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Dairy farm households, processor linkages and household income: the case of dairy hub linkages in East Africa

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  • Rao, Elizaphan J. O.
  • Omondi, Immaculate
  • Karimov, Aziz A.
  • Baltenweck, Isavelle

Abstract

In this study we have analysed the effects of household linkages to milk market via dairy hubs currently implemented under the East African Dairy Development project. Our analyses show that participation in dairy hubs increases dairy revenues by USD 1,022 on average. Impacts are higher for households participating in hubs supplying exclusively to processors (USD 1,673) relative to ones supplying hubs that pursue mixedlinkage approach. Moreover, participation in dairy hubs also yields significant effect on household income. Appropriate measures should be undertaken to widen the reach of such processor linkages while also safeguarding existing gains, more so as the processing sector becomes more concentrated.

Suggested Citation

  • Rao, Elizaphan J. O. & Omondi, Immaculate & Karimov, Aziz A. & Baltenweck, Isavelle, 2016. "Dairy farm households, processor linkages and household income: the case of dairy hub linkages in East Africa," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 19(4), October.
    • Handle: RePEc:ags:ifaamr:264198
    DOI: 10.22004/ag.econ.264198
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    2. Sirak Bahta & Amos Omore & Darek Baker & Iheanacho Okike & Berhanu Gebremedhin & Francis Wanyoike, 0. "An Analysis of Technical Efficiency in the Presence of Developments Toward Commercialization: Evidence from Tanzania’s Milk Producers," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 0, pages 1-24.
    3. Fernianda Rahayu Hermiatin & Yuanita Handayati & Tomy Perdana & Dadan Wardhana, 2022. "Creating Food Value Chain Transformations through Regional Food Hubs: A Review Article," Sustainability, MDPI, vol. 14(13), pages 1-24, July.
    4. Nhan, Tran Quoc & Gillette, Raulston & Yutaka, Tomoyuki & Can, Nguyen Duy, 2020. "Impact of Outgrower Scheme on Yield,Output Price,and Income: A Rice-Farm-Level Study in the Mekong Delta,Vietnam," Hitotsubashi Journal of Economics, Hitotsubashi University, vol. 61(1), pages 1-19, June.
    5. Pratyusha Basu & Alessandra Galiè, 2021. "Nested Scales of Sustainable Livelihoods: Gendered Perspectives on Small-Scale Dairy Development in Kenya," Sustainability, MDPI, vol. 13(16), pages 1-24, August.
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    7. Meenakshi Rajeev & Christoph Scherrer, 2021. "Smallholders’ Challenges: Realizing Peri-Urban Opportunities in Bengaluru," Sustainability, MDPI, vol. 13(18), pages 1-18, September.

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