A comparative economic analysis of specialty and conventional small-scale coffee production in Kigoma district, Tanzania.
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Date
2009
Authors
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Journal ISSN
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Publisher
Sokoine University of Agriculture
Abstract
This study was conducted in Kigoma district of Kigoma region to compare the economics
of specialty and conventional small-scale coffee production. Four villages namely Kalinzi,
Nyarubanda, Mkabogo and Mkongoro were surveyed. Random sampling technique was
adopted to get 30 respondents from each selected village. This means 10 households for
specialty and 20 for conventional coffee farming, making a total sample size of 120
household. A structured questionnaire was used to collect data from the sample households
and complimented by secondarj- data collected from key organisations in the industry.
Data were cleaned, coded, entered and analysed using the Statistical Package fbr Social
Sciences (SPSS) version 11.5 and Excel programs. Descriptive statistics, regression
analysis, gross margin and independent sample t-test were used to analyse the data. The
results showed that coffee growers in Kigoma District have household characteristics
common to most rural household settings elsewhere in Tanzania. Results from regression
analysis indicate that amount of coffee sold and total cost used in both specialty and
conventional coffee production influenced producer profitability significantly. From
independent sample t-test, the results indicate the gross margin fbr specialty coffee was
higher than fbr conventional coffee by about TZS 753 per coffee tree at 5% level of
significance. The emperical results comfirm that specialty coffee farming improve farmers
income than their counterpart conventional farmers thereby contributing more to poverty
reduction in the study area. From these findings, it is recommended that deliberate efforts
be made to assist more farmers to grow specials coffee. This could be achieved through
farm input subsidies, access to international and local markets, improvement in coffee
marketing information system and sources of low cost credit. In addition, construction of
village based central pulperies could be considered. In this way. producers could get belter
price that contribute significantly to poverty reduction.
Description
Dissertation
Keywords
Smallholder Cash Crop, Coffee Production Constraints, Coffee Processing, Coffee Production-Kigoma