Determinants Of Market Participation By Smallholder Soybean Farmers In Kakamega County, Kenya

Abstract

The importance of soybean (Glycine max (L.) Merrill) emanates from its multiple uses both as a food and an industrial crop. Despite soybean‟s numerous uses and its‟ ability to thrive well in the vast maize system in the country both as a rotation crop and an intercrop, its promotion efforts in Kenya have resulted in little success. Literature shows that the dismal performance of soybean is due to emphasis of promotion efforts on its production without addressing challenges at the marketing stage. Moreover, there is limited literature about drivers of smallholder soybean farmers‟ market participation. This study was conducted to fill the above knowledge gap. The specific objectives were to: describe characteristics of soybean farmers; assess factors that influence soybean farmers‟ decisions to sell, choice of market channel and amount sold. The study used primary data collected from a sample of 148 soybean farmers in Kakamega County. Descriptive statistics and a triple hurdle regression model were applied to analyse the data. Results showed that sex of the farmer, non-farm income, intercropping, input purchase, and quantity of output positively affected the likelihood of the farmer deciding to sell soybean. Regarding choice of market channel, the probability of choosing off-farm market channel was affected by years of schooling, group membership, soybean price, and quantity of output. Access to extension, access to market information, years of schooling, ownership of transport facility, and price positively affected the quantity of soybean sold on-farm. Household size and intercropping reduced quantity of soybean sold off-farm whereas group membership, land owned, input purchase, access to market information, extension, and price increased quantity of soybean sold off-farm. These findings demonstrate the need for the county government to facilitate access to fertilizer, improved seeds, and inoculants and extension services, which would improve output and vi generate marketable surplus. There is also need to empower local groups to improve their capacity as sources for sharing market information and bargaining for better prices with buyers on behalf of the members. Key words: Soybean, smallholder farmers, markets, triple hurdle model, Kakamega, Kenya.