Small-scale Fishermen and Risk Preferences

Using an experimental approach, we investigate the risk preferences of artisanal fishermen in Tanzania waters of Lake Victoria. The experiment concerns pairwise comparisons of hypothetical fishing trips that vary in expected mean and spread of the net revenue. The results show that about 34% of the fishermen can be considered as risk neutral, 32% as risk averse, and 34% as risk seekers. Econometric analysis indicates that the likelihood of belonging to the risk-seeking group increases if motorboats are used, if fishing is the main source of household income, and if the fisherman is targeting Nile perch. Asset ownership and perhaps socioeconomic variables influence risk preferences.Risk aversion, artisanal fishermen, Tanzania, Lake Victoria, Nile perch, dagaa, Institutional and Behavioral Economics, Resource /Energy Economics and Policy, Q22,

Allocating group-level payments for ecosystem services: experiences from a REDD+ pilot in Tanzania

Payments for ecosystem services (PES) typically reward landowners for managing their land to provide ecosystem services that would not otherwise be provided. REDD+—Reduced Emissions from Deforestation and Forest Degradation—is a form of PES aimed at decreasing carbon emissions from forest conversion and extraction in lower-income countries. A key challenge for REDD+ occurs when it is implemented at a group, rather than an individual landowner, level. Whilst achieving a group-level reduction relies on individuals changing their interaction with the forest, incentives are not aligned explicitly at the individual level. Rather, payments are made to a defined group as a single entity in exchange for verified reduced forest loss, as per a PES scheme. In this paper, we explore how REDD+ has been implemented in one multiple-village pilot in Tanzania with the village defining the group. Our findings suggest that considerable attention has been paid towards monitoring, reporting, verification (MRV), and equity. No explicit mechanism ensures individual compliance with the village-level PES, and few villages allocate funds for explicit enforcement efforts to protect the forest from illegal activities undertaken by individual group members or by outsiders. However, the development of village-level institutions, “social fencing,” and a shared future through equal REDD+ payments, factor into decisions that influence the level of compliance at the village level that the program will eventually achieve

What does it take to be heard in managing marine protected areas? Insights from Tanzania coastal communities

This paper explores the debate on participatory approach by presenting evidence from the local communities practices living within the marine protected area in Tanzania (Mnazi Bay Ruvuma-Estuary Marine Park). Five out of fifteen villages that exist in Mnazi Bay Marine Park were selected for this study after consultation with the park authority. Stratified sampling of villages was conducted based on the location from the Indian Ocean: three villages located close to the sea (sea front villages) and two villages located far from the sea (inland villages). Both quantitative and qualitative data were collected using semi-structured questionnaires, focus group discussions, participant observation and interviews. The findings are presented using the local community narratives on livelihoods strategies and participation in decision-making processes to highlight the challenges of a participatory conservation approach in marine resources management within MPAs and also using regression analysis to explain the factors determining their participation. A Logit regression model is run. Results show that participatory approach in MPAs is a challenging phenomenon due to existence of multifaceted layers in marine resources management and use. These layers exist in terms of power struggle to manage resources and extract benefits associated with marine resources between state and local communities. This power struggle tends to undermine the ability of local communities to use and manage marine resources, threatening the attainment of the main objective of establishing the MPAs that’s improving the livelihood of the adjacent communities and improving the resources.Keywords: participatory approach, local communities, marine protected areas, fisheries management, marine resources governance, livelihood strategie

Welfare Implications of the Payment for Environmental Services: Case of Uluguru Mountain –Morogoro

This study was carried to find out the impact of PES (Payment for Environmental Services) on the welfare of the communities in the Uluguru Mountains. The aim of the study is to assess the main objectives of the PES project which is to conserve the environment (forest) and reduce poverty. The assessment of the project is done by looking on the difference between the treatment group (those who participate in PES) and control group (households who do not participate). The study employed a combination of questionnaire and field observation to collect primary data together with a detailed review of literature. The study utilized Propensity Score Matching (PSM), Descriptive statistics, Perception and Logistic analysis. In all the methods of analysis the results shows that there is a significant difference in the poverty status between treatment and control groups with treatment groups showing low level of poverty. In the regression analysis it is shown that participation into the programme, age of the respondents, the level of dependence on natural resources are found to significantly reduce poverty.Keywords: Payment for Ecosystem Services, Welfare, communities Propensity Score Matchin

An Economic Analysis To Sustainable Fisheries Management

The coastal zone is a dynamic area surrounding the interface between land and sea. The coastal area and its resources offer great benefits and opportunities for human use. Most coastal activities in Tanzania rely on the natural resources that the coast offers (fishing, forestry, agriculture, tourism, mining, salt production mariculture etc). Therefore the condition of the coastal ecosystem and social well being are closely linked. The challenge is to maintain and improve the resources base on which those activities are dependent, while developing new economic opportunities in a way that benefits the people of the coast and the nation as a whole. A major constraint is the inadequate institution and legal framework for coastal management. Economics is about efficient allocation of resources. In normal cases market forces provide efficient allocation of resources. In fisheries, however, market forces alone can not produce an efficient allocation. And as it has been evident in this paper there is already overfishing in most of the offshore waters where majority of artisan fishernen concentrate. Thus calling for policy intervention to rescue the stock from depletion. This should include licencing, seasonal closure; finding alternative economic activities to fishermen, and community based conservation approach can as well be instituted.Keywords: Artisan Fisheries, Efficiency, Bioeconomic model, Maximum Sustainable Yield, Maximum Economic Yield, Open Access Equilbrium

Regulatory Compliance in Lake Victoria Fisheries

Lake Victoria is the worlds' second largest and Africa's largest fresh water body and shared by Kenya, Uganda and Tanzania. The Nile perch was introduced to Lake Victoria in the 1950s and experienced explosive population growth in the 1970s. Since the 1990s landings have been above or about 500 000 tons mainly consisting of three species, the Nile perch, tilapia and dagaa. The open access fishery has experienced a dramatic decline in catch per vessel and to compensate many fishers violate the regulation by using smaller mesh size than legal minimum size. This paper analyzes the causes of regulatory compliance in a developing country context. In addition to traditional deterrence variables such as risk of detection and expected gains from violation, we explore potential reasons for following the rules such as being moral and doing the right thing, obeying the rules due to peer pressure from other fishers, perceiving the regulation as legitimate, and perceiving that they (the fishers) have been involved in the regulation process. We use self-reported data from Tanzanian artisanal fishers in Lake Victoria and focus our analysis on the minimum mesh-size regulation. The results indicate that fishers adjust their violation rate with respect to changes in deterrence variables such as probability of detection and punishment. Fishers also react to legitimacy and social variables, which inter alia means complying more when they perceive the regulation to be legitimate as well as when they are influenced by peer groups. We also find a small group of persistent violators who appear to react neither to normative aspects nor to traditional deterrence variables. These fishers systematically violate the mesh-size regulation and when arrested, bribe their way out of punishment

Gender differences in banana productivity in Tanzania

Banana is one of the key crops produced by farmers in Tanzania. The productivity of bananas among smallholder farmers is very low. One of the core reasons for this lower agricultural productivity in Tanzania is gender inequality in production. This study aimed to establish gender productivity differences in banana production in Tanzania. The study used panel data and a correlated random effects (CRE) model to determine these differences. It finds a 19% difference in banana productivity in favour of male managers, highlighting their (plot managers') characteristics, input use, and banana plot characteristics. The area of banana cultivation by zones, namely Lake, Northern, Southern Highlands, and Eastern zones, was found to increase banana productivity. The use of organic fertiliser and receiving government extension services have a positive influence on banana productivity. On the other hand, being a female manager, an increase in banana plot area, and an increase in the usage of pesticides have a detrimental effect on banana productivity. The findings of this study suggest the need for proper banana plot management, farmer training on skills such as the timing and amount of inputs that can be applied to banana plots sustainably, and the availability of extension services to all plot managers, regardless of their gender. Additionally, the study advocates for the sustainable use of pesticides by adopting good agricultural practices like Integrated Pest Management (IPM) and using appropriate planting materials that are disease-resistant

The Effect of Climate Change on Agricultural Crop Returns in Uganda

The study examined the effect of climate change on agricultural crop returns in Uganda using the Ricardian Panel Tobit technique and the World Bank Living Standards Measurement Survey (LSMS) data, climate data from Uganda National Meteorological Authority (UNMA) and global weather data. The findings showed that climate related risks account for over 67 percent of agricultural risks and less than 2 percent of the farming households practise irrigation. Farmers that practised irrigation earned higher agricultural returns nationally than their counterparts did. The findings show that the output elasticities with respect to temperature range from -2.02 percent to 0.543 percent. This implies that for the average temperature increase by 1 percent, maize farm returns decreased by 2.02 percent, banana by 1.7 percent, cassava by 1.50 percent and beans by 1.01 percent. While 1 percent increases in rainfall, lowered banana returns by 0.02 percent, beans by 0.08 percent, cassava by 0.035 percent, maize by 0.025 percent except for groundnuts’ returns increased by 0.115 percent. Apart from climate factors, non-climate factors such as capital, labour, farm size, fertilizers and soil quality are equally important inputs and significantly impact on agricultural farm returns. The study proposes that due to unrelenting adverse climate change effects in Uganda, adoption of multi-pronged approaches such as extensive irrigation, agro-insurance, diversification of agricultural activities, use of food cribs during bumper harvests would be the breath of life for Ugandan farmers

Assessing the Poverty-Illegal Fishing Nexus in the Lake Victoria Fisheries

Is there a direct link between poverty and illegal fishing in Lake Victoria? The paper argues that presenting poverty as the main driver of illegal fishing in Lake Victoria masks core underlying causes of illegal fishing. Illegal fishing practice is a significant ecological trend in Lake Victoria. It is not only threatening the long-term sustainability of the fishery but also of the fishing communities dependent on it. Illegal fishing is directly impacting the productivity of the lake through destruction of key interdependent components of the lake‚ ecosystem and the habitats that fish depend on for breeding. It is estimated to lead to millions of dollars‚ worth of lost annual economic benefits, and creates significant environmental damage. Evidences show that more than 60% of fish caught through illegal fishing are juveniles. Thus, the future capability of Lake Victoria to remain productive, hinges on the understanding of dynamics of illegal fishing that include socio-economic, institutional, and global policies, among others. First, the paper discusses the key theories that underpin the poverty-illegal fishing nexus. Second, using a meta-analytical approach the paper analyzes case studies of illegal fishing in Lake Victoria to reveal patterns and key variables. Third, these variables are tested for significance level in order to differentiate between underlying causes and proximate factors. The paper shows that poverty is a proximate cuse and not the underlying factor behind illegal fishing in Lake Victoria. These findings are crucial for local and trans-boundary fisheries management policy interventions