Abstract:
The aim of this study was to assess the effect of supply chain management parameters on cocoa value and output in Ondo State .The objectives of the study were to identify the Parameters and challenges of supply chain management for cocoa farmers, analyze its effect on cocoa farmers output and to examine the trend of cocoa output from the year 2003 to 2014 in Ondo State. The study covered six cocoa growing local Government areas of Ondo State, Nigeria. One hundred and eighty (180) copies of questionnaire were administered to cocoa farmers while the total numbers of usable responses received for the analysis were one hundred and fifty (150), making 83.3%.The data were analyzed using descriptive and inferential statistics. Secondary data collected were used to examine the trend of output and output growth rate across the six local government areas in Ondo State from 2003 to 2014.The study revealed that transportation, warehousing and packaging were positively significant at 0.05 level with coefficients of 3.198, 1.258 and 0.284 respectively while any increase in the age of cocoa farm and pest/diseases would negatively affect the cocoa value. R2 value of 0.826 shows that 80.26% of the variability of the dependent variable Y which is the value of cocoa was explained by all the independent variables. The null hypothesis was rejected and the alternate hypothesis was accepted. It was only Akure South local government that had the negative growth rate which may be due to increasing occupation of the original cocoa farms with residential buildings. The study concluded that supply management parameters such as warehousing, transportation, and packaging, Spraying of pesticide, weather condition, age of cocoa farm, pests and diseases should be given adequate attention to improve cocoa value and output in Ondo State. Government should stop the conversion of Cocoa farmlands to residential houses.