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Tropentag, September 14 - 16, 2022, Prague

"Can agroecological farming feed the world? Farmers' and academia's views."


Dairy agripreneurs’ preference for production and animal health support services in Kenya — a choice experiment

Dickson Okello, George Owuor

Egerton University, Agricultural Economics and Agribusiness Management, Kenya


Abstract


The performance of dairy agripreneurs play an important role in promoting employment creation, food security and poverty alleviation in rural areas of Kenya. However, these dairy agripreneurs are faced with several risk factors such as animal diseases, unstable milk prices, inadequate capital, high input prices and unskilled human capital. Utilisation of production and animal health services among smallholder dairy agripreneurs is crucial in enhancing their productivity and income levels. However, studies have documented low uptake of these services among smallholder dairy agripreneurs in Kenya. This study utilises a choice experiment (CE) to determine dairy agripreneurs’ preferences and willingness to pay (WTP) for five attributes of production and animal health support services. Multistage sampling procedure was used to collect data from 682 dairy farmers in Murang’a County. Data were analysed using Random Parameter Logit (RPL)/Mixed Logit model. The results of CE reveal significant heterogeneity in preference among dairy agripreneurs. Dairy agripreneurs prefer to have group marketing services offered rather than selling on individual basis. They also prefer curative services rather than preventive services. In addition, dairy agripreneurs prefer use of artificial insemination in improving productivity of cows rather than using improved feeds such as hay and silage. The results further indicate that dairy agripreneurs have less preference for business plan training service. In relation to willingness to pay (WTP), dairy agripreneurs were more willing to pay for group marketing (KES 8797.91/month), artificial insemination (KES 2816.01/month) and curative services (KES 2577.62/month). Lastly, dairy agripreneurs were not willing to forgo KES 2411.29 per month for business plan training service. Service providers should consider the differences in preferences among dairy agripreneurs to increase the uptake of production and animal health services in dairy agrienterprises.


Keywords: Artificial insemination, business plan training, curative, group marketing, preventive, vaccination


Contact Address: Dickson Okello, Egerton University, Agricultural Economics and Agribusiness Management, P.O. Box 536, 20100 Nakuru, Kenya, e-mail: dickson.okello@egerton.ac.ke


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