Abstract:
Eastern Hararghe Zone of Oromia region has the potential comparative advantage of producing
vegetables. Despite this potential the farmers in the study area rarely utilize this opportunity to
improve their livelihood. This study was undertaken to identify the determinants of smallholder
farmers’ participation in onion market and level of commercialization in Haramaya District of
East Hararghe Zone. Both primary and secondary data were used to achieve objective of the
study. A multi-stage random sampling technique was used to select 156 farm household heads
from six sample kebeles in the study area. Structured survey schedule was used to collect data
from sampled farmer household head. Descriptive statistics and econometric methods were used
to analyse data. Heckman two stage model was applied to analyse the determinants of farmer
household`s decision to participate in the onion market and level of commercialization. The first
stage of Heckman model result revealed that irrigation, and fertilizer positively affected the
decision to participate in onion market. The second stage indicted that, education of farmer
household head, and extension services negatively affect level of commercialization.
Furthermore, fertilizer positively affects level of commercialization. Thus, intervention
mechanisms that help farmers get access to sustainable and adequate fertilizer, and irrigation
that boost smallholder onion market participation and commercialization should be pursued
