Empirical Assessment of Physical and Economic Market Access in Selected Oil Palm Markets of Akwa Ibom State

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Authors: Imabong Bassey Isong, E. J. Udoh
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Abstract

The study was conducted in six (6) LGAs in Akwa Ibom State, Nigeria, which included Ikono, Nsit Ibom, Ibiono Ibom, Onna, Okobo and Essien Udim, and one market in each was purposively selected. The population comprised value chain actors of a total of 739 respondents: 96 (4%), 359 (10.3%), 130 (23.2%), and 154 farmers, processors, wholesalers, and retailers, respectively. Data were collected with structured questionnaires covering demographic, economic, and value chain information, and the analysis employed the Farmers' Access to Market Index (FAMI). This research revealed that farmers sold mainly to outright buyers (43%) and processors (27%), while processors distributed largely to contract farmers (55%), and wholesalers dominated wider distribution, transporting oil to Lagos (10%), Rivers (20%), and the North (70%). Farmers had the weakest market access (0.0106) due to low orientation and poor information, while processors and wholesalers had stronger distribution. Market structure analysis revealed farmers (11.4%) and processors (21.3%) operated in competitive markets with weak bargaining power, whereas wholesalers (37.34%) dominated an oligopolistic structure with greater influence over price and supply. Poor infrastructure, high transaction costs, and middlemen weaken smallholders' competitiveness. Strengthening cooperatives, improving infrastructure, expanding access to information, and regulating distribution are vital for equitable and sustainable value chain participation.

Fields of Study & Subjects

Oil Palm Production and Sustainability Economics of Agriculture and Food Markets Agriculture and Agroindustry Studies

Publication details

Journal / source
Zenodo (CERN European Organization for Nuclear Research)
Publication date
1 August 2026