Employment and income opportunities in tomato sub-sector in Ilula, Kilolo district, Tanzania

Masters Thesis

The main objective of this study was to assess employment and income opportunities within tomato sub-sector in Ilula. The specific objectives of the study were: to identify the main marketing channels of tomatoes; to identify existing businesses and business networks related to tomato; to examine the marketing margin and gross margin of the actors of tomato market; and to assess the influence of tomato business and business networks on employment creation in Ilula. Cluster random sampling was used to select two streets, Itunda and Itabali of Ilula Ward and Nyalumbu Ward respectively. Data was collected from 282 respondents by using semi-structured questionnaires. The findings of the study reveal that there were four main marketing channels through which farmers and traders sell their fresh tomatoes in Ilula. The most common marketing channel comprises of tomato farmers who sell their produce to the assemblers. The second channel includes farmers who sell their produce to the wholesalers. The third channel comprises of tomato farmers who sell their produce to the retailers and the shortest marketing channel comprises of tomato farmers who sell their produce directly to the consumers. The businesses/ services related to tomato that were identified in the study area include: inputs supply, tomato farming, assembling, wholesale, retail, sorting, loading, transportation, supply of crates and baskets, mobile money services and street food selling. The results show that the employment multiplier in tomato business in Ilula is 1.18. Many Non-farm activities in Ilula are based on backward and forward linkages with tomato sub-sector; such activities have created employment opportunities. It is therefore recommended that improvement in marketing services; strengthening of market linkages; and facilitation of new and existing business associations are necessary to increase employment opportunities in tomato sub-sector in Ilula.

African Economic Research Consortium