Economic Analysis of Tomato Spoilage in Selected Markets of Ondo State

Bachelor Thesis from the year 2017 in the subject Business economics - Market research, grade: A, , course: Agricultural & Resource Economics, language: English, abstract: This study examined the economic analysis of tomato spoilage in selected markets of Ondo State. The study was carried out in Akure South, Akure North, Owo and Ondo West Local Government Areas (LGAs) of Ondo State, Nigeria. The specific objectives of this study were to: describe the socioeconomic characteristics of tomato marketers in the selected markets, identify factors that cause tomato spoilage, examine the methods used by tomato marketers in minimizing tomato spoilage, and estimate the amount of loss due to spoilage in the selected markets. A total of eighty (80) respondents were selected for the study through the use of multistage sampling procedure. Data collected were analysed using descriptive statistics and formulae for calculating losses associated with spoilage. The study shows that 35% of the marketers were male and 65% were female, the largest percentage (27.5) of the marketers fell in age group 30-39 and 40-49 years. About 53.75% of the marketers source their capital through personal savings. Only 16.25% of the marketers were illiterate while the remaining 83.75% attended at least primary school and this made little arithmetic to be easily done. The main cause of tomato spoilage was attributed to impact damage (especially collision during transportation due to bad roads) as seventy seven (77) of the marketers affirm this. The main spoilage reduction method adopted by the marketers was proper sorting of the tomato, seventy six (76) of the marketers affirm this. The average loss due to spoilage was estimated as follows; Percentage loss was 16.05%, Quantitative loss was 22.24Kg and Economic loss was N2,396.04. The main problem encountered by the marketers was loss. Therefore, a lot of tomatoes were lost to spoilage due to impact damage and hence it is recommended to reduce spoilage level by establishing tomato processing industries in Ondo State.