Value Chain Analysis for Tomato Production and Marketing in Khartoum State, Sudan

Hanadi E AbdElrazig¹, Mohammed I Musa² and Salih Elagab Elsheikh³*

Received: November 22, 2018;   Published:December 04, 2018

DOI: 10.32474/CIACR.2018.05.000219

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Summary

This study considered a value chain analysis of tomato production and its related activities, conducted in Khartoum state, to perform financial analysis for the whole chain to assess the value added and profit margin distribution among the different actors. The primary data for the study was collected through structured questionnaires for 365 respondents which included farmers (100), Intermediate (25), wholesalers (60), retailers (90) and consumer (90). The secondary data were collected from the Federal Ministry of Agriculture and Forests and Ministry of Agriculture and Animal Wealth, Khartoum State. The main objective was to look at the costs, returns and profit distributed along the chain by each actor. The analytical tools employed included financial value chain analysis, share rate analysis and descriptive statistics. The degree of value addition was 53% at primary processor in stage of farmer, 21.7% added in stage of middlemen, wholesalers added 10.2% and retailers added 15.1%. The highest percentage of total profit was get by retailer (52.1), while the farmer got the lowest one (8.8), however, the middleman and wholesaler extremely got equal percentages of total profits (19.2) and (19.9), respectively. The study recommended that the decision makers should take up initiatives for strengthening of the tomato value chain by establishing processing units in the production belts as well as improving credit services can enhance income generated from tomato marketing through increasing production and reducing dependence on middlemen.

Keywords: Marketing; Production; Share profit; Tomato value chain; Value added

Abstract| Introduction| Agricultural Value Chain Actors| Research Method| Tomato Productions in Khartoum State| Results and Discussion| Conclusion| References|