Analysis of Smallholder Dairy Farmers’ Market Participation Behavior in Uganda

Smallholder farming’s market participation has risen to the top of many developing countries’ policy agendas as a source of economic growth. Smallholder dairy farming has been accepted as a strategy for Uganda’s economic development through commercialization, however efforts to increase dairy market sales have failed. Uganda may be unable to take advantage of the predicted growth in demand for animal products if proper actions are not implemented. In Uganda’s three main milk-producing regions, a study was conducted to investigate the factors that influence dairy producers’ market involvement and percentage of milk sales. Based on data from the REPEAT Survey of 2012, a study sample of 171 typical dairy farming homes with at least one milking cow was selected using multistage sampling and purposive sampling approaches. Descriptive statistics and the Heckman two-stage selection econometric model were used to analyse the data. Improved lactating cows (1%), number of lactating cows (1%), milk yield (1%), information access (5%), access to veterinary services (5%), and children under the age of 6 years were all found to have a substantial impact on milk market entry decisions (10 percent ). Information access affects the percentage of milk sales (1 percent ), The number of lactating cows has increased by 5%, as have better milking breeds and the amount of milk consumed. Number of lactating cows, enhanced lactating cows, and information availability are three criteria crucial to policy intervention in improving smallholder dairy farmer participation and intensification. Dairy farmers in Uganda may be supplementing milk with other protein sources based on the amount of milk consumed.

Author (S) Details

Elizabeth Kuteea. Balirwa
Department of Agribusiness and Natural Resource Economics, International Centre for Sustainable Agricultural Management and Livelihoods Enhancement, (CISAMLE), P.O. Box 34224, Kampala, Uganda.

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