Contribution of Economics to Design of Sustainable Cattle Breeding Programs in Eastern Africa: A Choice Experiment Approach

Although livestock forms a very important component of the livelihoods of rural populations of developing countries, productivity remains very low. Livestock keepers are beset by various constraints. In sub-Saharan Africa, cattle are exposed to a number of tropical diseases and other environmental stresses. Breed improvement programs provides key entry points for increasing productivity in cattle populations, especially those plagued by animal diseases. However, breed improvement programs have tended to focus on single, market-driven production traits in isolation of broader livestock system functions. This potentially leads to genotypes that are not well adapted to the environment and not suitable for performing the multiple roles of cattle in developing countries. In order to design a sustainable breed improvement program, farmer preferences for cattle traits need to be integrated into the breeding objective. To explore preferences for cattle traits by cattle keepers, data are used from a choice experiment household survey from a sample of 507 cattle keeping households in trypanosomosis challenge areas in Kenya and Ethiopia. A multinomial logit and mixed logit models are applied to estimate the economic values of preferred cattle traits. The results show existence of preference heterogeneity for cattle traits based on cattle production systems. Further, the results suggest that important traits in developing breed improvement programs should include trypanotolerance, fitness to traction, drought tolerance and fecundity, drawing implications on conservation of breeds which possess these traits.Choice experiment, Cattle production system, Trait preferences, Trypanotolerance, Livestock Production/Industries, D12, D60, C35,

Banana Value Chains in Central Africa: Constraints and Opportunities

Smallholder farmers in developing countries need to improve their position in food value chains in order to improve their margins and as a strategy for coping with agricultural food price volatility through innovations within the chains. Value chain mappings and gross margin analysis were employed to assess constraints and opportunities for existing value chains for bananas in Central Africa using market survey data. The results showed weak linkages within the banana value chains with poor integration of value chain actors and minimal involvement with regional markets and high-value domestic chains such as supermarkets. Value addition in terms of agroprocessing was carried out at small scale levels using rudimentary techniques limiting the final product to low value markets. Transaction costs comprising transport, handling and storage comprised a high proportion of cost items in the value chain. Generally, the findings suggest that efforts aimed at strengthening linkages within the value chains, collective marketing, penetration into high-value chains and improved processing techniques may provide a potential avenue for enhancing banana value chains in Central Africa.banana value chains, smallholder farmers, Central Africa, collective action, Crop Production/Industries,

An analysis of the economic value of cattle in smallholder livestock production systems in Western Kenya: Case of Kisii and Rachuonyo Districts.

In developing countries, financial markets function poorly and opportunities for risk management through formal insurance generally absent. To cope with this, cattle have tended to assume non-market, socio-economic roles. Analyses of cattle systems, production patterns and producer decisions more often focus on market variables, resulting in possible inconsistent results. This is particularly so, when estimating the total contribution of livestock. The non-market functions are often ignored since they are difficult to value, yet they may contribute to a better understanding of existing livestock production systems. The purpose of the study was to estimate the value of non-market contribution of cattle and determine its contribution to the competitiveness and survival of smallholder cattle systems. The study used primary data collected through questionnaire interviews with two hundred and fifty sample farmers in Kisii and Rachuonyo districts. Four analytical methods were used in this study; the contingent valuation method, the Tobit model, the multiple regression model and complete budget analysis for the cattle enterprise. The results indicate that non-market benefits are highly valued by cattle keepers and comprise 18%, 15% and 14% of the animal’s total perceived value in extensive, semi-zero grazing and zero grazing systems, respectively. The budget analysis results indicate that smallholder cattle production systems are profitable and competitive when market and non-market contributions are taken into consideration. The latter contribute significantly to the survival of smallholder systems. The non-market benefits influence producers to hold cows after milk production has declined. Infrastructural development is noted as an important policy issue that needs to be addressed so as to minimize transaction costs faced by cattle producers. In addition, there may be need to integrate female headed households into financial and insurance markets since they have limited alternative sources of income to buffer risks

Assessment of Farmer Preferences for Cattle Traits in Cattle Production Systems of Kenya

The urgent need to improve livestock productivity in sub-Saharan Africa in order to keep pace with expected increases in demand for meat and milk is very topical. Breed improvement provides key entry points for increasing productivity in cattle populations. However, there are tendencies for breed improvement programs to focus on single, market driven traits such as milk or meat production in isolation of environmental constraints and broader livestock system functions which cattle assume in developing countries. This potentially leads to genotypes that are not well adapted to the environment and not capable of performing the multiple roles that cattle assume in cattle production systems of developing countries. In developing countries, many important functions of livestock are embedded in non-tradable traits that are neither captured in economic analysis nor considered in livestock improvement programs. This study evaluates preferences of cattle keepers in pastoral and crop- livestock systems of selected sites in Kenya for various cattle traits, focusing attention on trypanotolerance and employing choice modelling techniques. These systems are characterized by low input management, harsh environmental conditions and prevalence of various cattle diseases. Trypanosomosis is a serious disease constraint in these systems. The results indicate that farmer preferences for cattle traits are influenced by various factors including cultural practices, production system characteristics and environmental conditions, especially in relation to disease prevalence and availability of cattle feeds.cattle production system, trait preferences, choice experiment, Kenya, Livestock Production/Industries, D11, C35, Q26,

CATTLE AS ASSETS: ASSESSMENT OF NON-MARKET BENEFITS FROM CATTLE IN SMALLHOLDER KENYAN CROP-LIVESTOCK SYSTEMS

This paper uses data from a survey of two hundred and fifty cattle households in three cattle keeping systems; intensive, semi-intensive and extensive systems to estimate the value of non-market, socio-economic benefits of cattle in Kenya. These benefits of cattle keeping are of special importance in developing countries, where financial markets function poorly and opportunities for risk management through formal insurance generally absent. However, when estimating the total contribution of livestock, these non-market functions are often ignored since they are difficult to value, yet they may contribute to a better understanding of livestock production systems. The use of contingent valuation method is employed in this study to elicit these non-market values. Econometric estimations are then used to assess the factors influencing the non-market benefits function. The results indicate that these benefits are highly valued by cattle keepers and comprise approximately 20% of the animal's total value across the three systems. They are influenced by various production system and household related factors. Implications for policy are drawn.Livestock Production/Industries, QQ112, QQ118, DD223,