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Assessment of the Profitability and Economic Impact of Smallholder Empowerment (She) Projects

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Assessment of the Profitability and Economic Impact of Smallholder Empowerment (She) Projects The Open University of Tanzania Consultancy Bureau (OCB) ASSESSMENT OF THE PROFITABILITY AND ECONOMIC IMPACT OF SMALLHOLDER EMPOWERMENT (SHE) PROJECTS FINAL CONSULTANCY REPORT AUGUST 2019 i ACKNOWLEDGEMENT First and foremost, the consultants express their sincere gratitude to the God Almighty who enabled them to accomplish this task smoothly. Special thanks go to NCA who gave the consultants an opportunity to assess the profitability and economic impact of SHE projects. Thanks to all partners: Rev. Dan Deuli-Partner-Morogoro (ACDM), Rev. Andrew Mushi- Partner-Moshi (ELCTND) and Mr. Kazi Ramadhani on behalf of BAKWATA cluster for their sincere efforts and passion when working with consultants and for organizing the field visits in their areas. The consultants are also deeply indebted to NCA staff who facilitated the survey. These include: Mr. Cathbert Felix, Hussein Yusuphu, Christian Mrema, Agnes Mollel, Oscar John and Erasto Mbele. The consultants further recognize the data collection facilitation efforts from rural para-extension staff and agripreneurs; Ms. Regina Kimei (Siha) and Ms. Kanaeli Mushi (Hai). Thanks to the government officials such as: DAICO Babati, Hai, and Kilosa, districts, village leaders from survey locations and dispensary’s representative from Gedamar village, Ms Atupele Mwambije. In Kilosa district, data collection exercise would not have been possible without the support of Kilosa Inter-religious VICOBA Association (KIRVIA)’s leaders Mr. Jema Mziwanda, Boni Mathayo and Ally Chayumwe who gathered poultry keepers for interview. Lastly but not least, we thank veggies and fruits farmers, poultry keepers and all people who made data collection exercise in Kilimanjaro, Arusha, Manyara, Coast and Morogoro regions successful. 1 TABLE OF CONTENTS ACKNOWLEDGEMENT 1 TABLE OF CONTENTS 2 LIST OF TABLES 7 LIST OF FIGURES 7 LIST OF PICTURES 9 LIST OF ABBREVIATIONS 10 EXECUTIVE SUMMARY 11 RECOMMENDATIONS 14 1.0 BACKGROUND, OBJECTIVES AND SCOPE OF THE PROFITABILITY AND ECONOMIC IMPACT OF SMALLHOLDER EMPOWERMENT ASSESSMENT 15 1.1 Background ................................................................................................... 15 1.2 Rationale ....................................................................................................... 16 1.3 Scope 16 1.4 Objectives of the assessment ............................................................................... 17 1.4.1 Main and Specific Objectives ............................................................................... 17 1.4.2 Specific objectives ............................................................................................. 17 2.0 METHODOLOGY OF THE PROFITABILITY AND ECONOMIC IMPACT OF SMALLHOLDER EMPOWERMENT ASSESSMENT 18 2.1 Assessment Approach and Steps .......................................................................... 18 2.2 Field Data Collection ........................................................................................ 18 2.3 Data screening, coding and analysis ...................................................................... 19 2.4 Limitations and challenges during data collection .................................................... 19 2.5 Number of Respondents who participated in the exercise ........................................... 19 2.6 Poultry keepers interviewed ............................................................................... 20 3.0 FINDINGS AND DISCUSSION 22 3.1 Introduction ................................................................................................... 22 3.2 Demographic information for Veggie farmers ......................................................... 22 3.2.1 Sex of veggie farmers ......................................................................................... 22 3.2.2 Education level of Veggie farmers ...................................................................... 22 3.2.3 Marital status of veggie farmers ............................................................................ 23 3.2.4 Age ranges 24 3.3 Religious institutions and veggie production ........................................................... 24 3.4 Number of initial and subsequent beds .................................................................. 25 3.5 Costs analysis for veggie .................................................................................... 26 3.6 Time to recover the irrigation drip costs ................................................................ 26 3.7 Vegetable selling points ..................................................................................... 27 3.8 Veggie revenue information ................................................................................ 28 3.9 Veggie Gross margins and returns information ....................................................... 28 3.10 Impacts of veggie production to farmers .............................................................. 29 2 3.10.1 Impacts on income ........................................................................................... 30 3.10.2 Impacts on Crops Productivity ............................................................................ 30 3.10.3 Consumption of veggie and increase on the number of meals ...................................... 31 3.10.4 Improvement in education ................................................................................ 32 3.10.5 Impacts on Health ........................................................................................... 32 3.10.6 Veggie farmers Health insurance coverage ............................................................ 33 3.10.7 Impacts of veggie farming on house construction or maintenance ................................. 33 3.10.8 Impacts of veggie farming on business Capital ........................................................ 34 3.11 Fruits Production ........................................................................................... 35 3.11.1 Weruweru Strawberry group in Hai district ........................................................... 35 3.11.2 Edeni Plant-Strawberry group in Manyire village Arumeru district.............................. 35 3.11.3 A successful story of Donna Mnele-Individual strawberry grower ................................ 36 3.11.4 Bwawani fruits farmers cluster ........................................................................... 37 3.11.5 Tomatoes production costs and margins ................................................................ 39 3.12 Challenges in Vegetables and fruits production ...................................................... 40 3.12.1 Water inadequacy............................................................................................ 40 3.12.2 Fluctuation of Market prices for vegetables ............................................................ 41 3.12.3 Mixture of beneficiaries..................................................................................... 41 3.12 .4 Veggie pests and diseases .................................................................................. 42 3.12.5 Low coverage by health insurance services ............................................................. 43 3.13 Veggie and fruits Farming Recommendations ........................................................ 43 4.0 POULTRY KEEPING COSTS AND ITS IMPACTS 44 4.1 Introduction ................................................................................................... 44 4.2 Poultry keeping demographic information ............................................................. 44 4.2.1 Sex of the poultry keepers ................................................................................... 44 4.2.2 Education Level of the Poultry Keepers .................................................................. 45 4.2.3 Age of the Poultry keepers ................................................................................... 45 4.2.4 Relationship between sex and other socioeconomic variables ........................................ 46 4.2.5 The purpose of keeping poultry ............................................................................ 47 4.3 Number of initial poultry and subsequent poultry .................................................... 48 4.4 Poultry keeping’s costs analysis ........................................................................... 49 4.5 Revenue, Gross margins and returns analysis for poultry keeping ................................ 50 4.5.1 Poultry keeping revenue analysis .......................................................................... 50 4.5.2 The gross margin analysis ................................................................................... 50 4.5.3 Standard poultry keeping costs and Gross Margins recommended by the veterinary officer . 52 4.6 Impacts of Poultry Keeping ................................................................................ 52 3 4.6.1 Impacts of Poultry keeping on education ................................................................. 52 4.6.2 Impacts on Poultry keeping on house construction or maintenance ................................ 53 4.6.3 Impacts of poultry production on assets .................................................................. 54 4.6.4 Impacts of poultry production on health services ....................................................... 54 4.7 Women empowerment caused by poultry keeping .................................................... 55 4.7.1 Ms Salma Miraji Poultry
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