Market supply and profitability of head cabbage production in northwest Ethiopia

Head cabbage is one of the important vegetable crops in Ethiopia in terms of production and its contribution to farmers income. The main objective of the study was to analyis market supply and profitability of head cabbage production. Specifically, it focused on key factors influencing market supply, profitability and the challenges and opportunities associated with cabbage production and marketing. For the study, a three stage sampling technique was employed, beginning with the purposive selection of four head cabbage-producing districts. Then data were randomly collected from 364 head cabbage producers in eight kebeles. To address the factors influencing the market supply of head cabbage, linear and instrumental variable regressions were applied. The study found that cabbage production is profitable for farmers, who receive a net return of 384.11 Ethiopian birr per quintal, representing 41.78% of the sale price. The Generalized Method of Moments (GMM) estimator showed that factors such as quantity produced, household size, farmers’ cooperative membership, credit use, contact with development agents, market information, and participation in on-farm and off-farm activities have a significant effect on the quantity supply of head cabbage. Additionally, favourable agroecological conditions, access to irrigation, strong market demand, and the presence of multipurpose farmer cooperatives were identified as enabling environments for the production and marketing of head cabbage. Conversely, pest and disease outbreaks, seasonality, and insufficient risk mitigation strategies were major challenges that faced farmers. As a result, adequate emphasis should be given to strengthening extension services, farmer cooperatives, and market linkages for the betterment of head cabbage production.