Production systems, profitability and participation in the mainstream markets by smallholder broiler chicken farmers of Maseru district in Lesotho
- Mphahama, Litsoanelo Evodiah
- Authors: Mphahama, Litsoanelo Evodiah
- Date: 2017
- Subjects: Broilers (Chickens)
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: http://hdl.handle.net/10353/8678 , vital:33423
- Description: Growth in global demand for broiler chicken meat has become tremendous, hence; as one segment of poultry, broiler chicken production has a privilege to highly contribute to nations’ nutritional demands because of the shorter productive age, with only 42 days needed to reach a marketable weight with a high rate of productivity. In fact; in developing countries the importance of broiler chickens to the national economy cannot be overemphasized, as it has become a popular industry especially for the smallholder farmers that have great contribution to the economies of their countries. However, it is difficult to see a bright future for smallholder broiler chicken farmers in this rapidly changing industry structure. A major concern is that this group of farmers faces severe constraints and challenges to taking advantage of mainstream market opportunities; a situation that would impede the success of the sector leading the farmers to exit the business. The aim of this study was to investigate factors challenging small-holder broiler chicken profitability and the choice of market channels used by these famers. The study was conducted in the Maseru district in Lesotho. Using availability sampling; 220 smallholder broiler chicken farming households were purposively selected. Data were obtained from secondary sources and by an administration of questionnaires from January until March 2016. Excel, XLSTAT and SPSS were used for analyzing the data. The descriptive findings of this study were applied to the biographical characteristics of the smallholder broiler chicken farmers. Ages, household size, marital status, occupation, source of credit and broiler chicken production system were determined using SPSS through graphs, mean and percentages. Findings from determining broiler chicken profitability revealed that a mean gross margin of M607.74 in the rural areas and M665.13 from the urban areas were obtained. The results indicated broiler chicken feeds and day old chicks as major operational costs in broiler chicken rearing. This study also explored factors that influence broiler chicken profitability on smallholder farmers. The results suggest that cost starter feeds, cost finisher feeds, transport cost and cost dox/doc negatively affected broiler chicken profits while a number of sold chicken and chicken price had a positive influence. The empirical results from the Binary option of market participation revealed that three variables (number of years in broiler chicken business, access to transport, and access to extension) and one variable (stock size) in rural and urban households respectively had positive signs, thereby, implying an increase in participation in the formal markets. On the other hand two variables; access to information and household size in rural and urban households respectively had negative associations, thus implying that an increase in any of these variables may be associated with a decrease in the formal market participation level. The study therefore, concludes that number of sold chicken and chicken price positively affect broiler chicken profitability however; household size have negative effect on the level of formal market participation among urban households. Therefore, it is recommended that smallholder broiler chicken farmers increase their stocking volumes and get amalgamated into cooperatives in order to be able to access formal markets; hence increased broiler chicken profits.
- Full Text:
- Date Issued: 2017
- Authors: Mphahama, Litsoanelo Evodiah
- Date: 2017
- Subjects: Broilers (Chickens)
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: http://hdl.handle.net/10353/8678 , vital:33423
- Description: Growth in global demand for broiler chicken meat has become tremendous, hence; as one segment of poultry, broiler chicken production has a privilege to highly contribute to nations’ nutritional demands because of the shorter productive age, with only 42 days needed to reach a marketable weight with a high rate of productivity. In fact; in developing countries the importance of broiler chickens to the national economy cannot be overemphasized, as it has become a popular industry especially for the smallholder farmers that have great contribution to the economies of their countries. However, it is difficult to see a bright future for smallholder broiler chicken farmers in this rapidly changing industry structure. A major concern is that this group of farmers faces severe constraints and challenges to taking advantage of mainstream market opportunities; a situation that would impede the success of the sector leading the farmers to exit the business. The aim of this study was to investigate factors challenging small-holder broiler chicken profitability and the choice of market channels used by these famers. The study was conducted in the Maseru district in Lesotho. Using availability sampling; 220 smallholder broiler chicken farming households were purposively selected. Data were obtained from secondary sources and by an administration of questionnaires from January until March 2016. Excel, XLSTAT and SPSS were used for analyzing the data. The descriptive findings of this study were applied to the biographical characteristics of the smallholder broiler chicken farmers. Ages, household size, marital status, occupation, source of credit and broiler chicken production system were determined using SPSS through graphs, mean and percentages. Findings from determining broiler chicken profitability revealed that a mean gross margin of M607.74 in the rural areas and M665.13 from the urban areas were obtained. The results indicated broiler chicken feeds and day old chicks as major operational costs in broiler chicken rearing. This study also explored factors that influence broiler chicken profitability on smallholder farmers. The results suggest that cost starter feeds, cost finisher feeds, transport cost and cost dox/doc negatively affected broiler chicken profits while a number of sold chicken and chicken price had a positive influence. The empirical results from the Binary option of market participation revealed that three variables (number of years in broiler chicken business, access to transport, and access to extension) and one variable (stock size) in rural and urban households respectively had positive signs, thereby, implying an increase in participation in the formal markets. On the other hand two variables; access to information and household size in rural and urban households respectively had negative associations, thus implying that an increase in any of these variables may be associated with a decrease in the formal market participation level. The study therefore, concludes that number of sold chicken and chicken price positively affect broiler chicken profitability however; household size have negative effect on the level of formal market participation among urban households. Therefore, it is recommended that smallholder broiler chicken farmers increase their stocking volumes and get amalgamated into cooperatives in order to be able to access formal markets; hence increased broiler chicken profits.
- Full Text:
- Date Issued: 2017
Institutional constraints to horticulture production and marketing
- Mphahama, Litsoanelo Evodiah
- Authors: Mphahama, Litsoanelo Evodiah
- Date: 2011
- Subjects: Horticulture -- Economic aspects -- Lesotho , Agricultural extension work -- Lesotho , Gardening -- Lesotho , Food security -- Lesotho , Poverty -- Lesotho , Agricultural productivity -- Lesotho , Farm produce -- Lesotho -- Marketing , Land tenure -- Lesotho
- Language: English
- Type: Thesis , Masters , MSc Agric (Agricultural Economics)
- Identifier: vital:11182 , http://hdl.handle.net/10353/428 , Horticulture -- Economic aspects -- Lesotho , Agricultural extension work -- Lesotho , Gardening -- Lesotho , Food security -- Lesotho , Poverty -- Lesotho , Agricultural productivity -- Lesotho , Farm produce -- Lesotho -- Marketing , Land tenure -- Lesotho
- Description: Lesotho has a land area of about 30.340 square kilometers and is completely surrounded by the Republic of South Africa. Much of the country is mountainous. Its agricultural sector is characterized by low productivity due to erratic climatic conditions, limited arable land and fragile soils with a low water holding capacity. These conditions have proved very detrimental to crop production, rendering agriculture a risky economic activity. Numerous efforts have been made over the years to address the technical constraints confronting the sector, but nothing seems to be changing. The implication is that the technical/climatic factors mentioned above may be only part of the problem. The current situation whereby Lesotho imports nearly 95% of its domestic food requirements is unsustainable, but this desperate picture looks set to worsen with the continuing threats of contracting farm sizes and further declines in farmer participation rates. But this sector has continued to be an important source of household survival and existence. A study was designed and conducted during 2008 and 2009 to identify the institutional constraints to horticulture production in Lesotho, looking specifically at the obstacles to effective production and marketing of horticultural products. A total of 100 farming households were enumerated in four districts of the country, namely Butha Buthe, Berea, Mafeteng, and Thaba-Tseka. A range of institutional and non-price factors in the farming and marketing environment were incorporated in a binary choice model to investigate the degree of satisfaction of the farming households with their previous year’s farming results. To avoid selection bias in the sample, a probit model was chosen, and the Stata-10 software was used to estimate probit coefficients. The results provide indications that property rights, the agricultural extension service, the condition of the physical infrastructure, and distance to markets may be crucial elements threatening the existence of this sector in Lesotho. The difficulties in accessing markets and land remain important institutional constraints to horticulture production and marketing in Lesotho. Recommendations made on these issues include providing more policy support to homestead gardening and for these issues to be incorporated into the Vision 2020 process. Also to be included is the issue of addressing the growing national food insecurity and enhancing Basotho livelihoods in general.
- Full Text:
- Date Issued: 2011
- Authors: Mphahama, Litsoanelo Evodiah
- Date: 2011
- Subjects: Horticulture -- Economic aspects -- Lesotho , Agricultural extension work -- Lesotho , Gardening -- Lesotho , Food security -- Lesotho , Poverty -- Lesotho , Agricultural productivity -- Lesotho , Farm produce -- Lesotho -- Marketing , Land tenure -- Lesotho
- Language: English
- Type: Thesis , Masters , MSc Agric (Agricultural Economics)
- Identifier: vital:11182 , http://hdl.handle.net/10353/428 , Horticulture -- Economic aspects -- Lesotho , Agricultural extension work -- Lesotho , Gardening -- Lesotho , Food security -- Lesotho , Poverty -- Lesotho , Agricultural productivity -- Lesotho , Farm produce -- Lesotho -- Marketing , Land tenure -- Lesotho
- Description: Lesotho has a land area of about 30.340 square kilometers and is completely surrounded by the Republic of South Africa. Much of the country is mountainous. Its agricultural sector is characterized by low productivity due to erratic climatic conditions, limited arable land and fragile soils with a low water holding capacity. These conditions have proved very detrimental to crop production, rendering agriculture a risky economic activity. Numerous efforts have been made over the years to address the technical constraints confronting the sector, but nothing seems to be changing. The implication is that the technical/climatic factors mentioned above may be only part of the problem. The current situation whereby Lesotho imports nearly 95% of its domestic food requirements is unsustainable, but this desperate picture looks set to worsen with the continuing threats of contracting farm sizes and further declines in farmer participation rates. But this sector has continued to be an important source of household survival and existence. A study was designed and conducted during 2008 and 2009 to identify the institutional constraints to horticulture production in Lesotho, looking specifically at the obstacles to effective production and marketing of horticultural products. A total of 100 farming households were enumerated in four districts of the country, namely Butha Buthe, Berea, Mafeteng, and Thaba-Tseka. A range of institutional and non-price factors in the farming and marketing environment were incorporated in a binary choice model to investigate the degree of satisfaction of the farming households with their previous year’s farming results. To avoid selection bias in the sample, a probit model was chosen, and the Stata-10 software was used to estimate probit coefficients. The results provide indications that property rights, the agricultural extension service, the condition of the physical infrastructure, and distance to markets may be crucial elements threatening the existence of this sector in Lesotho. The difficulties in accessing markets and land remain important institutional constraints to horticulture production and marketing in Lesotho. Recommendations made on these issues include providing more policy support to homestead gardening and for these issues to be incorporated into the Vision 2020 process. Also to be included is the issue of addressing the growing national food insecurity and enhancing Basotho livelihoods in general.
- Full Text:
- Date Issued: 2011
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