Factors Influencing Participation in Self-Managed Livestock Markets in Rural Communities in the Republic of Benin

Abstract

Livestock in West Africa is an example of regional value chain development. It is essentially based on the trade in livestock between production areas and consumption centers. The livestock trade is an important economic activity in pastoral and agro-pastoral communities as it is their source of income. The livestock trade in these regions takes place at several sites, the best known of which are the livestock markets. Two different types of livestock market are investigated in this study. Self-managed livestock markets (Marché à Bétail Autogéré: MBA), are new models for marketing livestock in the Republic of Benin. Unlike traditional livestock markets (Marché à Bétail traditionnel: MT), MBAs offer several advantages to its participants by creating a platform where sellers and buyers can meet to trade without intermediaries. The absence of the intermediary system in the operation of MBA markets makes them different from MT markets. Because of their important role in rural development, MBAs have become the focus of policy makers and international development organizations. The purpose of this study was to analyse the factors that affect farmers' participation in MBA markets. The study used primary data collected from face-to-face surveys of a random sample of 300 livestock farmers consisting of 150 respondents from the MBA and 150 respondents from the MT. Descriptive statistics and Binary Logistic Regression were used to analyze the data. The results of the Logistic Regression Analysis revealed that access to market information, payment type, cooperative partnership, beef cattle herd size, sheep herd size, goat herd size and farmland ownership have significant positive effects on MBA market participation, while distance to market has significant negative effects on MBA market participation. Improving these factors could increase the participation of livestock farmers in the MBAs in the Republic of Benin. This would increase their income and improve their living conditions. Knowledge of the factors influencing participation in MBA markets would also help stakeholders and policy makers in their decision making.