Value chain analysis of tamarind fruits in Kishapu District, Tanzania

A DISSERTATION SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF SCIENCE IN ENVIRONMENTAL AND NATURAL RESOURCE ECONOMICS OF SOKOINE UNIVERSITY OF AGRICULTURE MOROGORO, TANZANIA.

The study was conducted to analyse value chain of tamarind fruits by characterising the actors, assessing socio-economic factors influencing income from tamarind fruits, determining the gross margins, identifying trees ownership regime and challenges encountered in the value chain. Primary data were collected through household survey, market survey, focus group discussion and key informant interviews. A random sample of 176 households, 33 traders and 59 consumers were interviewed to gain their insights on the topic. Low price, limited access to market, lack of market awareness, poor storage facilities, lack of price information and limited number of buyers are the major constraints faced by harvesters in the value chain. Large proportion of tamarind fruits harvested from homestead land, followed by farmland and grazing land. Among the market participants, retailers showed highest gross margin, followed by middlemen and harvesters. The higher margin gained by retailers was due to higher selling price and low inputs costs such as low transport cost and low cost of labour. Regression of socio-economic factors showed that the number of tamarind trees owned and quantity sold significantly contributed positively to tamarind income (P < 0.001) while selling price significantly contributed positively to tamarind income (p < 0.05). Experience in harvesting significantly reduces the income from tamarind fruits (P < 0.05). The contribution of tamarind fruits to household income (3.4%) would have been enhanced under well organised market conditions. Government, NGOs and individual should consider the establishment of fruit processing factory of tamarind fruits into consumable goods such as tamarind juices, tamarind jam, tamarind syrup and candy in order to utilise fully the economic potential of tamarind fruits in Kishapu District.