As one of the leading world producers of cassava, the need to add value to its primary products cannot be over emphasized. The general objective of the study is to analyse the value chain of cassava in Oyo State. A multistage random sampling technique was used to select forty (40) respondents from each of the six (6) major value chain actors (input suppliers, farmers, processors, marketers, transporters and end users). The data collected were analyzed using frequency distribution tables and mean. Costs and return analyses, market margin analysis and profitability ratios The results of the study show that prices and market margins have been computed at the different stages of the chain in order to reflect the value addition through various participants of the chain. Marketing channels have been found to be well established in the state. No major value addition is done by the players at farmers’ level till aggregators’ level. Value addition was pronounced by the processor’s players. The study has observed a high ratio of assemblers versus farmers and aggregators versus assemblers in the channel. In spite of this high ratio, both assemblers and aggregators are able to earn profit and are continuing the business. It is suggested that cassava based industries should be jointly promoted by state industry department and state agriculture department.

Keywords: value chain, cassava, marketing, market margin, channels