Assessment of tobacco marketing system at farmers level, a case of Tanzania leaf tobacco company of Morogoro, Tanzania
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Date
2008
Authors
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Journal ISSN
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Publisher
Sokoine University of Agriculture
Abstract
Tobacco is one of the major agricultural export crops in Tanzania. Tobacco farming
industry is a contract farming business involving fanners in primary cooperative
societies located in eight production regions namely Tabora, Shinyanga, Mbeya,
Singida, Rukwa, Iringa, Songea and Kagera. A large proportion of tobacco grown in
Tanzania (85%) is exported to overseas markets. The main tobacco customers
demand tobacco leaves of high quality. The tobacco buying companies through
Association of Tanzania Tobacco Traders (ATTT) are committed in ensuring that the
tobacco purchased is of high quality to make sure that customers choose their
produce over those of their competitors. In spite of the company’s effort towards
improving the quality of tobacco produced, the problem of poor tobacco quality still
exists. Although studies on tobacco marketing had been carried out, information
regarding tobacco quality at farmers’ level is still insufficient. Generally the study
intended to create a better understanding of the factors influencing the strategies for
the improvement of quality of tobacco sold to Primary Cooperative Societies.
Specifically, this study examined the impact of tobacco quality to farmers and the
buying companies identify factors that lead into marketing of low quality tobacco at
farmers level, identify and analyze cost and revenue of tobacco to growers and
suggest alternative solutions that would reduce the problem of low quality tobacco at
farmers’ level. The data were collected, from seven Primary cooperative Societies,
officers from all tobacco stakeholders and company’s officials in Tabora region. Part
of the analysis was based on descriptive statistics to describe the responses,
characteristics and trends of some data and information regarding the current
marketing system of tobacco at farmers’ level. Gross Margin Analysis was used in
order to examine the effect of quality and price on farmers’ income. The results of
the study indicate that poor post harvest handling methods severely affect the quality
of tobacco. The problem of quality has been a cause of higher cost of handling for
the buyer companies and has also resulted into lower prices paid to farmers. The
study recommended that, the company and other tobacco stakeholders should
provide adequate and quality extension services on good agronomic practices,
construction of improved barns and tobacco storage which will eventually improve
tobacco quality at farmers’ level.
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Thesis
Keywords
Tobacco marketing, Assessment of tobacco Farmers Tobacco company Tobacco farming, Farmers, Tobacco farming, Tobacco company