THE IMPACT OF ROAD TRANSPORT COST ON THE MARKETING OF AGRICULTURAL PRODUCE IN ARADA COMMUNITY OF OGBOMOSHO SOUTH LGA, OYO STATE

Student: Semiloore Eyitayo Adebiyi
Supervisor: Prof Boye Benedict Ayantoyinbo
HOD: Prof Boye Benedict Ayantoyinbo
Department of Department of Transport Management
FACULTY OF MANAGEMENT SCIENCES
Ladoke Akintola University of Technology, Ogbomoso, Oyo State

Abstract

This study investigates the impact of road transport costs on the marketing of agricultural produce in Arada Community, Ogbomosho South Local Government Area of Oyo State, Nigeria. There search sought to identify the major factors influencing transport costs, examine their effects on farmers’ profitability and market access, and evaluate the implications for consumer food prices. A descriptive survey design was employed, with data collected through structured questionnaires administered to farmers, traders, and transporters in the community. Both descriptive statistics and regression analysis were used for data analysis. Findings reveal that poor road conditions (78%), high fuel prices (69%), and vehicle maintenance expenses (60%) are the most significant contributors to rising transport costs, compounded by inadequate transport facilities. The secosts substantially reduce farmers’ profit margins, limit their ability to access more profitable urban markets, and contribute to post-harvest losses (68%), particularly for perishable produce. Moreover, the burden of transport costs is often transferred to consumers, leading to seasonal increases in food prices and reduced affordability. Regression results confirm astatistically significant relationship between transport costs and both profitability (p=0.000, R²=0.61) and food prices (p=0.002, R²=0.53). The study concludes that road transport costs present acritical barrier to efficient agricultural marketing in rural communities. It recommend surgent rural road rehabilitation, targeted fuel subsidies for agricultural transport, the promotion of farmer cooperatives, improved market infrastructure, and increased private sector participation in rural logistics. Addressing the sechallenges will enhance profitability for farmers, stabilize food prices, and contribute to improved food security and economic development in the region.

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