IDEAS home Printed from https://ideas.repec.org/a/igg/joris0/v7y2016i1p58-73.html
   My bibliography  Save this article

Primal-Dual Links to Spatial Equilibrium Market Model for Palm Oil in Nigeria

Author

Listed:
  • L. O. E. Nwauwa

    (Department of Agricultural Economics, University of Ibadan, Ibadan, Nigeria)

  • K. O. Adenegan

    (Department of Agricultural Economics, University of Ibadan, Ibadan, Nigeria)

  • M. A. Y. Rahji

    (Department of Agricultural Economics, University of Ibadan, Ibadan, Nigeria)

  • Oluwafemi Zaccheaus Olaniyi

    (Department of Agricultural Economics, Oyo State College of Agriculture and Technology Igboora, Oyo State, Nigeria)

Abstract

Distribution of agricultural produce is undertaken to bridge the gap between production and consumption arising due to spatial separation between areas of surplus and deficit. An investigation of primal-dual links to spatial equilibrium model and integration of palm oil markets in Nigeria was carried out using transportation model. Two-stage sampling technique was used to collect data from 3 markets and 276 distributors. Data were analyzed using linear programing model. Average cost of transportation per mode was bus (N17,173), truck (N10,357) and lorry (N5,831) respectively. Total transportation cost of N347,809,600.6k was observed compared to a minimized objective cost of N142,536,800.30k produced by the program. Highest optimal allocation to the destination markets using the different mode of transportation were Port Harcourt–Lagos by lorry (103,200 MT), Owerri–Maiduguri by truck (21,200 MT) and Ondo–Lagos by bus (19,800 MT) respectively. Subsidized cost of public transport facilities will reduce high cost of transportation.

Suggested Citation

  • L. O. E. Nwauwa & K. O. Adenegan & M. A. Y. Rahji & Oluwafemi Zaccheaus Olaniyi, 2016. "Primal-Dual Links to Spatial Equilibrium Market Model for Palm Oil in Nigeria," International Journal of Operations Research and Information Systems (IJORIS), IGI Global, vol. 7(1), pages 58-73, January.
    • Handle: RePEc:igg:joris0:v:7:y:2016:i:1:p:58-73
    as

    Download full text from publisher

    File URL: http://services.igi-global.com/resolvedoi/resolve.aspx?doi=10.4018/IJORIS.2016010105
    Download Restriction: no
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:igg:joris0:v:7:y:2016:i:1:p:58-73. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Journal Editor (email available below). General contact details of provider: https://www.igi-global.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.