Socio-economic determinants of ginger (Zingiber officinale) surplus traded in Nigeria

Pages 195-197

G.N. Asumugha, J.E. Njoku and F.I. Nweke

ABSTRACT

Ginger (Zingiber officinale) a root crop, is an important cash crop in Nigeria which contribute to foreign exchange earnings. Ginger is used as spice in confectionery and bakery industries, in culinary as well as soft drink concentrates, and in perfume and pharmaceutical industries. In this study, the socio-economic determinants of the ginger surplus traded in Nigeria are analyzed using the method of ordinary least squares (OLS) regression. Cross-sectional data were obtained in a survey across the ginger growing and marketing areas of Nigeria. The study covered the period 1996-1997. The empirical results of the regression analysis suggests that the ginger surplus traded is fairly well accounted for by age of trader, marital status, household size, social organization membership, trading experience, source of capital and transportation mode as indicated by the high t-values obtained for the coefficients. This was at 1-10 percent levels of probability. The coefficient of determination (R2) was 0.83 showing that 83 percent of the total variations in the surplus ginger traded were explained by the included explanatory variables. It is recommended that in maintaining surplus ginger produced and traded in Nigeria, attention should be paid to this group of variables. Also reasonable producer prices for ginger should be ensured.

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