Cross Border Livestock Marketing and Pastoral households’ income: The Case of Harshin Woreda, Somali Regional State.
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Date
2019-06
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Addis Ababa University
Abstract
Cross-border trade is a strategy undertaken by people as a coping mechanism to
escape poverty. This study examines cross-border livestock marketing and pastoral household
income in Harshin district by using primary and secondary data that were collected through
structured questionnaire, focus group discussions and key informant interviews with crossborder market participant, (77) and non-participant (78) sampled households. Both descriptive
and inferential statistics specially Propensity Score Matching were used to assess the linkage
between cross-border market participation and household income in the study area. The study
revealed that four among ten model variables, influence the cross-border market participation
decision which are educational level, family size, number of livestock owned by the household,
and distance to nearest border market place The finding of the study also shows that, broker
plays dominant role in marketing channel which is 80% of the chains engaged by the broker for
mediating process. Thus, the cross-border livestock marketing had positive and highly
significant effect on household income in which 3689.6Birr increment was found due to the
cross-border market participation. Generally, the finding of the study suggests that there is a
need to scale up the education intervention programs to improve livestock marketing and
enhance community awareness towards diversifying their income through cross-border livestock
market participation without undermining the role of the government. Shortening the length of
the market chain to minimize transaction cost institutional arrangements, policy support and
adopting legalized channel against illegal rout is needed.
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Keywords
Cross-border trade, Household Income, Livestock marketing, Pastoralists, Harshin