Patterns and Determinants of Livestock Farmers’ Choice of Marketing Channels: Micro-level Evidence

This paper investigates the patterns and determinants of smallholder livestock farmer’s market participation, as well as the market channel choice using a micro-lever survey data from Ethiopia. Binary logit and multinomial logit models have been applied for empirical data analysis. The estimated results reveal that gender and educational status of the household head together with household access to free aid, agricultural extension services, market information, non-farm income, adoption of modern livestock inputs, volume of sales, and time spent to reach the market have statistically significant effect on whether or not a farmer participates in the livestock market and his/her choice of a market channel. The results suggest that relevant policy interventions in the directions of the aforementioned factors are central to stimulating smallholder market participation with relatively better market outlets and escape from subsistence poverty traps in Ethiopia.