MARKETING

THE ROLE OF ROAD TRANSPORTATION NETWORK IN THE MARKETING OF AGRICULTURAL PRODUCTS

Format: MS WORD |  Chapter: 1-5 |  Pages: 65-80 |  Price NGN3,000

THE ROLE OF ROAD TRANSPORTATION NETWORK IN THE MARKETING OF AGRICULTURAL PRODUCTS: A CASE STUDY OF ABAKILIKI LGA IN EBONYI STATE

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

Transport is regarded as an important factor involved in agricultural development all over the world. It is the only means by which food produced at farm site is moved to different homes as well as markets. Transport creates market for agricultural produce, enhances interaction among geographical and economic regions and opens up new areas to economic focus. There are complex relationships that vary both spatially and over time between transport and development. However, for any development to take place, transport plays a crucial role. Ogunsanya (1981) observed that there are three types of routes in the rural areas viz; bush paths, unsurfaced rural roads and surfaced rural roads. However, the bush path is very common but the least developed of all the routes. Bush paths link villages with farmsteads and they are usually narrow, winding and sometimes overgrown by weeds especially during the rainy season.

In a study carried by Filani (1993) in rural areas of Nigeria, it was discovered that where motorable roads exist they are mostly of unpaved surface, narrow width, circuitous alignment and with low quality bridges. In most cases, they are either clad with potholes or characterised by depressions and sagging. Such unsurfaced roads are hardly passable during the rainy season when vehicles get stuck in mud or when the improvised bridges of cut-free trunks get swept away by flood. In another study carried out by Ogunsanya (1988) on relationship between transportation, underdevelopment and rurality, he observed that the greater the degree of rurality, the lower the level of transport development.

Aderamo and Magaji (2010) noted that transportation constitutes the main avenue through which different parts of the society are linked together. Jegede (1992) cited by Ajiboye and Afolayan (2009) noted that road transport is the most common and complex network. It covers a wide range, physically convenient, highly flexible and usually the most operationally suitable and readily available means of movement of goods and passenger traffic over short, medium and long distances. According to Ajiboye (1994), availability of transport facilities is a critical investment factor that stimulates economic growth through increased accessibility. Paul et al. (2009) pointed out that the impacts of road infrastructure on agricultural output and productivity are particularly important in Sub-Saharan Africa for three reasons. First, the agricultural sector accounts for a large share of gross domestic product (GDP) in most Sub-Saharan countries (Paul et.al 2009). Second, poverty is concentrated in rural areas. Finally, the relatively low levels of road infrastructure and long average travel time’s result in high transaction costs for sales of agricultural inputs and outputs, and this limits agricultural productivity and growth. According to Mabogunje (1971), some of the variables that determine the level of development in a given environment are easy accessibility and mobility.

1.2 STATEMENT OF THE PROBLEM

Transport affects agricultural marketing because it is the only means by which farmers can transport their produce to the market. Poor transportation in the rural areas has resulted in low productivity, low income and a fall in the standard of living of rural residents and high rate of poverty (Aloba, 1986). A strong relationship between transportation, underdevelopment and rurality was identified by Ogunsanya (1988). He stressed further that the greater the degree of rurality, the lower the level of transport development. When the distance of farm to the market is far and the road is rough perishable crops may be destroyed and farmers may run at a loss. It is against this background that this study examines the impact of road transport on agricultural production in Abakiliki Local Government of Ebonyi State, Nigeria.

Ever since the beginning of time, agriculture and transportation have always co-existed inseparably.  This is not only because the source of food and fibre and other economic product must be reasonably accessible and on being collected, be distributed to makers, parts and factories, but also that adequate transportation mode and efficient carrier service operations are a necessary condition for effecting an efficient physical distribution of agricultural products.  Indeed, adequate and efficient transportation network is a cornerstone of the modern food marketing system.  Transportation thus services as a means of moving goods, ideas and information geared towards increased productivity.

In Nigeria, roads constitute perhaps, the most important infrastructure in the structural transportation of her agriculture. In Abakaliki, most of the roads traverse a territory of sharp contrasts in climate, soil and vegetation and this hinders agricultural progress in some rural areas, most of the roads which are of course essential for the prompt evacuation of produce from the farms to the market places are often times inaccessible all year round. Most of these roads, especially feeder roads are unsurfaced, narrow, bad, poorly drained and winding and this prevents easy access to the hinter lend where the majority of the farmers are located.  Even in Abakaliki main town where such roads are in a fair condition, there is the problem caused by poor maintenance, lack of adequate executive capacity, lack of suitable materials, and management problem.  The vicious combination of these factors is that costs are higher, marketing possibilities are uncertain and incentives to produce are low.

Besides, the inadequacy of road network services are inefficiently executed.  Delay in transit, bad loading and offloading, and rough handling of goods characterize road transport resulting in great losses from damages, spoilage and detonation of products. Poor transportation also has the added effect of preventing farmers from specializing in the crops that offer them the best return.  Where transport is inadequate, each former attempts to keep his family supplied with all their needs, and he therefore retains more food than he actually needs, and he therefore retains more food than he actually needs.  This is because if he runs short, it will be difficult to tap other resources and this entails higher losts as a result of transportation this often poses a problem because urban dwellers will be faced with dearth of foodstuffs and other essential goods manufactured from agricultural materials. These problems that confront rural transportation in Nigeria, therefore, hinder it’s ability to improve the system of land use for agricultural production.

If agriculture is to respond to the growing demand, than it will be necessary to evolve a good progressive rural structure with rural roads to expedite and reduce the cost of flow of agricultural commodities, information and all sorts of rural service to enable it contribute meaningfully to general economic growth.  This will help accommodate increased traffic flows in both directions, inputs moving from the urban areas to the farms and output in the opposite direction.  The task involves very large additions to rural road mode and maintaining existing roads, the expansion of storage and processing facilities and a new institutional arrangement for managing and financing the total system this is of course, a no mean task indeed.

1.3 OBJECTIVES OF THE STUDY

This study will attempt to relate road transport to the economy as regards the role of a road transportation mode in marketing Agricultural product in Abakaliki L.G.A. Ebonyi State.  The objectives include:
i. To determine the extent to which road transportation system has affected the marketing of Agricultural products.
ii. To identify these factors that are directly have contributed to this.
iii. To offer useful recommendations with a view to making the marketing of Agricultural products in Abakaliki L.G.A. Ebonyi State, more successful and effective.

1.4 RESEARCH HYPOTHESES
Based upon the earlier stated objectives, this study will see to test three major hypotheses. These are:
Hypothesis I
Ho:
  The nature of road network system in Abakaliki does not affect the marketing of her agricultural products.
Hi:  The nature of road network system in Abakaliki affects the marketing of her agricultural products.
Hypothesis II
Ho:
   Inaccessibility does not reduce the incentive to produce.
Hi:   Inaccessibility reduces the incentive to produce.
Hypothesis III
Ho:
   The cost of transport  does not affect the price of the farm products.
Hi:   The cost of transport affects the price of the farm products. 

1.5 SIGNIFICANCE OF THE STUDY
The increased interest in this study is due pointy to the gainful and developmental inputs agriculture can make to the economy and most importantly to the tremendous role of transportation infrastructure on regional economies.  This is because transport and development, as well as Agriculture are usually regarded as closely related since each of them influences the fortures and relative rate of growth of others.
The significance of the study is further highlighted considering that in Nigeria, the road is the only mode of transport by which all the states of federation are linked especially with regards to the movement and distribution of Agricultural products from various rural areas of production to the different urban areas of the states for consumption.
Finally, the study shall also serve as a stimulant or reference guide for further research in this area especially in this era of population explosion and impending food storage.

1.6 SCOPE OF THE STUDY
In Abakaliki, Ebonyi State, most of the Agricultural Products (Yams, garri, cassava, rice, vegetables, tomatoes etc), are produced in the villages located in remote towns.  Because of difference in ecological factors such as climate, soil texture, topography etc, some village produce more of one or several type of food and other Agricultural products than the others. Taking cognizance of the fact that the study covers the entire Abakaliki local government area, as a result of dearth of time therefore, it would be time some and almost impossible to visit all the towns and villages in Abakaliki L.G.A. Ebonyi State.
Secondly, because the attendant cost involved if the whole towns and villages should be visited cannot be afforded by the researcher, coupled with the final year academic work, and recognizing that Abakaliki town is the greatest producer of the main staple food items (yam, garri, cassava, rice, groundnut, pepper) in the state, the study therefore will be restricted and limited to the aforesaid zone in investigating the role of road transportation mode in marketing Agricultural products in Abakaliki, Ebonyi State.

1.7 DEFINITION OF TERMS    
Considering that the subject matter of the study is the role of road transport mode in the marketing of Agricultural products.  Definition of term will be attempted. However, such definitions are only made and to be understood within the contest of the study.
AGRICULTURE: Agriculture may be defined as the Science, art, and business of farming, it involves all activities directed towards food production.
MARKETING: Marketing is defined as the performance of all business activities that direct the flow of goods and services from the producer to the consumer it emphasizes the flow of products or service that have already been produced.
AGRICULTURAL MARKETING: Agricultural marketing may be defined as the performance of all business activities involved in the flow of Agricultural products and services from the point of initial Agricultural production until they are in the hands of consumer’s it involves the application of the knowledge of marketing to the formulation, implementation and control of activities which are directly or related to agriculture.

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