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Norwegian University of Life Sciences (2011)

Making better use of goats in Tanzania : Improving smallholder livelihoods through local value chains for goat milk yoghurt : a case study

Lie, Helene

Titre : Making better use of goats in Tanzania : Improving smallholder livelihoods through local value chains for goat milk yoghurt : a case study

Auteur : Lie, Helene

Université de soutenance : Universitetet for miljø- og biovitenskap (Norwegian University of Life Sciences)

Grade : Master Thesis 2011

The objective of this research is to assess the potential for local dairy value chains as an approach for smallholder farmers to improve their livelihood. The main research problems are whether local dairy value chains are beneficial for the smallholder farmers and whether smallholder farmers are capable of maintaining and developing a newly established dairy value chain. Another research problem is to identify a set of strategies that could further improve a local dairy value chain. This involves identifying the main challenges when adding value to milk locally and the capacity of smallholder farmers to sustainably manage opportunities and constraints found in the dairy sector. Another aim of the research has been to highlight the characteristics of local value chains (as compared to global value chains), which is valuable when focusing on smallholder farmers in developing countries. The research has been implemented by giving a broad and in-depth description of the rather unique case of Twawose’s local dairy value chain. Twawose is a dairy goat association and farmer-led cooperative that has recently started producing goat milk yoghurt in rural Mgeta, Tanzania. Data was collected during two field visits to Mgeta in May 2010 and January 2011. Multiple methods and sources of data were used to collect the necessary data for a comprehensive case study that could meet the research objective. Qualitative data collected through various types of interviews and observation is the most important material, supplemented with secondary qualitative and quantitative data. Kaplinsky and Morris’ (2001) value chain approach is used as a framework to analyze the nature and strengths and weaknesses of the value chain. The framework was modified to include a review of assets, which resulted in the following research areas : (1) mapping the value chain, (2) review of assets, (3) overview of governance structures, and (4) suggesting upgrading strategies. Findings confirm that local dairy value chains are beneficial for both the smallholder farmers’ directly involved in the chain and to others in the community. The commercialization of goat milk yoghurt has given smallholders in Mgeta a stable and increased income. This is a valuable addition to their seasonal income from vegetable selling. Other positive impacts are an increased asset base for the farmers involved, job creation, and other ancillary effects like improved household nutrition. The chain has potential for further development and positively benefitting more smallholder farmers in Mgeta. However, there are challenges related to lack of critical assets such as electricity, proper packaging, and lack of access to information and finance that complicates the development of becoming an increasingly competitive chain. This can be resolved by a supportive network, which is crucial both for establishing and continuing the development of a value chain. The case confirms that if a supportive network is in place, smallholder farmers have the capability of establishing, maintaining and potentially developing local value chains by identifying an opportunity and utilizing it by pooling their resources through a farmer-led co-operative. The possibilities for replicating the approach of adding value to goat milk to improve the livelihood of smallholder farmers in other locations is discussed

Mots clés : local value chain ; goat milk ; yoghurt ; smallholders ; improve livelihood ; small and medium enterprises ; milk production ; Tanzania ; United Republic of Tanzania


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