Effects of Credit Accessibility on Performance of Tomato Market in Osun State, Nigeria

This study evaluates the effects of accessibility to credit on tomato market performance in Osun State, Nigeria. A multi-stage sampling method was employed to select one hundred and sixty (160) tomato marketers in the study area. A well structured interview schedule was designed to collect necessary data for this study. The descriptive, budgetary and logit regression analyses were carried out on data obtained. The study found that 88.8% of the respondents were female, the average age was 43.05 years, and 71.3% were married with average household size of 6.16 members. Result of analysis also revealed that 67.5% received formal education with an average of 9.81 years of schooling. On the average, respondents claimed 16.05 years of marketing experience. Only 37.5% of them claimed to have access to credit and the average amount of credit obtained within the last one year was found to be #21, 262.50. Transportation and finance were the most common challenges faced by tomato marketers in the study area. Result of logit regression analysis suggests that small scale tomato marketers are not likely to have access to credit. The result of OLS regression analysis indicated that amount of credit obtained by respondents and quantities of tomato sold per week have positive effects on marketing efficiency. The study recommends that tomato marketers should form cooperative groups/societies through which financial and transportation needs of members could be met. Keywords: Credit, Tomato, Marketing efficiency, Logit model