Analysis of Improved Wheat Seed Marketing: The Case of Lemo District, Hadiyya Zone, Southern Ethiopia

Wheat is an important crop, which serves as a source of both food and cash in many parts Ethiopia. The Southern Nation, Nationalities and People Regional State is an ideal place for wheat production. Lemo district is one of the major producers of wheat products. Hence improved wheat seed is fundamental and basic element to improve production and productivity using other complementary inputs and technologies. In this regard effective wheat seed delivery and market oriented seed system needs considerable attention. Hence the general objective of the study was to analyze improved wheat seed marketing in Lemo district. The specific objectives of the study were to identify improved wheat seed market actors and their roles, to identify opportunities and constraints in wheat seed marketing and to identify factors influencing market participation decision and extent of participation in improved wheat seed purchase in the study area. A two stage random sampling procedure was employed to select 123 sample households. Data were obtained through face to face interview and focus group discussion by using pre-tested questionnaire and checklist respectively. Secondary data from different published and unpublished sources were used to support the data obtained from primary source. The major improved wheat seed market actors identified during this study were Hadiya zone Agricultural and Natural Resource Office, Lemo Woreda Agricultural and Natural Resource Office, Licha Cooperative Union, improved wheat seed multiplier farmers and farmers themselves. Descriptive statistics tools like mean, percentage, frequency distribution were used to summarize characteristics of the sample households. Econometric model, double-hurdle model was used to identify factors affecting improved wheat seed market participation decision and intensity of participation of farm households. The result of the model shows that frequency of extension contact, total cash income of the household, experience in improved wheat seed purchase, membership in cooperative, credit use, and total income of the household affected market participation decision significantly and positively. On the other hand, education level, frequency of extension contact, total cash income of the household and credit use affected intensity of participation significantly and positively while, distance to nearest market affected intensity of participation significantly and negatively. Therefore, this result implies that strengthening the existing extension contact, providing good transport facilities for farmers through infrastructural development, facilitating credit access, strengthening formal and informal education, giving trainings on seed marketing( on improved wheat seed purchase)and awareness in uses of cooperative need special emphasis in the study area.