CO-INTEGRATION ANALYSIS: A FISH MARKET CASE IN BORNO STATE, NIGERIA

This study estimated the extent of co-integration in fish prices in Borno, Nigeria. This study specifically analyzed the trend of fish prices and estimated the extent of co-integration in fish prices in Borno State, Nigeria. The study used time series data of prices of various categories of fishes that covered the period from January 2017 to December 2022, which were obtained from the National Bureau of Statistics and the Food and Agriculture Organization Statistics. The data were subjected to a unit root test and analyzed using graphs and Johansen’s co-integration test. The results indicated that the prices of fish fluctuated over time. The results also revealed that the quantity of fish supplied and the prices of fish and its substitutes were integrated with seven co-integrating vectors, confirming strong short- and long-run relationships between the quantity of fish supplied and the prices of fish: dried tilapia, iced sardine, fresh tilapia, fresh African Arowana (Bargi), smoked catfish, and fresh catfish. It is recommended that fish farmers, processors, and marketers closely monitor changes in fish and substitute prices and adjust their production and marketing strategies accordingly to maximize their benefits and remain competitive in the market.