The Value Chain of Locally Grown Japonica Rice in Mwea, Kenya

Mamoru Watanabe, Yutaka Sumita, Issaku Azechi, Kengo Ito and Keigo Noda
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Mamoru Watanabe: Japan International Research Center for Agricultural Sciences, Tsukuba 305-8686, Japan
Yutaka Sumita: Takenaka Civil Engineering & Construction Co., Ltd., Koto 136-8570, Japan
Issaku Azechi: The United Graduate School of Agricultural Sciences, Gifu University, Gifu 501-1193, Japan
Kengo Ito: Faculty of Applied Biological Sciences, Gifu University, Gifu 501-1193, Japan
Keigo Noda: Faculty of Applied Biological Sciences, Gifu University, Gifu 501-1193, Japan

Agriculture, 2021, vol. 11, issue 10, 1-18

Abstract: In Kenya, there is an urgent need to strengthen domestic rice production to improve food security. To achieve this, it is necessary to develop a value chain of competitive rice varieties that creates new value over and above that of conventional varieties. In this study, we focused on locally grown japonica rice produced in the Mwea area, which has recently begun to be distributed in Nairobi. Through interviews with Japanese restaurants, Japanese food stores, and consumers as well as interviews with stakeholders in the value chain the market price, consumer acceptability, and profitability of locally grown japonica rice were determined. We evaluated the value chain of locally grown japonica rice based on the interaction between the potential demand and a value chain analysis and examined improvement measures to establish the value chain. The results showed that 76% of consumers who eat staple foods other than rice rated locally grown japonica rice as “very good” or “good”, indicating that it may be acceptable to those who do not usually eat rice. The net profits for locally grown japonica rice were higher than those of conventional rice at the production, processing, and distribution stages, which is an advantage for producers and demonstrates that the elimination of middlemen is effective and highly profitable for each stakeholder. In contrast, the consumer price of locally grown japonica rice was higher than that of conventional rice, indicating that some challenges remain to be overcome. Our estimation approach will allow further study of target values such as selling price in other desired value chains. Together, our findings suggest the potential of the locally grown japonica rice value chain to contribute to the strengthening of domestic rice production.

Keywords: food value chain; value chain analysis; domestic rice; Mwea region; food security (search for similar items in EconPapers)
JEL-codes: Q1 Q10 Q11 Q12 Q13 Q14 Q15 Q16 Q17 Q18 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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