ANALYSIS OF INVOLVEMENT OF FARMERS AND OTHER VALUE CHAIN ACTORS IN RICE VALUE ADDITION IN EKITI STATE, NIGERIA

Abstract

Value chain and value addition is a contemporary veritable tool to achieving food security. Hence, this study examined the involvement of farmers and other value chain actors in rice value addition in Ekiti state, Nigeria. To achieve the objectives, a multistage sampling procedure was used to collect data from one hundred and thirty-five (135) respondents which comprised ninety (90) farmers and forty-five (45) other rice value chain actors. The population of the study comprise all rice farmers, agro service providers, processors, marketers and consumers in the study area. The study shows that the major primary occupation of the respondents was farming, with average rice farming experience of 16.3 years. The result of the respondents’ perceptions shows that they had positive perceptions toward improved rice production practices and value chain actor’s relationship. About 57% of the rice farmers do not belong to any rice association/organization, while 43.3% belongs to rice associations such as rice cooperative society, and Rice farmers Association of Nigeria (RIFAN). The result shows that the farmers had high linkage and involvement with service providers (extension agents and the input suppliers) in the area of transportation of rice (x̅ =2.24), collaborative organizing, coordinating and pooling of labour for farm work (x̅ =2.21), involvement in calendar of work definition and design with extension personnel (x̅ =2.20) and joint problem identification and solving (x̅ =2.17). However, the grand mean for the extent of involvement of the processors and marketers (1.88 and 1.71), which is below the total grand mean of the involvement level (1.93), shows that there was low involvement and linkage between the farmers and the marketers/consumers. This result presents the rice farmers response to availability and existence of interaction with the available rice value chain actors and stakeholders. The result shows that all rice farmers (100.0%) accepted that input suppliers as an actor in the rice value/supply chain were available in their areas while majority (95.6%) of them has an existing interaction with the input suppliers. Furthermore, it was revealed that majority (96.7%) of the respondents agreed to the availability of extension agents as a major stakeholder and substantial percentage (96.6%) of them that aid this claims affirms their interactions with them. It was also revealed that there was negative difference in the cost of production after involvement and a 64.0% increase in the farmers’ gross margin was found out in the study. There was significant relationship between farmers’ involvement with other value chain actors and economic returns. The study therefore conclude that there was high linkage between farmers, service providers and processors only, and that involvement and linkages between value chain actors has an effect on the profitability and economic returns of smallholder farmers in the study area. The study therefore recommends that platforms to strengthen linkages with other value chain actors should be developed by stakeholders and that extension services should promote income diversification and value addition to the farmers as it has impact on their farm output and standard of living.