Abstract

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This study was undertaken with the objective of identifying factors affecting haricot bean market outlet choices in Misrak Badawacho District, Ethiopia. Multivariate Probit model (MVP) were used to analyze the determinant factors that affect the choices of market outlet of smallholder haricot bean farmers. In the study area rural assemblers, direct consumers and urban traders marketing outlets were used by haricot bean producer farmers. MVP model result revealed that distance to all weather road and distance to the nearest district market had a positive association for the probability to choose the rural assemblers market outlet whereas, number of equine owned and use of credit had a negative association. The probability to choose direct consumers outlet number of equine owned had a positive association. Number of equine owned, use of credit, membership in cooperative and price information had positive association, where as distance to the nearest district market were negatively affected the probability to choose the urban traders outlet. Therefore, this implies that the need to invest on improving the present infrastructure like roads and transportation facilities, market information delivery system; strengthening the rural microfinance system to address the credit needs of farmers and promoting farmers group are vital area of intervention that would assist smallholder farmers to choose the more rewarding market outlet.

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