Abstract:
This research study examined the factors affecting the choice of marketing channels of groundnuts among smallholder farmers in Arapai sub-county Soroti district. The primary objective was to identify key factors affecting the selection of marketing channels and to aid smallholder farmers in optimizing market access, thereby enhancing their reach and connection with suitable buyers. Additionally, the study aimed to support farmers in planning and improving the quality and marketability of their groundnuts to strengthen the local groundnut industry.
Specific objectives included assessing the available marketing channels for smallholder farmers and determining the factors influencing their marketing channel choices. A cross-sectional survey design was employed, gathering data from 100 respondents, which was analyzed using Statistical Package for Social Scientists (SPSS) and presented in tables and pie charts. Findings revealed that 42% of respondents sell groundnuts to wholesalers, 29% to retailers, 22% to middlemen, and 7% directly to consumers. The preference for wholesalers will reflect ease of access and better pricing terms, while direct to consumer sales were less common, potentially due to the logistical constraints. These findings suggest that targeted support in navigating marketing channels and improving product quality could significantly enhance farmers’ profitability and sustainability in the groundnut market.
