Vegetable Value Chain Analysis: The Case of Golina Modern Irrigation Scheme in North East Ethiopia: Kobo District (North Wollo)

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Addis Ababa University


mrvey Ivas cOlldllcled in April 2010 Ivilh emphasis 10 vegelable vallie ellllill ill Golilla Model'll irrigalioll selleme. Tile Silldy allempled 10 assess Ihe lIalllre of bolll forward ami backward lillkages {Jud interactions {[moug vegetable prot/ucers, traders and consumers, input suppliers alld service providers in vegelable vallie chaill ami 10 idelllify Ihe lIIajor cOllslrainls, challellges, alld opportunities embodied with ill tlie chains. Data were collected by llsing hOllse/lOld survey {lnd mixed methodologies were Itsed including key i1{/ormalll interviews, fOCIIS group discllssions alld observation. Tlte data were analyzed by descriptive statistics, conlelll flllalysis (Inti interpretative. The glliding lille of analylical frame work was Michel Porler Qllalilalive vallie elwin 1II0del. Farmers ill Go/ina modern irrigation scheme produced t!tree fillIes ill a year. Cereal production is !lIe leading sector across all prot/uctioll seasons followed by vegetables. Onioll find lomal0 are lite major vegetable prot/uced ill the study area. Market insecurity, drought, pest incidence, lack of injJut and lack of effective service provisions are the major constraints of vegetable sub sectul'. Wllereas, lack 0/ collaboralive chain aclors in 10111010 vallie elwin, lack of lransporlalion facilily, ab.';,ence of standardize measurement, undeveloped proces.·.;ing technology, lack of knowledge in market it~tornlfltion I1wnagel1lents are reported to be the major mal'/(eting challenges in tlte !;'/udy area. Tomato subsectorfaces complex marketing problel11, hence, dumping tonwto in markets and feedillg cattle with it is coml1lon in SIII'lJ/US production periods. The opportunities that need to be Ii/rthe,. e~\jJloited are better access to irrigation, main road access, market potentials, experience of farmers, and existence of community-based organizatioJls (trrulitio/l.\j . Producers incurred 0.67 birr 10 produce & sell a single kilogram 0/ nwrkelab/e fresh 10l11aloes 10 Mekele whole sellers. Tilis produclion cosl covered 17.40% of Ihe 10101 cosls reqllired 10 produce and disiribllie one kg of 10l11aloes 10 Mekele consulllers. The rel1laining 83.60 %( 3.18 birr) of lile 10101 cosl was cosls 0/ disiriblliion, covered by Mekele lraders conslillliing 58.96% (2.27 birr) by Ivl/Ole sellers and relailers covered Ihe rel11aining 23.64 % (0.91 bin) of Ille lola! cosio Producers oblained a lIel of 0.21 birr 0111 of a single kilogral1l of lIIarkeled fresll 101l1llioes 10 Mekele Ivl/Ole sellers, Ihis bene(il covered 13.29 % of Ihe 10101 nel bellefils of a kilogram of lomaloes oblained ((/ier sold 10 Me/ie/e COnSlIl11ers. Mekele Iraders shared Ihe relllaining 86.71 % (1.37 bin) of Ihe 10101 nel benefil conslillliing 70.87 %( 1.12 bin) by wl/Ole sellers and relailers enjoyed Ihe rel11aining 15.82 %( 0.25 bin) oflhe lolal lIel benejils. Finally, a single kilogram oflonlllioes gave a nel bene(il of 1.58 birr, in its path ./i"om jill"lllers 10 consllmers. Prol11olion of vegelable produclion should be aI/ached willI lIIarkel strenglh. Solving sllch conslrainls lIIay Ilefp poor producers 10 increase Iheir incollle and improve tlteir efficiency.



Vegetable Value Chain