TITLE AN EVALUATION OF WHOLESALE MARKETING OF TOMATOES AND PEPPER IN AKURE METROPOLIS, ONDO STATE, NIGERIA

Student: Bright Oluwaseyi Fagite
Supervisor: Mr Joseph Omotosho Ajayi
HOD: Prof Akinrinlola Olumide Oyewole
Department of Agricultural and Resource Economics
Agriculture and Agricultural Technology
Federal University of Technology Akure, Ondo State

Abstract

Abstract This study evaluated the wholesale marketing of tomatoes and pepper in Akure Metropolis, Ondo State, Nigeria, with emphasis on socio-economic characteristics of marketers, market structure, conduct and performance, profitability, and constraints faced in the trade. Primary data were collected through the administration of structured questionnaires to 60 randomly selected wholesalers across three major markets: Oja-Oba, Isinkan, and Shasha. Data were analyzed using descriptive statistics, gross margin analysis, and the Gini coefficient. Findings revealed that the trade is dominated by women (68.3%) and the majority of respondents were within the active age bracket, with an average age of 43 years. Most marketers were married and had considerable marketing experience, with more than 70% having over five years in the business. Profitability analysis indicated that tomato and pepper wholesale marketing is highly profitable, with a total revenue of ₦8,434,500 and total variable costs of ₦4,900,960, resulting in a gross margin of ₦3,533,540. On average, each wholesaler earned a gross margin of ₦58,892 monthly. The marketing margin was 47.3%, while the Gini coefficient of 0.60 showed moderate competition among wholesalers. The major constraints identified included inadequate storage facilities (30%), price fluctuations (20%), high taxes and levies (18.3%), limited access to credit (16.7%), and low patronage (15%). These challenges significantly affect the efficiency and profitability of the marketing system. The study concludes that wholesale marketing of tomatoes and pepper in Akure Metropolis is profitable but hindered by infrastructural and financial constraints. It recommends improved storage infrastructure, better access to credit, price stabilization measures, and reduced transaction costs to enhance profitability and sustainability of the trade.

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