Analysis of tomato value chain in Rugombo District, Burundi
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Date
2019
Authors
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Journal ISSN
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Publisher
Sokoine University of Agriculture
Abstract
This study analysed the tomato value chain in Rugombo district in order to develop new
insights on the nature of activities along the chain and shade light on possible strategies
that may increase primary actor’s (smallholder farmer’s) income. Primary data for this
study were collected from various primary, support and institutional actors of the value
chain using structured questionnaire and checklist. Descriptive statistics, gross margin and
multiple linear regression models were used to analyse the collected data. The findings of
this study show that although the tomato value chain in Rugombo constituted by
conventional actors such as input suppliers, farmers, rural assemblers, wholesalers,
retailers, consumers, support and institutional actors, the chain is largely dominated by
smallholder producers. Furthermore, the tomato value chain is characterized by the lack of
value addition, weak horizontal and vertical coordination among actors in the chain. The
gross margin results show that retailers enjoy high margins with a minimum of 312.58BIF
per Kg of tomato when compared to producers whose margin stands at a minimum of
260.06 BIF per kilogram of tomato. The results from multiple linear regression indicate
that level of education (p< 0.05), member of organisation (p<0.05), land under tomato
production (p <0.1) and experience in tomato production (p<0.1) are statistically
significant to influence tomato profit at farm level. Therefore, the results of this study
suggest that smallholder tomato producers in Rugombo are not fetching high margins in
value chain. Their incomes are consistently reflected by low margins fetched from
participation in tomato value chain activities. Therefore, any strategies geared towards
improvement of producers’ income should take into account the fact that farmers (as
strategic primary actors) fetch low margins compared to other actors in the chain.
Description
M.Sc. Dissertation
Keywords
Tomato value chain, Smallholder farmers, Rugombo District, Burundi