Cost-benefit efficiency and factors influencing farmers' choice of marketing channel in grape value chain: Evidence from Kabul, Afghanistan

The marketing of agricultural products plays a decisive role for small-scale farmers, to provide income that make their livelihoods stable and sustainable. The objectives of this study are to determine the most efficient marketing channels for grape farmers and analyze factors influencing farmers' choice of a marketing channel. The analysis is based on primary data. Shepherd's, Acharya and Aggarwal methods are used to estimate the efficiency of the concerned marketing channels. A Multinomial Logit Model is employed to identify the factors that influence farmers' choice of a marketing channel. The results revealed that out of the three studied channels, wholesale market is the most efficient channel. Regarding the factors, significant effects are observed with family size, distance, market information, bargaining powers, education, and grape varieties. These findings may suggest the needs for enhancing the collective action of farmers, access to market information and improvement of rural infrastructures in the country.