COMPARATIVE ECONOMICS OF FRESH AND SMOKED AREAS IN ADAMAWA STATE, NIGERIA.

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COMPARATIVE ECONOMICS OF FRESH AND SMOKED
FISH MARKETING IN SOME LOCAL GOVERNMENT
AREAS IN ADAMAWA STATE, NIGERIA.
ONYIA, L.U., ADEBAYO, E.F., ADEWUYI, K.O.,
EKWUNIFE, E.G., OCHOKWU,I.J,
OUTLINE OF PRESENTATION
•  INTRODUCTION
•  MATERIALS AND METHODS
•  RESULTS AND DISCUSSIONS
•  CONCLUSIONS
•  RECOMMENDATIONS
INTRODUCTION
ü FISH IS A MAJOR SOURCE OF ANIMAL PROTEIN,
ü ESSENTIAL FOOD ITEM IN THE DIET OF NIGERIANS (JIM-SAIKI AND
OGUNBADEJO, 2003),
ü AN IMPORTANT SOURCE OF LIFE AND LIVELIHOODS FOR MILLIONS OF
PEOPLE AROUND THE WORLD AND FOR THAT MATTER THE SELECTED
COMMUNITIES,
ü  PROVIDES A SPENDABLE INCOME FOR MANY FAMILIES IN THE DEVELOPING
WORLD (JERE AND MWENDO-PEHIRI, 2004).
INTRODUCTION CONTINUED
v IN NIGERIA, FISH IS SOLD TO CONSUMERS AS:
ü  FROZEN OR ICED,
ü CURED (SMOKED),
ü SUN DRIED,
ü FRESH EITHER FROM A CULTURED POND OR FROM THE
WILD.
OBJECTIVES OF THE STUDY
•  TO IDENTIFY SOCIOECONOMIC CHARACTERISTICS OF THE
FISH MARKETERS
•  TO COMPARE ECONOMIC BENEFITS OF FRESH AND
SMOKED FISH ENTERPRISES IN THE STUDY AREAS.
MATERIALS AND METHODS
THE STUDY AREA
ü SEVEN LOCAL GOVERNMENT AREAS OF ADAMAWA STATE (NGURORE,
YOLA SOUTH, YOLA NORTH, GIREI, DEMSA, FUFORE AND NUMAN) WERE
RANDOMLY SELECTED BASED ON THEIR PROXIMITY TO THE FISH LANDING
SITES,
ü DATA COLLECTED THROUGH WELL-STRUCTURED QUESTIONNAIRE OF
FRESH AND SMOKED FISH MARKETERS FROM 7 MARKETS,
ü 286 QUESTIONNAIRES WERE RANDOMLY DISTRIBUTED AMONG THE FISH
MARKETERS.
METHOD OF DATA ANALYSIS
•  DESCRIPTIVE STATISTICS IN TERMS OF FREQUENCIES AND
PERCENTAGES
•  GROSS MARGIN ANALYSIS WAS USED TO DETERMINE THE
COST AND RETURNS TO FISH MARKETING.
RESULTS AND DISCUSSIONS
SOCIO-ECONOMIC CHARACTERISTICS OF RESPONDENTS
SOCIO-ECONOMIC FACTORS
Gender
Age groups
Marital status
NUMBER OF RESPONDENTS
Male
Female
Total
20-30
31-40
41-50
51-60
>60
Total
Single
Married
Seperated
Divorced
Widowed
Total
Fresh Fish Marketers
Frequency
Percentage
53
36.4
90
63.6
143
100
36
25.7
54
37.76
35
24.48
16
11.19
2
1.40
143
100
29
20.28
100
69.93
3
2.10
5
3.50
6
4.20
143
100
Smoked Fish Marketers
Frequency
Percentage
43
30.07
100
69.93
143
100
18
12.59
59
41.26
46
32.17
16
11.9
4
2.80
143
100
24
16.78
108
75.52
5
3.50
4
2.80
2
1.40
143
100
SOCIO-ECONOMIC CHARACTERISTICS OF RESPONDENTS CONT’D
SOCIO-ECONOMIC FACTORS
Level of education Non formal
Primary
Secondary
Post secondary
Total
Nature of business Full time
Part time
Total
NUMBER OF RESPONDENTS
Fresh Fish Marketers Smoked Fish Marketers
Frequency Percentage Frequency Percentage
52
36.36
41
28.67
53
34
4
143
113
30
143
47.09
23.78
2.80
100
79.02
20.98
100
62
36
4
143
138
5
143
48.35
25.16
2.80
100
96.50
3.50
100
30.0
27.7
25.0
25.3
23.7
23.5
21.5
20.5
20.0
19.9
%
15.9
15.0
10.0
7.1
6.0
3.9
5.0
1.9
1.9
1.2
0.0
TILAPIA
CLARIAS
SNAKE HEAD
Fresh fish
MACKEREL
Types of fish
HETEROTIS
SARDINES
Smoked fish
TYPES OF FRESH AND SMOKED FISH
OTHERS
60.0
50.0
54.5
46.9
%
40.0
45.5
34.3
30.0
20.0
7.7
10.0
2.1
5.6
0.7
0.0
0.0
0.0
1.4
1.4
0.0
0.0
Personal savings
Friends/relatves
Banks
Daily contribution
Coorperatives
Money lenders
others
Sources of capital
Fresh Fish
Smoked Fish
SOURCES OF CAPITAL IN FRESH AND SMOKED FISH MARKETING
4.9
5.3
Demand
Low
17.5
15.0
Moderate
47.6
High
62.4
30.1
Very high
17.3
0.0
10.0
20.0
30.0
40.0
50.0
%
Smoked Fish
Fresh Fish
LEVEL OF DEMAND FOR FISH
60.0
70.0
TABLE 5: FACTORS LIMITING BUSINESS OPERATION OF
RESPONDENTS
Fresh Fish
Variables
frequency Percentage
Inadequate fish supply
24
16.78
Finance
78
54.55
Inadequate demand
20
13.99
Lack of comfortable space to sale 13
9.09
Others
8
5.59
Total
143
100
Smoked Fish
Frequency Percentage
26
18.18
81
56.64
32
22.38
0
0
4
2.80
143
100
THE GROSS MARGIN ANALYSIS
q  DIFFERENCE BETWEEN THE TOTAL VALUES OF PRODUCTION (GROSS INCOME) AND THE TOTAL
VALUABLE COSTS (ADEGEYE AND DITTOH, 1985).
q  USEFUL AS PLANNING TOOL IN SITUATIONS WHERE FIXED CAPITAL IS A NEGLIGIBLE PORTION
OF AN ENTERPRISE (OLUKOSI AND ERHABOR, 1988).
q  HELPS THE MANAGER TO CRITICALLY EXAMINE THE VARIABLE COST COMPONENTS AND
q  USED TO STUDY THE PERFORMANCE OF AN ENTERPRISE, THAT IS, THE POSITIVE COMPONENTS
OF A FIRM TO OBTAIN INFORMATION ABOUT THE BUSINESS STRENGTH OR WEAKNESS (BUCKET,
1988).
ECONOMIC BENEFITS OF THE BUSINESS
FACTORS
Fresh Fish
Marketing
Total Gross Income
Total Variable Cost (TVC)
Gross Margin
Return to variable cost
Total number of respondents
₦26,181, 000
₦22,203, 450
₦3, 977, 550
₦1.18
143
Smoked Fish
Marketing
₦54, 705, 050
₦50, 004, 855
₦4, 700, 194
₦1.09
142
CONCLUSION
q  FRESH AND SMOKED FISH MARKETING WERE PROFITABLE, THOUGH FRESH FISH
MARKETING HAD BETTER PROFIT MARGIN.
q  PROCESSING OF FISH HAD ADDED COST
q  MAJORITY WERE WOMEN WITH LITTLE OR NO EDUCATION.
q  FISH MARKETING IS A USEFUL MEANS OF LIVELIHOOD FOR THE UNEMPLOYED
POLICY RECOMMENDATIONS
•  THE GOVERNMENT SHOULD ASSIST THE PROCESSORS WITH IMPROVED SMOKING KILNS TO
ENHANCED THEIR PRODUCTIVITY LEADING REDUCTION IN PROCESSING COST,
•  CAPACITY OF THE WOMEN SHOULD BE DEVELOPED THROUGH TRAINING, WORKSHOP ETC.
•  THEY SHOULD BE ENCOURAGED TO FORM COOPERATIVE SOCIETY TO ACCESS SOFT LOANS
FROM THE FINANCIAL INSTITUTIONS
•  THE LOCAL GOVERNMENT SHOULD PROVIDE COMFORTABLE SPACE WHERE THEY WILL MARKET
THEIR PRODUCTS
THANKS FOR LISTENING
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