An empirical analysis of variety price premium attributes, spatial andtemporal pricing patterns for cowpeas in Ogun State, Nigeria

The paper examined variety price premium attributes, spatial andtemporal pricing patterns of cowpeas in Ogun State Nigeria. Monthlyretail cowpea prices were collected over the period of January 1989 toDecember 1999, for peu (drum) and sokoto varieties. Four marketslocated in four zones were used for the study. Choice of the marketswas based on the volume of cowpea sales and their location from thestate zonal headquarters. Analysis of covariance (ANCOVA) was used toprocess data collected. Retail price in a given month was regressed onvariety, location, season and the covariate, trend. The model had agood fit, explaining 46 percent of total variation in commodity price.The estimated parameters of variety dummy, location dummies and thecovariate, trend - were all significant. Six out of the estimated11parameters of the seasonal dummies were significant while five werenot, thus stratifying seasonal price into low commodity price monthsand high commodity price months. Location price difference wasinversely related to distance from the central commodity market, andthe seasonal price difference was attributed to storage technique.These show imperfect competitive market behaviour. peu/drum withcharacteristics of brown colour, rough skin and large grain size had aprice premium than sokoto, which is white, rough skinned and of smallergrains. Spatial and temporal price differences observed can be reducedthrough a better road network, improved storage techniques and adequatemarket information. The identified cowpea attributes of large grain,rough skin and brown colour are recommended attributes in breedingprogrammes.