Abstract:
Despite potential contribution livestock marketing has in Tanzania to national economy,
quality beef marketing has received less priority in national investments, research and
export development. This study attempts to bridge the gap by assessing beef marketing
efficiency focusing on Dar es Salaam and Arusha. The general objective of the study was
to evaluate the relative efficiency of existing beef marketing system and explore potential
market opportunities for quality beef in Tanzania. Specifically the study aimed to identify
existing and potential market opportunities for quality beef, to describe quality beef
attributes desired by consumers, to examine efficiency of beef marketing system operating
in the two cities and to propose strategic marketing decision for the firms to improve their
competitive position in the market. The study involved cross section data collected using
structured questionnaires and a checklist through which a total of 198 respondents
including consumers, hoteliers, butcheries and super marketers were administered.
Descriptive as well as multiple response analysis techniques were used to handle the data.
Marketing costs and gross margins were calculated. Results show that butchers were the
main source of beef purchase by consumers. Beef marketing was generally profitable, the
level of profits varied across types of beef marketed. Highest marketing margin were
found in supermarkets. The study also found that, there is great potential market for
quality beef in supermarket and hotels particularly tourist hotels and this potential is
spreading to butchers and households as the income increases. As assessed by percentage
of respondents, attributes desired by consumers in Dar es Salaam were freshness (31.4 %),
tenderness (27.5 %) and carcass composition as reflected in amount of fat (27.5 %) while
in Arusha customers were attracted by tenderness (61.5 %), freshness (28.1 %) and safety
of the product (4.2 %). The average marketing efficiency ratios were 0.81 and 0.84 for
butchers in Arusha and Dar es Salaam respectively and 0.63 at Shoprite supermarket level.
Based on the study results it is recommended that measures should be taken to improve
the quality of cattle and thereby the quality of beef sold.
