In Ethiopia, cereal production and marketing are the means of livelihood improvement for millions of households. Wheat is the major crop grown on the study area for consumption as well as for market. However, marketing aspects of wheat commodities, which have high demand and production potential, was unresolved. Therefore, this research attempted to examine the analysis of wheat market chain the case of North Gondar zone with the specific objectives of identifying marketing channels, analysis of wheat profitability and identifying factors affecting the intensity of marketed surplus of wheat. In order to attain these objectives both primary and secondary data source were employed. The primary data were collected from 163 wheat producers and 32 traders through interview schedule and key informant interview by using pre-tested semi-structured questionnaire and checklist, respectively using multi stage sampling techniques. The result of descriptive statistics shows that majority of farmers (66.78%) were supplied wheat below the average marketed surplus. Likewise, The net benefit calculated for producers, rural assemblers, district retailers and wholesalers were Birr 366.64/year, 3,409.6/year, 18,131.63/year and 109,620.25/year, respectively. Multiple linear regression models was used to identify factors affecting intensity of marketed surplus of wheat. The results of multiple linear regression models showed land size, quantity of wheat produced; non-farm income, market information and distance to the nearest market significantly influence the extent of wheat supply in the market. Based on the findings, the study suggested conveying reliable and timely market information required by all stakeholders; farmers should be relying on intensive cultivation rather than extensive cultivation; adopting new technologies and management systems to boost the production and productivity of wheat.
Keywords: Production; profitability Marketed Surplus; Market Channel; wheat; Ethiopia