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Food value chain linkages and household food security in Tanzania

Raoul Herrmann (), Ephraim Nkonya and Anja Faße
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Raoul Herrmann: German Development Institute / Deutsches Institut für Entwicklungspolitik (DIE)
Ephraim Nkonya: International Food Policy Research Institute (IFPRI)
Anja Faße: Weihenstephan-Triesdorf University of Applied Sciences

Food Security: The Science, Sociology and Economics of Food Production and Access to Food, 2018, vol. 10, issue 4, 827-839

Abstract: Abstract This article investigates smallholder market linkages in food value chains in sub-Saharan Africa, using Tanzania as a case study. Specifically, we analysed the status and drivers of market linkages among farmers, and their impact on agricultural income and food security. The analysis is based on nationally representative household survey data, using a combination of descriptive statistics and econometric approaches. Although most farmers in Tanzania are integrated into agricultural markets, their level of commercialization is very low, with an average of only 30% of their crop production sold. Around 15% of farmers who sell crops have access to potentially more rewarding market linkages (e.g. through cooperatives or contract farming). The econometric results show that, controlling for a number of confounding factors, farmers with market linkages are more commercialized, and receive significantly higher producer prices and crop income than those without such linkages. However, in spite of these positive results, we did not find significant differences in terms of household food security.

Keywords: Tanzania; Food value chain; Market linkage; Cooperatives; Impact evaluation (search for similar items in EconPapers)
JEL-codes: Q13 Q15 Q16 O13 (search for similar items in EconPapers)
Date: 2018
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