HARNESSING AGRICULTURAL MARKETING FOR ECONOMIC RECOVERY IN NIGERIA.

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(A STUDY OF MINISTRY OF AGRICULTURE, OBIO-AKPOR  LOCAL GOVERNMENT AREA, RIVERS STATE)

ABSTRACT

This research is entitled harnessing agricultural marketing for economic recovery in Nigeria.  The study was carried out in Obio-Akpor Local Government Area of Rivers State, Nigeria. This research work is therefore an investigation into harnessing agricultural marketing for economic recovery in Nigeria, with special focus on the contributory roles of its various dimensions in the economic recovery of Nigeria. The sample size of this study is judgmental sample of 133 staff from the ministry of agriculture in Obio-Akpor Local Government Area of Rivers State. The statistical test used in the analysis of the data collected was Pearson Product Moment Correlation Coefficient. Base on the analysis, the finding showcase that there is significant relationship between agricultural product packaging, transportation, grading, storage and processing and the economic recovery of Nigeria. It was concluded that with full application of agricultural marketing of products, the quality of such products are assured, consumer‘s choice are influenced, profit maximised, distribution and segmentation of such products and product markets enhanced and adequate pricing system is established. We therefore recommended amongst others that in order to facilitate agricultural development, government should adopt an integrated approach which is a multidimensional strategy for improving the quality of the life of the people by supporting farmers so they can acquire machines and other farm equipments.

TABLE OF CONTENT

Cover page –        –        –        –        –        –        –        –        –        i

Title Page    –        –        –        –        –        –        –        –        –        –        ii

Certification –       –        –        –        –        –        –        –        –        –        iii

Dedication –          –        –        –        –        –        –        –        –        –        iv

Acknowledgement         –        –        –        –        –        –        –        –        v

Abstract-    –        –        –        –        –        –        –        –        –        –        vi

Table of contents  –        –        –        –        –        –        –        –        vii

CHAPTER ONE- –        –        –        –        –        –        –        –        1

INTRODUCTION-        –        –        –        –        –        –        –        –        1

1.1Background of the study    –        –        –        –        –        –        –        1

1.2 Statement of the study-     –        –        –        –        –        –        –        2

1.3 Purpose of the study-        –        –        –        –        –        –        –        3

1.4 Research question-   –        –        –        –        –        –        –        4

1.5 Research hypothesis-        –        –        –        –        –        –        –        4

1.6 Significance of the study-  –        –        –        –        –        –        5

1.7 Scope of the study-  –        –        –        –        –        –        –        6

1.8 Limitation of the study-     –        –        –        –        –        –        –        6

1.9 Definition of terms- –        –        –        –        –        –        –        6

CHAPTER TWO-          –        –        –        –        –        –        –        –        7

REVIEW OF RELATED LITERATURE-  –        –        –        –        7

2.1 Introduction-  –        –        –        –        –        –        –        –        7

2.2 Conceptual framework-     –        –        –        –        –        –        –        7

2.2.1 Agricultural marketing-  –                  –        –        –        –        8

2.2.2 Importance of Agricultural marketing-        –        –        –        –        9

2.2.3Dimensions of Agricultural Marketing         –        –        –        –        12

2.2.4 Economy recovery-        –        –        –        —       –        –        –        18

2.3 Theoretical framework-     –        –        –        –        –        –        –        26

2.4 Review of related empirical studies-               –        –        –        27

2.5 Summary of review of related literature                  –        –        –        28

CHAPTER THREE-      –        –        –        –        –        –        –        –        30

RESEARCH METHODOGY- –        –        –        –        –        –        30

3.1 Introduction-  –        –        –        –        –        –        –        –        30

3.2 Research design-      –        –        –        –        –        –        –        –        30

3.3 Population of the study-    –        –        –        –        –        –        –        30

3.4Sample size and sampling techniques-   –        –        –        –        31

3.5 Sources of data        –        –        –        –        –        –        –        –        31

3.6.1 Primary sources    –        –        –        –        –        –        –        –        31

3.6.2 Secondary sources          –        –        –        –        –        –        –        32

3.7 Research instrument for data collection                   –        –        –        32

3.8 Validity and reliability of instruments  –        –        –        –        32

3.9 Techniques for data analysis       –        –        –        –        –        –        32

CHAPTER FOUR         –        –        –        –        –        –        –        –        34

DATA PRESENTATION AND ANALYSIS       –        –        –        34

4.1  Questionnaire distribution and retrieval        –        –        –        –        34

4.3 Test of hypothesis   –        –        –        –        –        –        –        –        42

4.4 Discussion of findings       –        –        –        –        –        –        –        46

CHAPTER FIVE –        –        –        –        –        –        –        –        49

SUMMARY, CONCLUSION AND RECOMMENDATION –         49

5.1 Introduction   –        –        –        –        –        –        –        –        –        49

5.2 Summary       –        –        –        –        –        –        –        –        –        49

5.3 Conclusion     –        –        –        –        –        –        –        –        –        50

5.4 Recommendation     –        –        –        –        –        –        –        –        50

References  –        –        –        –        –        –        –        –        –        –        52

Appendix I –        –        –        –        –        –        –        –        –        53

Appendix II          –        –        –        –        –        –        –        –        –        54

CHAPTER ONE

INTRODUCTION

1.1     BACKGROUND OF THE STUDY

Agriculture is the bedrock of economic growth, development and poverty eradication in the developing countries. Agriculture has also regarded as the engine and panacea to economic prosperity. In the words of Gunner Myrdal (1984), the battle for long-term economic growth will be won or lost in the agricultural sector. However, how this path leads to economic prosperity is still subject to debate among development specialists and economists.

Agriculture plays a significant role in rural economies of the United States. It creates job opportunities, supports rural development, and secures food production (Rosenberger, Gebremedhin, & Hailu, 2002). Through processing and marketing of farm and food products, it makes significant contribution to the economy of rural communities (Rephann, 2008). The farm sector consists of small and large farms. The small family farms, which have the annual sales less than $250,000, were 88 percent of total US farms in 2007 (U.S. Department of Agriculture [USDA], 2011b). Small farms have a lower profit than the large farms but play a significant role in rural economies (Hoppe & Banker, 2010). The large farms were only 12 percent of total U.S. farms in 2007, but contributed to 84 percent of the total value of U.S. production (Hoppe & Banker, 2010).

Marketing is as critical to better performance in agriculture as farming itself. Therefore, market reform and marketing system improvement ought to be an integral part of policy and strategy for agricultural development. Although a considerable progress has been achieved in technological improvements in agriculture by the use of high-yielding variety seeds and chemical fertilizers, and by the adoption of plant protection measures, the rate of growth in farming in developing countries limping behind the desired levels. This has been largely attributed to the fact that not enough attention has been devoted to the facilities and services which must be available to farmers that would support agricultural sector for its development. Marketing is one of those facilities needed for overall economic development of nations.

The term agricultural marketing is composed of two words-agriculture and marketing. Agriculture, in the broadest sense, means activities aimed at the use of natural resources for human welfare, i.e., it includes all the primary activities of production. But, generally, it is used to mean growing and/or raising crops and livestock. Marketing connotes a series of activities involved in moving the goods from the point of production to the point of consumption. It includes all the activities involved in the creation of time, place, form and possession utility. According to Thomsen, the study of agricultural marketing comprises all the operations, and the agencies conducting them, involved in the movement of farm-produced foods, raw materials and their derivatives.

Nigerian economy in past decades strives on the agricultural sector. The sector is reputed as the mainstay of the economy in the early 1960’s. It is seen as the key driver for growth and development. In fact, to further buttress the pivotal role the sector plays in the Nigerian economy, the agricultural sector is part of the Millennium Development Goals program of poverty reduction in Nigeria. In most developing countries (low and middle-income countries), the agricultural sector remains, the largest contributor providing inputs, food, employment opportunities, raw materials for other industries, provision of foreign earnings from exportation of the surpluses, and more importantly the enormous advantage recovery value added in the various production process (Izuchukwu, 2011).

1.2     STATEMENT OF THE PROBLEMS

The Nigerian economy was at the same level of development as countries such as Brazil, Indonesia, Malaysia and Pakistan in the 1950’s – 60’s, but today it is far behind all of them in terms of its overall level of economic development (Egbochuku, 2001). In essence, Nigeria has lagged behind other oil producing countries in terms of development, especially as most of these countries are now emerging as newly industrialised countries (NICs).

Obadan (2001) summarises the development challenges facing the country today as follows: how to revive the prostate economy, promote efficient and respectable economic growth, and increase productivity; and how to establish and sustain a viable and stable macroeconomic framework in the context of a stable democratic political system. In light of deteriorating social indicators, the government must urgently begin to reduce poverty, create employment opportunities and revive the infrastructural services in the country In September 2000, at the dawn of this twenty-first century, while Nigeria was still searching for development break-through, at the 55th Millennium Summit, a global development mandate was given to all developing countries in partnership with the rich countries and development institutions and agencies, to: reduce poverty and extreme hunger; ensure universal primary education; eliminate gender disparity in primary and secondary school; reduce infant and child mortality by two thirds; reduce maternal mortality by three quarters; ensure universal access to productive health; and ensure sustainable development and reverse the loss of environmental resources by 2015 (United Nations, 2003). The MDGs declaration by the UN is a wakeup call for Nigeria to redouble its economic development efforts towards achieving rapid and diversified development in the twenty-first century.

1.3     PURPOSE OF THE STUDY

The purpose of this study is to examine how agricultural marketing can be harnessed in enhancing economic recovery of Nigeria. Other objectives are;

1.       To assess the relationship between agricultural products packaging and economic recovery of Nigeria.

2.       To assess the relationship between agricultural product transportation and economic recovery of Nigeria.

3.       To assess the relationship between agricultural product grading and economic recovery of Nigeria.

4.       To assess the relationship between agricultural product storage and economic recovery of Nigeria.

5.       To assess the relationship between agricultural product processing and economic recovery of Nigeria.

1.4     RESEARCH QUESTIONS

For this research work to be carried out, the following research questions are formulated, they are;

1.       What is the relationship between agricultural products packaging and economic recovery of Nigeria?

2.       What is the relationship between agricultural product transportation and economic recovery of Nigeria?

3.       What is the relationship between agricultural product grading and economic recovery of Nigeria?

4.       What is the relationship between agricultural product storage and economic recovery of Nigeria?

5.       What are the relationships between agricultural product processing and economic recovery of Nigeria?

1.5     RESEARCH HYPOTHESIS

The following research hypothesis are formulated for the research work to be carried out, they are;

H01:  There is no significant relationship between agricultural products packaging and economic recovery of Nigeria.

H02:  There is no significant relationship between agricultural product transportation and economic recovery of Nigeria.

H03:  There is no significant relationship between agricultural product grading and economic recovery of Nigeria.

H04:  There is no significant relationship between agricultural product storage and economic recovery of Nigeria.

H05:  There is no significant relationship between agricultural product processing and economic recovery of Nigeria.

1.6     SIGNIFICANCE OF STUDY

It is a real fact that, in any field of human endeavour improvements are achieved by studying about what people do, how they do them, with what effect (negative or positive) and possible need for adjustment, the study of agricultural marketing and economic recovery is note exception. The result of the study therefore will be an eye opener towards the important role of agricultural marketing in the economic recovery in Nigeria.

This study will be significant to the following people, they are;

1.       Government: It will enable the government realize and discover the relevance of agricultural marketing to the economic recovery of Nigeria and thus, stand to meet the challenges and ordeals posed by agricultural marketing. It will also help the government plan her business policy along the path of agricultural marketing.

2.       Education Institutions: It is believe that at the end of this study, the educational authorities will see the urgent and sudden need to introduce how agricultural marketing enhance the economic recovery of Nigeria, and the course to the academic curriculum and at the same time equip her students.

3.       Students: This research work will serve as a vital academic tool for students who may wish to write further on this topic.

1.7     SCOPE OF THE STUDY

This work is to examine the harnessing of agricultural marketing and economic recovery in Nigeria. It will be carried out in Obio-Akpor Rivers State. This study will be limited to the ministry of agriculture in Obio-Akpor in Rivers state. The study is limited to staffs in the Ministry of Agriculture in Obio-Akpor in Rivers State

1.8     LIMITATIONS OF THE STUDY

This work will not go without some visible constraint that in one way or the other affects the quality of this research work. There was not enough time to carry out an extensive study of this subject matter. Time alone is not the only constrain as regards producing an extensive research work but finance was another stumbling block that was encountered as regard getting much materials on the subject matter.

1.9     DEFINITIONS OF TERMS

HARNESSING: To control and make use of (natural resources), especially to produce energy.

AGRICULTURE: The science or practice of farming, including cultivation of the soil for the growing of crops and the rearing of animals to provide food, wool, and other products.

ECONOMIC RECOVERY: An economic recovery is a period of increasing business activity signaling the end of a recession. Much like a recession, an economic recovery is not always easy to recognize until at least several months after it has begun.

ECONOMY: The state of country or region in terms of the production and consumption of goods and services and the supply of money.

PRODUCTION: The processes and methods used to transform tangible inputs (raw materials, semi-finished goods, subassemblies) and intangible inputs (ideas, information, knowledge) into goods or services. Production is a process of combining various material inputs and immaterial inputs (plans, know-how) in order to make something for consumption (the output).

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