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

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