| dc.description.abstract | Most findings suggested that marketing, innovation and competitive pressures emanating from relevant imports are significant catalysts for decreasing total factor productivity (TFP) and economic growth. The Nigerian government believes that importation of processed tomato paste is hurting local farmers’ production. Partly to respond to this concern, this study is set to examine the dynamic relationship among local farmer’s production, tomato prices and the importation of processed tomatoes. We then identify the effect that inconsistent government policy has on the importation, as it affects final consumers. The Dickey-Fuller test for stationarity is used to approach correlation relationship and stationarity; OLS regression is used to study the relationship between the exogenous and endogenous variables. The local farmer’s production and importation of tomato paste are positively correlated, responding, increasing consumer demand.
The significance of this study lies in the fact that importation of processed tomatoes increases to meet demand whenever local production of tomatoes, also increasing, fails to fill demand. Thus, there is positive correlation between production and imports. This shows that tomato paste is necessity for consumers. Imports help to make food affordable and available to the consumers. This will also be useful by government agency, policy makers, and business owners in identifying farmers plight and consumer preferences to meet the demand. This research work serves as a contribution to the body of knowledge and supports future studies on the effects of imported goods on the national economy. | en |
