Inclusive Dairy Cooperative Value Chain

Abstract

The dairy sector in Tanzania plays a crucial role in the livelihoods of millions of rural households, contributing significantly to food security, nutrition, and income generation. Dairy cooperatives are vital in this context, as they provide a platform for small-scale producers to aggregate their produce, access markets, and benefit from economies of scale. However, youth engagement along the dairy value chain is limited despite constituting a significant portion (over 60%) of Tanzania's population. Thus, the need for this study arises to explore the perceptions of youth regarding the dairy cooperative value chain in Hai District, Tanzania. It seeks to identify the challenges they face and the opportunities available for their participation in the dairy sector. A mixed-methods approach was employed, combining quantitative and qualitative data collection techniques. A structured questionnaire was administered to 150 youth (non-members), selected through stratified random sampling around Kalali and Foo dairy cooperatives in Hai District. In-depth interviews and focus group discussions were conducted with key stakeholders, including cooperative leaders, local government officials, and youth members. Data were analyzed using descriptive statistics, thematic analysis, and content analysis to provide a comprehensive understanding of youth perceptions, challenges, and opportunities in the dairy value chain. The findings reveal that while youth recognize the potential of the dairy cooperative value chain for economic gain, their participation is limited due to inadequate access to finance, lack of technical skills, limited awareness of cooperative benefits, and socio-cultural barriers. The study also highlights significant opportunities, such as the availability of land or dairy farming, the growing demand for dairy products, and the potential for youth innovation in value addition and marketing. The study recommends the provision of Youth specific financial services, vocational training focused on dairy production and value addition, and awareness campaigns to shift negative perceptions of agriculture among the youth.