Post-harvest loss effects on income inequality along the orange supply chain in Oyo State, Nigeria

Abstract

One third of citrus fruits produced in Nigeria is wasted due to post-harvest losses with an attendant increased demand-supply gap of citrus. A reduction in post-harvest loss of orange will not only affect the income of both farmers and marketers but also reduce the income inequality in its supply chain. This study investigated the post-harvest loss effects on income inequality along the orange supply chain. Specifically, a multistage sampling technique was used to select sixty orange farmers, from Oyo and Ogbomoso Agricultural Development zones and 40 wholesalers and 80 retailers from four major fruit markets. Data were analysed using descriptive statistics, gross margin analysis, Gini coefficient and Lorenz curve. Retailers had the lowest revenue ($15.47/month) from orange, while producers had the highest revenue ($318.44/month). Specifically, income inequality was higher among wholesalers (0.82) than among producers (0.05) and retailers (0.56). Inequality was highest among wholesalers with 6-10 percent post-harvest losses (0.8180) but lowest among farmers with post-harvest losses of ≤5 percent.