Sokoine University of Agriculture

Profit efficiency of smallholder wine grape farmers in Dodoma city and chamwino district in Dodoma Region, Tanzania

Show simple item record Kalimang`as 2021-04-24T09:14:27Z 2021-04-24T09:14:27Z 2020
dc.description PhD Thesis en_US
dc.description.abstract Grape is one of the most important economic fruits crop grown in Dodoma Region - Tanzania. However, grape production faces challenge of low yield of 5.6 t/ha compared to the established yield potential of 25 t/ha under irrigation and 17.3 t/ha under rain-fed in Tanzania. This low productivity was mainly due to rising cost of production, which is coupled with low output prices and an unreliable market. The most cost effective way to improve farm productivity is through efficient use of available scarce resources and technology. This study was conducted to analyse farm level profitability, profit efficiency and identify specific factors that account for variation in efficiency among farmers. The study also analysed farmer`s factor demand response due to changes in input prices. Multistage, stratification and random sampling techniques were used to select 176 farmers from irrigation and 183 farmers from rain-fed production systems. A structured questionnaire was used to collect data. Descriptive statistic, farm budgeting technique and a stochastic profit frontier were used to analyse the data. The results revealed that irrigated farms were more profitable compared to rain-fed farms. The findings show further that wine grape farmers are not fully profit efficient, implying that an opportunity exists to increase profit efficiency through better use of available resources. On average irrigated farms are more efficient (69%) compared to their rain-fed counterparts (63%). A farmer`s experience, group membership, access to extension and credit service are key factors that significantly influence profit efficiency among farmers. In the short-run the coefficients for own price of labour, manure and agrochemical are inelastic. Policy measures directed at providing credit and extension service to enhance the farm`s profit efficiencies are recommended. In addition, any support to facilitate formation of farmers` association is very important because membership in such groups can benefit farmers through economies of scale, thereby reducing each member’s production cost. Reducing the cost of labour and agrochemical can significantly increase the farmers’ profit level. Moreover, agricultural policies directed at developing irrigation schemes to enhance grape productivity in order to improve farm income and profit is recommended. en_US
dc.description.sponsorship The Local Government Training Institute (LGTI) en_US
dc.language.iso en en_US
dc.publisher Sokoine University of Agriculture en_US
dc.subject Wine grape farmers en_US
dc.subject Dodoma en_US
dc.subject Grapes en_US
dc.subject Grape production en_US
dc.subject Farm level profitability en_US
dc.subject Profit efficiency en_US
dc.title Profit efficiency of smallholder wine grape farmers in Dodoma city and chamwino district in Dodoma Region, Tanzania en_US
dc.type Thesis en_US

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