Analysis of Performance and Efficiency of Pearl Millet (Pennisetum glaucum (L.) R .Br. ) MARKET VALUE CHAIN: A CASE OF MBEERE DISTRICT, KENYA
by silasokech on Oct 23, 2013
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Pearl millet commercialization has the potential to support the food insecure rural households residing in marginal areas of Kenya. Despite the numerous program attempts in improving its productivity ...
Pearl millet commercialization has the potential to support the food insecure rural households residing in marginal areas of Kenya. Despite the numerous program attempts in improving its productivity and market potential within Mbeere district, thousands are still food insecure. Poor coordination, overcrowding of actors activities and limited marketing opportunities has resulted in weak market value chains and underdeveloped output markets which have diluted commercialization initiatives. This study examined the performance and efficiency of pearl millet market value chain in order to improve its competitiveness and productivity for the benefit of the farming communities in ASALs of Kenya. Specifically, this study analyzed the existing pearl millet market value chain and its efficiency, identified traders key marketing constraints and determined consumers’ willingness to pay for value added pearl millet products. A multistage sampling technique was used to collect information from 255 market actors using a semi structured questionnaire and analysis done using descriptive statistics, marketing margin analysis and Contingent valuation methodology. Result showed that majority of the actors had a mean age between 42- 52 years. Most producers (62.5%) were males while females (100%) concentrated in pearl millet marketing activities. Empirical findings showed that, producers share of the final consumer price was 23.3% with processors having a higher margin compared to traders and producers despite their limited functions. Transport cost, police bribes, border taxes, rent and commission charges formed major components of marketing costs. Most consumers (60%) were willing to pay a premium price of 42% above the normal market price of Kshs 100 for value added pearl millet products. Age, number of children below 12 years in a household, gender of household head, income and awareness were important factors that positively influenced consumers WTP premium prices.
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