Socio-Economic and Profitability of Fisheries Enterprises the Case of Fincha Amarti Nashe Reservoir of Oromia State, Horo Guduru Wollega zone, Ethiopia

Bikila Keno Amanuel Zewdie


The study focused on the analysis of value chain- The case of Fincha Amarti Nashe reservoir of Oromia state, Horo Guduru Wollega zone, Ethiopia. The socio-economic characteristics of the stake holders along the fisheries enterprises and Analyses of market performance were employed to analyze marketing profit and profit margin of the chain actors. Marketing margin was calculated by taking the difference between fisher men and retail prices. Analyses of fish value chain performance were done using market share and gross margin analysis.  The chain is governed by wholesalers and retailers who have capital advantage over the other chain actors. Therefore, fisher men are forced to capture a lower share of profit margin. The constraints were also described and the factors that influence consumer preferences in the study area were identified. The data were collected from both primary and secondary sources. The primary data for this study were collected from 122 selected by Multi-stage random sampled fisher men, 6 traders and 30 consumers through structured questionnaires and checklist. Descriptive statistics and econometric analysis were used to analyze the qualitative data collected from fish producers, traders and consumers by using multinomial logit model. The data which was collected from the sample fisher men, consumers were and traders were analyzed using descriptive statistics which include mean, standard deviation, chi-square, t-test, frequency table, and percentiles were used to analyze the data collected. Fishing was found to be male dominated (75.25 %), while processing was found to be female dominated (10.75 %) in the three selected kebeles of the district. The Other constraints experienced by fishermen were lack of market, low price of product, lack of transport, lack of market information, distance to the market and Perishability. Consumers also face high cost of fish, deterioration of fish and poor sanitary condition problems. In conclusion, therefore, fisher men are forced to capture a lower share of profit margin. Thus, strategic plan at improves extension services on training of local fisheries, entrepreneurial with management skills and assembly of marketing team provided to the concerning stakeholders, women’s empowerment and gender equity, launch  credit access for the fisheries sector & Introducing improved fishing inputs and accessing market with facilitating means of usual  transport, strengthening the supportive activities such as market information centers would also lift up fish supply, NGO`s , research centers and gov`t concerned sectors attentions are recommended to speed up the chain’s development. Therefore Government should provide loan scheme for the proper increase and boasting of fisher men and processors activities.

Keywords: Socio-economics, Fishermen, Fish Consumers, Constraints, Value chain analysis, Fish, Actors, Marketing margin, Market outlet, Multinomial logit Model

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ISSN (Paper)2224-6096 ISSN (Online)2225-0581

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