The study examined determinant of profitability among small scale goat marketers in Ado

-

Ekiti

metropolis, Ekiti State, 

Nigeria. Data on socio

-

economic characteristics (age, experience on the job, household composition and educational 

status)  and  factors  influencing  profitability  of  goat  marketing  were  obtained  from  respondents  using  a  structured 

q

uestionnaire.  Sixty  respondents  were  sourced  for  in  the  study  area,  selection  was  through  multi

-

stage  sampling 

process. Data generated were analysed using descriptive statistics (tables, frequencies, percentages and means) and 

regression analysis. The resu

lt showed that 

81.7% of the goat marketers were above 41 years of age with mean age of 

58 years. Majority (53.3%)  had between 6 and 11 years of goat marketing  experience and a household size of  6

-

10 

members  was  reported  by  75%  respondents.  It  is  worthy  to 

note  that  majority  (70%)  of  the  goat  marketers  in  the 

study  area  had  formal  education.  At  1%  significance  level, 

average  price  of  feed,  average  price  of  shed  and  average 

price of commission charges were significant factors that influenced profitability of 

goat marketing. However, at 5% 

significant  level,  average  price  of  labour  and  average  price  of  medication  were  factors  that  determined  profit.  The 

result of the diagnostic statistics showed that adjusted r

2

value of 0.856 from the regression result reveale

d that 85.6% 

explained variation in the marketing profit (y) is due to the joint effect of all the independent variables specified in the 

model. In conclusion, price reduction of identified factors can increase profitability of goat marketing business in t

he 

study area

Bamigboye, Funmilayo Omolara

Oluwasusi, Oluwatoyin John

Sodiq, Ridwan  Ayodeji

Williams, Uduaq Akpan

Afe Babalola University Repository

                                    International Journal of Development and Sustainability  ISSN: 2186-8662 – www.isdsnet.com/ijds Volume 7 Number 2 (2018): Pages 679-684 ISDS Article ID: IJDS17092203 Determinants of profitability of goat marketing among small scale goat marketers in Ado-Ekiti Metropolis, Ekiti State, Nigeria  Funmilayo Omolara Bamigboye *, Ridwan Ayodeji Sodiq, Oluwatoyin John Oluwasusi, Uduaq Akpan Williams Department of Agricultural Sciences, Afe Babalola University, Ado Ekiti, Ekiti State, Nigeria  Abstract  The study examined determinant of profitability among small scale goat marketers in Ado- Ekiti metropolis, Ekiti State, Nigeria. Data on socio-economic characteristics (age, experience on the job, household composition and educational status) and factors influencing profitability of goat marketing were obtained from respondents using a structured questionnaire. Sixty respondents were sourced for in the study area, selection was through multi-stage sampling process. Data generated were analysed using descriptive statistics (tables, frequencies, percentages and means) and regression analysis. The result showed that 81.7% of the goat marketers were above 41 years of age with mean age of 58 years. Majority (53.3%) had between 6 and 11 years of goat marketing experience and a household size of 6-10 members was reported by 75% respondents. It is worthy to note that majority (70%) of the goat marketers in the study area had formal education. At 1% significance level, average price of feed, average price of shed and average price of commission charges were significant factors that influenced profitability of goat marketing. However, at 5% significant level, average price of labour and average price of medication were factors that determined profit. The result of the diagnostic statistics showed that adjusted r2 value of 0.856 from the regression result revealed that 85.6% explained variation in the marketing profit (y) is due to the joint effect of all the independent variables specified in the model. In conclusion, price reduction of identified factors can increase profitability of goat marketing business in the study area. Keywords: Profit; Goat Marketing; Socio-Economic Characteristics                                                               * Corresponding author.  E-mail address: bamigboyefo@abuad.edu.ng Published by ISDS LLC, Japan | Copyright © 2018 by the Author(s) | This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.   Cite this article as: Bamigboye, F.O., Sodiq, R.A., Oluwasusi, O.J. and Williams, U.A. (2018), “Determinants of profitability of goat marketing among small scale goat marketers in Ado-Ekiti Metropolis, Ekiti State, Nigeria”, International Journal of Development and Sustainability, Vol. 7 No. 2, pp. 679-684.     International Journal of Development and Sustainability                                                                     Vol. 7 No. 2 (2018): 679-684     680                                                                                                                                                                                  ISDS  www.isdsnet.com  1. Introduction Goat is one Nigeria major protein supplier to its populace and the world as a whole. Nigeria has population of about 34.5million goats, 22.1million sheep and 13.9 million cattle (Lawal and Adebowale, 2012). Moreover, high concentration of Nigeria’s livestock-based in the northern region is most likely to have been influenced by the ecological condition of the region which is characterized by low rainfall duration, lighter sandy soils and longer dry season (Lawal and Adebowale, 2012). Disease incidences seem low in the north and plausibly makes the environment habitable and conducive for the animals as well as their survival.  Moreover, Goats are among the main meat producing animals in developing countries and the choicest meat with huge domestic demand (Bourn et al., 1994). Goats are sources of lean meat, milk and manure for crop farming. The skin is used for leather production in Northern Nigeria. Antonio and Silver (2011) predicted that demand for livestock products will be doubled in the next 20 years due to world population increase, urbanization and economic growth. Therefore, this provides excellent opportunity for goat producers and marketers. However, focus in the past years had only being on increased productivity and not on effective and efficient marketing system to cater for the perceived industrialization and commercialization of animal agriculture in Nigeria (Udedibe, 2010; Amogu, 2010). Since major production of Goat takes place in the north, then, marketing is inevitable in the south where most consumers are located. Therefore, the importance of goat marketing cannot be overestimated, since it brings about specialized production for better skill and efficiency thereby providing opportunities for exchange of goods and services (Olukosi et al., 2008). Southwestern Nigeria provides a good market for Goat production, as the Yoruba people of the region highly relish goat meat in their customary ceremonies of wedding, child christening and burial of old ones, as ethoes of life. Despite the guaranteed market southwestern Nigeria offers goat marketing, it is important to determine the predictors of profitability to the goat marketers who have been in the business for some time and many seem not to break even in the business. It is upon this premise that the study examined the socio-economic characteristics of goat marketers and determined the factors contributing to profit in goat marketing in the study area.  2. Methodology 2.1. Study area This study was carried out in Ado-Ekiti metropolis, Ekiti state, Nigeria. Ado Ekiti is a city in southwest Nigeria, the state capital and headquarters of Ekiti state. It is also known as Ado. The people of Ado-Ekiti are mainly of the Ekiti sub-ethnic group of the Yoruba (Wikipedia, 2016). According to Ado-Ekiti is mainly an upland zone, rising over 250meters above sea level (http://ekitiNigeria.net). Ado-Ekiti has a tropical climate with its characteristic high temperature all year round. The state enjoys tropical climate with two distinct seasons. These are the raining (April to October) and dry (November to March) seasons (http://ekitiNigeria.net).   International Journal of Development and Sustainability                                                                     Vol. 7 No. 2 (2018): 679-684    ISDS  www.isdsnet.com                                                                                                                                                                                  681 2.2. Sampling techniques Multi-stage sampling technique was used for this study. In the first stage, Ado Ekiti metropolis was purposively selected from the state due to the availability of major markets. Shasha and Oja-Oba markets were randomly selected. Lastly, thirty (30) goat marketers were randomly selected from each of the markets from the list of goat marketers in the market development programme making a total of sixty (60) goat marketers. 2.3. Data collection Primary data were used for the study and this data were obtained through a pre-tested questionnaire from the respondents based on the objectives of the study. Data collected were on the socio-economic characteristics of respondents and factors that determined profit of goat marketing. 2.4. Data analysis Data were analyzed using descriptive and inferential statistics. Descriptive statistics was used to analyze the socio-economic characteristics of the goat marketers. Multiple regression analysis was used to analyse the factors contributing to profit of goat marketing in the study area. Specifically, the empirical method that was used for the study is specified as follows: Y = bo + b1X1 + b2X2 + b3X3 + b4X4 + b5X5 + b6X6 + b7X7 + b8X8 + U Where:  Y = total marketing profit of goat marketers (₦) X1 = price of feed (₦) X2 = price of shed (₦) X3 = purchase price of goat (₦) X4 = price of labour (₦) X5 = price of transportation (₦) X6 = price of medication (₦) X7 = price of market charges (₦) X8 = average price of commission charges (₦) ui = composite errors The predictors of goat marketing were explained statistically by the R2, Beta coefficients and t-ratio.  3. Results and discussion Presented on Table 1 is the socio-economic characteristic of goat marketers in Ado-Ekiti metropolis. Most (81.7%) of the goat marketers in the study area were above 41 years of age and had a mean age of 58years. International Journal of Development and Sustainability                                                                     Vol. 7 No. 2 (2018): 679-684     682                                                                                                                                                                                  ISDS  www.isdsnet.com  This implies that both young and old were involved in small ruminant marketing in the area but it is more popular among the old folks. This finding is supported by Familade et al. (2011) that quantity of sales may be low due to the fact that old folks take less risk and the young people preferred white collar jobs to farming activities. The distribution of the respondents’ marketing experience revealed that more (53.3%) had between 6 and 11 years of marketing experience while 21.7% had been in the business for over 12 years. This indicates that most of the respondents have appreciable years of trading experience that should help them improve goat trading operations with profitable strategies for business sustainability. The distribution of the respondents by household size revealed that majority (75%) had household of between 6 and 10 members. This implies that the goat marketers had fairly large families that may help them reduce the labour cost by utilizing family labour for the sales of their goats instead of employing sales girl or boy Educational status of the goat marketers revealed that most (70%) were educated. This finding is corroborated by Ogunfiditimi (1981), who remarked that education is vital to the success of agricultural production and enhance the effectiveness of agricultural extension agent’s work.  Table 1. Socio-economic characteristics of goat marketers in Ado-Ekiti metropolis, Ekiti state Variable  Frequency  Percentage  Age  0-30 2 3.3               Mean 58.1 31-40 9 15.0 41 and above 49 81.7 Years of Marketing Experience Less than 5 years 15 25.0 6 – 11 years 32 53.3 Above 12 years 13 21.7 Household size 1 – 5 years  10 16.7 6 – 10 years 45 75.0 Above 11 years 5 8.3 Educational status No formal education 18 30.0 Primary school 19 31.7 Secondary school 16 26.7 Tertiary  7 11.7 Source: Field Survey, 2016 Shown on Table 2 is the result of multi regression analysis of the factors that determined profitability of goat marketing in the study area. It was observed that the significant variables include X1 (average price of feed), X2 (average price of shed), X4 (average price of labour), X6 (average price of medication) and X8 (average price of commission charges). However, X1(average price of feed), X2 (average price of shed), and X8 (average price of commission charges) were significant at 1% level of significance, and also had a direct relationship with the profit from goat marketing. This implies that, a decrease in the cost of feeding, temporary shed and commission charges will lead to an increase in profit. X4 (average price of labour) and X6 (average price of International Journal of Development and Sustainability                                                                     Vol. 7 No. 2 (2018): 679-684    ISDS  www.isdsnet.com                                                                                                                                                                                  683 medication) are both significant at 5% level of significance and had an inverse relationship with the amount of profit realized from goat marketing in the study area. The significance of average prices of feed, shed, labour, medication and commission charges is in conformity with earlier findings by Nasiru et al. (2011) and Girei et al. (2013). The result of the diagnostic statistics showed that adjusted R2 value of 0.856 from the regression result revealed that 85.6% explained the variation in the marketing profit (Y) is due to the joint effect of all the independent variables specified in the model while the rest 14.4% unexplained variation in marketing profit may be due to other variables of interest not specified in the model but are present in the error term.  Table 2. Result of multiple regression Analysis on factors that determines profitability of goat marketing in Ado-Ekiti metropolis Variables  Beta Coefficient  t-ratio Intercept 11320.08 1.954 Average price of feed (X1) 49.01 2.615* Price of shed (X2) 9.31 3.005* Purchase price of goat (X3) 132.69 1.419 Price of labour (X4) -12.19 -4.183** Price of transportation (X5) -108.77 -0.312 Price of medication (X6) -55.53 -5.108** Price of market charges (X7) 413.59 -0.015 Average price of commission (X8) 64.33 3.601* Source: Field Survey, 2016  N/B: ** significant at 5%, * significant at 1%.   4. Conclusion This study analyzed factors that influenced profitability of goat marketing among small scale goat marketers in Ado-Ekiti Metropolis. The study showed that the goat marketers were in their middle age, with fairly large family size and most of them had over six years of marketing experience as contributory factors to the sustenance of profitable goat marketing business. Moreover, the predictors of the profitability of goat marketing were prices of feed, shed, labour, medication and commission charges. Profitability in goat marketing is a combination of the implicated factors such as age, family size, marketing experience and the aforementioned predicating factors.   5. Recommendations 1- Local and State governments should provide an enabling environment such as market facility like secured shelter to keep goats in the market and ensure favourable market regulatory framework for profitable goat marketing business in the study area. International Journal of Development and Sustainability                                                                     Vol. 7 No. 2 (2018): 679-684     684                                                                                                                                                                                  ISDS  www.isdsnet.com  2- Government should encourage profitable sales of domesticated goats in the study area by collecting less tax from goat marketers, thereby providing sustainable business for its rearers, allowing availability to consumers and profitability of its marketing to goat marketers. 3- Goat marketers should be more educated using role models with good marketing skills among them, as cost saving strategy to improve the profitability of goat marketing in the study area. 4- Extension agents should furnish goat marketers with rural locations where healthy goat keeping is cheap for profitable venture, in return with better prices for goat in the urban markets.  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(2013), “Stochastic Frontier Production Function on Resource Use Efficiency of Fadama II crop farmers in Adamawa State, Nigeria”, European Journal of Agricultural and Forestry Research, Vol. 1 No. 2, pp.1-15. Lawal, L. and Adebowale, O.A. (2012), “Factors Influencing Small Ruminant Production in Selected Urban Communities of Abeokuta, Ogun State”, Nigerian Journal of Animal Production, Vol. 39 No. 1, pp. 218-228. Meretiwon, B. (1981), Factors Associated with Maize Storage Techniques at Farmers’ Level In Oyo State of Nigeria, Report of the Nigerian Stored Product Research Institute, Technical Report No. 8, Ilorin, Nigeria, pp. 79-86. Nasiru, M., Haruna, U. and Garba, A. (2013), “Economics of livestock marketing in Gamawa local Government Area, Bauchi State, Nigeria”, Repositioning Africa Agriculture, Enhancing Productivity, Market Access Policy Dialogue and Adapting to Climate Change, 8th AFMA conference, Moi University press, pp. 411-424. Ogunfiditimi, T.O. (1981), “Adoption of Improved Farm Practices: A Case Under Uncertainty”, Indian Journal of Extension Education, Vol. 17 No. 2, pp. 30-35. Olukosi, J.O., Isitor, S.U. and Moses, O.O. (2008), Introduction to Agricultural Marketing and Prices, 4th edition: Principle and Application, living book series G.U. Publication, Abuja, Nigeria. Udedibe, A.B.I. (2010), A key note address. In: pro. Diversify Nigeria’s Economy, Animal production option, (Ifut, O.J., eds). University of Uyo, Uyo, Nigeria. pp. 1-6. 

Determinants of profitability of goat 

marketing among sma

ll scale goat 

marketers in Ado

-

Ekiti Metropolis, Ekiti 

State, Nigeria

http://eprints.abuad.edu.ng/495/1/Bamigboyeetal2018.pdf

Determinants of profitability of goat marketing among sma ll scale goat marketers in Ado - Ekiti Metropolis, Ekiti State, Nigeria

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