ABSTRACT

This study was conducted to ascertain the chain analysis of rice market in Abia State Nigeria. The survey research design was adopted using the muti-stage random technique. Primary and secondary data were extensively used while the questionnaire was used in eliciting information from the respondent. The specific objectives of this study are to describe the socio-economic characteristics of the respondents; determine the factors that influence profitability of the enterprise; analyze the structure, conduct, and performance of rice market; identify major constraints of rice marketers in the study area and make recommendation based on the findings. The respondent was selected through a questionnaire administered to them. A total of 120 questionnaires was distributed and 94 was responded. The result of the analysis was made through descriptive statistics and regression model. From the findings, it has been observed that profits in the enterprise depends on certain factors like age of the respondents, income level, household size, marketing cost, sales volume or volume of scales and experience. It was also seen that entry into the market is free. Cost price is the major determinant of fixing prices in the market. The performance shows that as volume of sates increases, profitability among rice marketers increases. High risk and high transport cost were the major constraints faced by the marketers. It is therefore recommended that marketing costs which has negative relationship with profit, should be reduced to the nearest minimum. Furthermore, efforts should be made by government in the provision of roads which has effects on transportation of produce, risk involves in travelling amongst others.