More milk by and for the poor: Adapting dairy market Hubs for pro-poor smallholder value chains in Tanzania

More milk by and for the poor: Adapting dairy market hubsfor pro-poor smallholder value chains in Tanzania (Irish Aid Project) Presentation at MilkIT Pre-inception Meeting, Nairobi 24th – 25th January 2012 Amos Omore

Introduction• Designed as support to CGIAR Research Program 3.7 for Tanzania dairy VC• One inception year for research and R&D proposal development for subsequent yrs (USD 450,000 for 2012)• Potential 4 more years for dairy VC R&D engagement from 2013 – 2016.• Strong pro-poor , marginalised pre-commercial men and women focus,• Aim is to provide proof-of-concept that such marginalised groups can also be targeted successfully• To work closely with Tanz R&D institutions and influence policy

Objectives (derived from IA CSP for Tanzania)Goal:• Inclusive growth and reduced poverty and vulnerability among dairy-dependent livelihoods in relevant rural areas in TanzaniaOutcome:• Rural poor are more income secure through enhanced access to demand-led dairy market business services and viable organisational options, and low-income consumers have better access to affordable milk.

Contributing Objectives over 5 yrs1. Inform policy on appropriate role for pro-poor smallholder-based informal sector value chains in dairy sector development2. Generate and communicate evidence on business and organizational options for increasing participation of resource-poor male and female households in dairy value chains3. Develop scalable value chains approaches with improved organization and institutions serving resource-poor male and female smallholder dairy households

Contributing Objectives during 2012 Inception Phase1. Assess the current status of the Tanzanian dairy sector and identify appropriate entry points and partners for promoting a more pro-poor development orientation2. Develop a strategy for strengthening the policy environment to better support pro-poor dairy development, capitalizing on ongoing engagement with key policy actors and previous successes in Kenya and Uganda3. Identify sites appropriate for piloting pro-poor dairy development interventions that have been successful elsewhere in East Africa, and assess how those interventions need to be adapted to the Tanzanian context.

Addressing 4 inter-related problemsthat face resource-poor milk producers1. Dominant direct milk sales by producers create diseconomies of scale Milk marketing outlets (Kurwijila, 2010)2. High risks associated with unorganised milk sales % that discourage Milk Buyer investment to improve Neighbours 86.1 productivity Local market 5.53. Complex cooperative models and technology- Secondary market 0.5 driven solutions have Processors 1.4 largely failed Large scale farms 0.24. Suitable organisational Trader at farm 4.5 models have been lacking Other 1.7 TOTAL 100.0

Farmer groups are struggling! Performance of milk collection at Nnronga w omen dairy co-operative Society, Hai Kilimanjaro and CHAWAMU-Muheza Tanga (1994-2007) 750000 700000 650000 600000Volume of Milk (Litres) 550000 500000 450000 400000 Nnronga 350000 CHAWAMU-Muheza 300000 250000 200000 150000 100000 50000 0 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 Year 2007

Which Dairy Milk Hub Model might be appropriate? Diversified Profit-Max Model for CPs Collection Chilling Plant Processing Plant - - Center Sales to Processor - - Sales to - - individuals and vendors Diversified profit max through: higher prices for milk sold locally lower costs (transport, chilling) overall for milk handled

ActivitiesOutput 1: Current status of the Tanzanian dairy sector assessed and appropriate entrypoints and partners for promoting a more pro-poor development orientation identified 1.1 Understand policy environment: 1.2 Consult and sensitise stakeholders: 1.3 Develop and implement value chain assessment tool:Output 2: Strategy for strengthening the policy environment to better support pro-poordairying developed 2.1 Develop a pro-poor strategy for strengthening policy environment: 2.2 Improve quality assurance services: 2.3 Initiate process of strengthening of actors and their organisations:Output 3: Sites appropriate for piloting pro-poor dairy development interventionsidentified and available best bet interventions adapted to the Tanzanian context 3.1 Develop and implement tool for site selection: 3.2 Structured baseline surveys: 3.3 Develop best bet options for pilot interventions:

Activity MilestonesMore milk by and for the poor: Adapting dairy market hubs for pro-poor smallholder value chains in Tanzania - 13 Jan 2012 Qtr/Month/week in 2012Activity Milestones Qtr1 Qtr2 Qtr3 Qtr4 1 2 3 4 5 6 7 8 9 10 11 12 Performance ILRI lead 1 2 3 4 5 6 7 8 9 1 1 1 1 1 1 1 1 1 1 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 Indicators 0 1 2 3 4 5 6 7 8 9 personOutput 1: Current status of the Tanzanian dairy sector assessed and appropriate entry points and partners for promoting a more pro-poor development orientation identified seek feedback on CF conduct report at reviews, develo prepare review, CF, 1.1 Understand policy environment: develop tools p CF from key national situational report stakeholder AG situational report partners analysis meeting identify hold 1.2 Consult and sensitise stakeholders: stakeholder reporting workhop report AO, all wkshop s & invite tools, VC maps and 1.3 Develop and implement value chain assessment tool: develop tool implement tool reporting DB, AO, IB, reportOutput 2: Strategy for strengthening the policy environment to better support pro-poor dairying developed policy conduct during agenda Outcome policy agenda above paper to Mapping paper, strategy 2.1 Develop a pro-poor strategy for strengthening policy environment: stakeholder strategy development AO, all inform OM workshop report with M&E wkshop plan ToR & TDB ToR & contract 2.2 Improve quality assurance services: for TDB contract with QA AO indicators stakeholder 2.3 Initiate process of strengthening of actors and their organisations: workshops to workshop reports AO develop agendaOutput 3: Sites appropriate for piloting pro-poor dairy development interventions identified and available best bet interventions adapted to the Tanzanian context develop toolkits, implement docume 3.1 Develop and implement tool for site selection: criteria tool nt sites toolkits, reports IB, SFL analysis & reporting, with agree CRA baseline data and 3.2 Structured baseline surveys: with SUA conduct baseline survey focus on targeting IB, AO report interventions desk review of: guide for a) past Initial best-bet identify potential interventions, AO successes & interventions develop and submit proposal for engage dev 3.3 Develop best bet options for pilot interventions: failures and b) evaluated (ex-ante ) development pilot interventions partner proposal, inception coordinates, partner yr report contract all best bet and described with dev partner interventions PC appointed (initially on form SC identify & engage progress report final report consultancy), Post- and hold 2nd SC progress & SC General administrative & coordination doc advert posted, consultants, incl from (+financial) & (+financial) & AO 1st meeting meeting reports Ireland meeting with IA meeting with IA meeting with IA, meeting project office set upNotes: ILRI Persons involved: AG=Ayele Gelan, AO=Amos Omore; IB=Isabelle Baltenweck, DB=Derek Baker, AN=Alice Njehu, others from Sustainable Livestock Futures (SFL) Group and Research Methods Group. Tanz/SUAPersons involved: PC=Project coordinator (to be seconded by SUA, initally engaged as a condultant), value chain researchers & consultants. PC to help facilitate stakeholder engagements. Project to have close linkage with IFAD Feed andGates/WB Data projects. Project Coordinator (part-time) and Post-doc (full-time) to be involved in all activities at different levels as per ToRs.

Exploring synergiesMilkIT What can be done together with Irish Aid (give/receive)Component 1. Institutional strengthening1a. Mechanisms for enhancing innovation capacity through localstakeholder platforms to address dairy value chain constraints1b. Approaches for involving local stakeholders in analysis of dairy VC1c. Basket of intervention strategies emerging from dairy VC analysisComponent 2 Productivity2a. Strategies for implementing local feed-related innovations emergingfrom stakeholder platforms that enhance dairy incomes2b. Methods for enhancing diffusion of local feed-related innovationsamong dairy smallholders for income benefits through productivityincreases2c. Strategic lesson learning on appropriate dairy feeding strategies andtechnologiesComponent 3. Knowledge sharing3a. Mechanisms for sharing knowledge at local and regional levels3b. Mechanisms for sharing knowledge across project countries andamong global R4D projectsCo-ordination

Exploring synergiesIrish Aid What can be done together with MilkIT (give/receive)Output 1: Current status and entry points1.1 Understand policy environment:1.2 Consult and sensitise stakeholders:1.3 Develop and implement value chain assessment tool:Output 2: Strategy for strengthening the policyenvironment2.1 Develop a pro-poor strategy for strengthening policyenvironment:2.2 Improve quality assurance services:2.3 Initiate process of strengthening of actors and theirorganisations:Output 3: Sites selection and developing best betinterventions 3.1 Develop and implement tool for site selection:3.2 Structured baseline surveys:3.3 Develop best bet options for pilot interventions: General administrative & coordination activities (e.g.,steering committee)

http://unjobs.org	253
http://ilri.org	36
http://www.ilri.org	26

More milk by and for the poor: Adapting dairy market Hubs for pro-poor smallholder value chains in Tanzania

by ILRI on Jan 24, 2012

Accessibility

Categories

Tags

Upload Details

Usage Rights

3 Embeds 315

Statistics

More milk by and for the poor: Adapting dairy market Hubs for pro-poor smallholder value chains in Tanzania — Presentation Transcript