Marketing analysis of fresh tomatoes in Abeokuta North Local Government Area of Ogun State, Nigeria

The marketing of fresh tomatoes is faced with many challenges mainly due to their high perishability and seasonality. This sometimes results in a lot of wastage and thus a decrease in the profits of the marketers. The study analyzed the marketing of fresh tomatoes in Abeokuta North Local Government Area of Ogun State with the aim of determining how profitable the venture was in the study area. A two-stage sampling technique was used to select 240 tomato marketers for the study. Primary data collected from the respondents with the use of well-structured questionnaires were used for the study. The objectives of the study were achieved using descriptive statistics, gross margin analysis, marketing margin analysis, and multiple regression analysis. The study revealed that the majority (76.7%) of the marketers were female. Most (70.9%) were within the age bracket of 31–50 years and 22.5% of them had no formal education. The cost and return analysis revealed that all of the marketing (100%) costs were variable and 90.4% was the cost of purchase. The total revenue was ₦181,845.35 (about 227 USD) and the marketing margin was 27.03%. The enterprise was profitable, with a gross margin of ₦55,102.45 (about 69 USD), and returns per naira invested were ₦1.43k. Gender, purchase price of tomatoes, transportation costs, marketing experience, and level of education were significant determinants of the quantity of the produce purchased by marketers for sale. The study concluded that fresh tomatoes marketing is a profitable venture in the study area. Therefore, the study suggested, among other things, that the government should construct new access roads and rehabilitate existing ones to make transportation of fresh tomatoes from the farms easier and cheaper for marketers.