Multiperiod farm planning to maximize smallholder farm income : a case study of Shinyanga region, Tanzania

This study investigates the problem of low farm income in Shinyanga region, Tanzania. For the past two decades, smallholder farmers of Tanzania have been experiencing low farm earnings from the farming occupation. The problem of low farm income has trapped small holder farmers in a vicious cycle, which can be described as follows; farm earnings are low, farm savings are minimal (or no savings), farm investments are limited, farm growth or expansion is limited, and be cause farm growth is limited farm earnings are low. The overall objective of the study was to develop a multiperiod farm planning model for smallholder farmers in the Shinyanga region. Specific objectives were to: (1) present alternative farm plans for a period of three years, which reflect maximizing incomes by optimum use of available resources and which can be made available in the region, (2) trace resource adjustments and determine the net farm income over the period of 3 years, and (3) analyze the impact of improved technologies (use of fertilizers and high yielding seeds) on optimal net farm income. In conceptualizing the problem, three strategies were advocated to solve the problem of low farm income. These were: (1) better allocation of farm resources, (2) application of improved technologies, and (3) use of a farm credit system. The results of this study show that by using farm resources efficiently, smallholder farmers can generate operating capital over time sufficient to invest in improved technologies. Furthermore, the analysis indicated that the farm plans developed are capable of meeting family food needs (consumption and storage) and family living expenses. The application of improved technologies showed higher farm income earnings as compared to traditional farm plans. Additionally, use of farm credit increased total farm earnings as compared to farm plans not allowing borrowing. Information generated from this study produced two research implications: (1) labor supply and (2) accumulation of operating capital. Labor supply appeared to be critical in January, February, April, July, November, and December. The accumulation of operating capital produced alternative investment opportunities. It was observed that capital generated over time would also enable farm families to invest in labor saving implements.

Name thesis:degree_name

M.S.

Level thesis:degree_level

Masters

Discipline thesis:degree_discipline

Agricultural economics (MU)

Grantor dc:publisher

University of Missouri--Columbia

Year dc:date.issued

1987

Author dc:creator

• Bunyecha, Kija Faustin

Advisor dc:contributor.advisor

• Headley, Joseph C.

Statement dc:rights

• OpenAccess.

Language dc:language.iso

eng, English

Handle dc:identifier.uri

https://hdl.handle.net/10355/111869

OAI identifier oai:identifier

oai:mospace.umsystem.edu:10355/111869