Preprint Article Version 1 Preserved in Portico This version is not peer-reviewed

What Are the Factors Determining Participation Decision and Level of Participation in Milk Value Addition? Evidence From Northwest Ethiopia

Version 1 : Received: 22 May 2023 / Approved: 23 May 2023 / Online: 23 May 2023 (04:37:10 CEST)
Version 2 : Received: 24 May 2023 / Approved: 26 May 2023 / Online: 26 May 2023 (02:26:00 CEST)

How to cite: Wondim, D.; Aynalem, M.; Fekadie, A.; Fentahun, G. What Are the Factors Determining Participation Decision and Level of Participation in Milk Value Addition? Evidence From Northwest Ethiopia. Preprints 2023, 2023051566. https://doi.org/10.20944/preprints202305.1566.v1 Wondim, D.; Aynalem, M.; Fekadie, A.; Fentahun, G. What Are the Factors Determining Participation Decision and Level of Participation in Milk Value Addition? Evidence From Northwest Ethiopia. Preprints 2023, 2023051566. https://doi.org/10.20944/preprints202305.1566.v1

Abstract

Recently dairying becomes an important farming activity in the districts. Even if these districts are potential in milk production and marketing activities, little was known about determinates of participation and level of participation in milk value addition. This study was analyzing determinates of participation and level of participation in milk value addition in the study areas. Both primary and secondary data were used. Primary data were collected from 244 producers, 50 traders and 20 consumers by using semi-structured questionnaires. Data were analyzed by using descriptive statistics and econometrics model. Results from Heckman selection model first step revealed that milk producers’ participation decision on milk value addition was significantly affected by religion, distance the market, cooperative membership, volume of milk produced per day and market access. Whereas milk producers’ participation decision on the volume of milk value addition was significantly affected by religion, level of education, number of children less than six years, membership for milk cooperatives, volume of milk produced per day, access to market information, access to credit and access to livestock extension. Therefore, dairy sector development programs should take in to account determinants of participation decision on milk value addition as well as on volume of milk production.

Keywords

Determinants; Heckman; Milk; Value; Value chain

Subject

Business, Economics and Management, Marketing

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