PROCESSING AND MARKETING OF GUM ARABIC IN BORNO STATE, NIGERIA
PROCESSING AND MARKETING OF GUM ARABIC IN BORNO STATE, NIGERIA
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Date
2005-06
Authors
SAMBO, MATTHEW BATSAA
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Abstract
The study investigated the processing and marketing systems of Gum
Arabic in Borno State. Five local government areas were purposively selected for
the study based on availability of the produce under review. A total of 192
respondents were sampled for the study. They include: Farmers/Collectors (106),
Rural Assemblers (78) and Urban Assemblers/Processors (8). Structured
questionnaire and oral interviews were used for primary data collection. Data
collected were analyzed using descriptive statistics, simple index number, gross
margin and marketing performance measuring techniques; marketing margin and
efficiency.
The results of the study show that, the average age of the respondents was
45 years. Also, about 40% of females mostly from nomadic families participated
as collectors while male dominate other areas of processing and marketing of Gum
Arabic. A seven-year simple index number analysis indicated an annual price
increases from 1998 – 2003 with a more than 30% remarkable price increased
from 2003 - 3004. The result of gross margin and average rate of returns analysis
shows that, for each metric tonne of grades I, II and III Gum Arabic processed, a
gross margin of N21,800, N9,120 and N1,660 respectively was received. Also
average rate of returns of N1.32, N1.26 and N1.08 was received for every one
naira invested in processing each metric tone of grades I, II and III Gum Arabic
respectively. The Urban Assemblers recorded the highest average marketing
margin of 24.8%, 22.8% and 36.1% for grades I, II and III respectively.
Commission agents who acted on behalf of their client, received the lowest
marketing margin of 3.2%, 3.6% and 3.1% for grades I, II and III respectively. The
marketing efficiency analysis for the five markets studied shows that Maiduguri
market recorded the highest average efficiency of 116% while; Kukawa market
recorded the lowest average efficiency of 62% for grades I,II and III. The first
three major problems of the processors were adulteration of produce, lack of
industrial processing facilities and financial problems, while adulteration of
produce, poor market information and financial problem were the first three major
problems of the marketers.
The study suggested that Gum Arabic testing and other marketing facilities
should be provided by NAGAPPEN and Government at the market and processing
areas. Traders and manual processors of Gum Arabic should form co-operative
Societies in order to facilitate loans procurement and repayment from financial
sources and also to ease flows of market information. Gum Arabic producing
States should build and equip processing facilities in their states which can be later
privatized.
Description
A Thesis Submitted to the Faculty of Agriculture and the School of
Postgraduate of Ahmadu Bello University in Partial Fulfillment of the
Requirements for the Degree of Master of Science (Agricultural
Economics) Department of Agricultural Economics and
Rural Sociology, Ahmadu Bello University,
Zaria, Nigeria.
Keywords
PROCESSING,, MARKETING,, GUM ARABIC,, BORNO STATE,, NIGERIA