ANALYSIS OF DRY MAIZE (ZEA MAYS) MARKETING STRUCTURE AND PROFITABILITY IN NNEWI NORTH LOCAL GOVERNMENT AREA OF ANAMBRA STATE, NIGERIA.
Isibor, A.C., Nkamigbo, D.C*., Okonkwo-Emegha, Kate.& Adejoh, S.O.
ABSTRACT
The study examined analysis of dry maize (zea mays) marketing structure and profitability in Nnewi North local government area of Anambra State, Nigeria. Specifically, it described the socio-economic characteristics, profitability of dry maize marketing, marketing efficiency of dry maize marketing, market structure of dry maize and constraints faced by the dry maize marketing in the study area. Two-stage sampling and random procedure was employed to select four (4) major daily markets and 120 marketers (respondents). Descriptive, Sherpherd-Futrell technique, Enterprise Budgeting, Gini coefficient and relative index were the analytical tools employed. Finding from socioeconomic characteristics showed that majority of the marketers were within the age bracket of 30 and 50 implying that the marketers were young and energetic, female dominated the enterprise (84.8%) and all the marketers had one form of formal education or the other and new entrants to the enterprise were minimal. On enterprise profitability, marketers realized N 19,579000.00 after spending a total variable cost of N12, 986740.00 and total cost of N 13, 4200,058.13. The enterprise generated a gross margin of N6, 592,260.00, net marketing income of N6, 158,941.87 and net return on investment of 0.45. The implication of the net return on investment is that the marketers return 55 kobo for every 1 Naira invested in the enterprise. The overall profitability indicators (gross margin, net marketing income and net return on investment) proved that dry maize marketing was a profitable enterprise in the study area. The result of the analysis of marketing efficiency indicated that the marketers’ attained marketing efficiency level of 68.5% and there existed inefficiency in the marketing of dry maize in the study area. The result revealed a gini coefficient of 0.82, hence the existence of imperfect competition in the market. Government should address the issue of bad roads and provide a cheaper means of transportation from North to East in other to improve their income.
Keywords: Dry Maize, Marketing, Structure, Efficiency