Socio-economic Factors Affecting Uptake of Banana Value Addition among Smallholders in Chuka Sub-county, Tharaka Nithi County, Kenya

Abstract

Banana farmers in most parts of Kenya have not embraced value addition despite its accrued economic benefits and emphasis by stakeholders. A study was done in Chuka Sub-County, Tharaka Nithi County to identify the socio-economic factors affecting uptake of banana value addition by farmers. The study was based on the diffusion of innovations theory to establish the relationship between farming experience, group membership, access to credit and uptake of banana value addition. The study adopted a descriptive research design whereby frequency tables were generated whilst both qualitative and quantitative data was collected. The target population was 20,180 banana farming households in Chuka Sub-County and 3 key informants. Purposive sampling, Random sampling and snowballing techniques were used to select the 156 banana farmers. A pilot study of 24 (15% of sample size) households was done in Imenti South and the questionnaire was found to be reliable (Cronbach alpha value, α˂0.785). With a 90% questionnaire return rate, the data collected was analyzed using SPSS version 25 and presented using frequency Original Research Article Muigai et al.; AJAEES, 39(1): 22-34, 2021; Article no.AJAEES.63330 23 tables. Binary logistic regression was used to test the levels of significance of variables and the model through the Hosmer & Lemeshow test of the goodness of fit suggested that the it was good for fit to the data as p=0.480 (>0.05) while ANOVA analyses were used to check the presence of multicollinearity. It was observed that only 31.9% of farmers uptake banana value addition and there were no banana value addition technologies identified with 35.6% and 64.4% of those who uptake doing banana ripening for sale and bulk packaging respectively. The results [P=0.05] showed that group membership [p=0.019] and access to credit [p=0.004] had a positive and significant effect on the uptake of banana value addition by farmers at varying levels. It was observed that farming experience had a positive effect on the uptake, but was statistically insignificant. The study recommended that; farmers should be encouraged to form cooperatives on value addition and the government and other stakeholders in conjunction with financial institutions need to streamline policies to enhance farmer’s access credit for effective farming among others.