade in a developing country.