Assessing sheep traders’ preferences in Kenya: A best-worst experiment from Kajiado County

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Published on March 12, 2014

Author: ILRI

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Presented by Nadhem Mtimet, Derek Baker, James Audho, Edwin Oyieng and Julie Ojango at the International Agribusiness Marketing Conference (IAMC), Kuala Lumpur, Malaysia, 22-23 October 2013

Nadhem Mtimet, Derek Baker, James Audho, Edwin Oyieng, Julie Ojango International Agribusiness Marketing Conference (IAMC) Kuala Lumpur, Malaysia, 22-23 October 2013 Assessing sheep traders’ preferences in Kenya: A best-worst experiment from Kajiado County

Outline • Introduction • Study area • Data collection • Methodology • Results • Conclusion

Introduction • Small ruminants’ production and meat consumption widely studied • Traders have been “neglected” by researcher • Traders are the first source of market information for producers • Understanding traders’ preferences is an important step in the design and implementation of market-responsive interventions

Study area • Kenya – Kajiado County • This study follows a baseline survey of pastoralist Maasai livestock producers • Local and regional prominence of pastoralist sheep production • 3 livestock markets: Kiserian, Bissil, and Mile 46

Study area

Data collection • Face to face interviews with livestock traders • 3 days (25-27April 2013): each day corresponded to a market day • Traders’ previously contacted by the chairman of local trader group in the case of Kiserian market • For Bissil and Mile 46 markets traders’ were contacted during the market day • 36 traders from each livestock market (108 total)

Data collection • Questionnaire includes different sections • Choice experiment – “Best-Worst” experiment - method • 4 attributes: • age • sex • breed • price

Data collection Selected sheep attributes and their corresponding levels Attributes Levels Sex Male Female Age 6 months 1 year 2 years 3 years Breed Red Maasai Dorper Bleak Head Persian Red Maasai x Dorper Red Maasai x Bleak Head Persian Dorper x Bleak Head Persian Price 3,500 KSH 5,500 KSH 7,500 KSH 9,500 KSH

Data collection Example of choice experiment card Please indicate the most important attribute and the least important attribute when you are buying a sheep (Tick only one case as most important and one case as least important) Most important Sheep 1 Least important Male X 1 year X Dor x BHP 3,500 KSH Would you buy this sheep? Yes No

Methodology Standardized Most-Least Score=No. Most-No. Leastm.n

Results Characteristics Definition Total Kiserian Bissil Mile 46 Gender Male 86% 94% 72% 92% Female 14% 6% 28% 8% Educational level Illiterate 33% 36% 44% 19% Literate 24% 33% 17% 22% Primary 31% 19% 36% 39% Secondary 6% 8% 0% 8% College 4% 3% 0% 8% University 2% 0% 3% 3% Age Mean* 37.2 37.6 39.5 34.5 (in year) (8.5) (10.1) (7.2) (7.0) Experience Mean* 14.6 14.5 15.5 13.9 (in year) (8.5) (9.5) (7.4) (8.5) *Standard deviation between brackets Sampled traders’ characteristics

Proportion of traders ranking the importance of animal species in their activities 0% 20% 40% 60% 80% 100% 1st 2nd 3rd 1st 2nd 3rd 1st 2nd 3rd Kiserian Bissil Mile 46 Poultry Cattle Goat sheep Results

Results Function Livestock market Kiserian Bissil Mile 46 Trader 83% 92% 94% Broker 44% 31% 11% Middleman 11% 11% 11% Processor 8% 11% 0% Retailer 17% 0% 3% Proportion of traders involved in value chain activities

Results – Sheep attributes Standardized attributes’ scores Market Attributes No. Best No. Worst Score Kiserian Sex 40 155 -0.2662 Age 54 142 -0.2037 Breed 168 61 0.2477 Price 170 74 0.2222 Bissil Sex 56 198 -0.3287 Age 83 92 -0.0208 Breed 195 52 0.3310 Price 98 90 0.0185 Mile 46 Sex 42 182 -0.3241 Age 57 146 -0.2060 Breed 198 53 0.3356 Price 135 51 0.1944

Results – Sheep attributes “L-W” average scores of sheep attributes influencing traders’ choices -0.4 -0.3 -0.2 -0.1 0 0.1 0.2 0.3 0.4 Sex Age Breed Price Kiserian Bissil Mile 46

Results – Sheep attributes Importance of sheep attributes’ levels Attributes Relative importance Kiserian Bissil Mile 46 Sex Male 9.5% 7.8% 4.8% Female 14.3% 13.8% 8.6% Age 6 Months 19.6% 44.2% 11.1% 1 Year 13.8% 13.5% 8.5% 2 Years 11.7% 18.1% 8.1% 3 Years 14.9% 14.1% 8.7% Breed D 100.0% 100.0% 100.0% RM 29.7% 49.5% 37.6% BHP 31.3% 24.8% 15.9% RM x D 59.4% 92.9% 62.6% D x BHP 46.2% 38.6% 26.8% RM x BHP 31.8% 29.5% 22.9% Price 3500 KSH 48.0% 26.9% 23.7% 5500 KSH 34.9% 20.8% 22.7% 7500 KSH 33.1% 19.1% 27.3% 9500 KSH 34.6% 23.5% 22.4%

Conclusion • Difference between livestock traders (although belonging to the same region) • Livestock traders play an important role within the value chain (market information, price transmission, value addition.) • Traders are also involved in different socioeconomic activities • For sheep traders: animal breed and price are the most important attributes • Animal sex and animal age are less important

Conclusion • Traders’ preferences for Dorper or cross-breeds including Dorper • Policy implications in terms of research development and promotion on pure Dorper and cross Dorper x Red Maasai breeds • Next: confirm these results by the use of more in-depth analysis and choice models

Contact: Nadhem Mtimet n.mtimet@cgiar.org International Livestock Research Institute www.ilri.org

The presentation has a Creative Commons licence. You are free to re-use or distribute this work, provided credit is given to ILRI. better lives through livestock ilri.org

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