Abstract
This paper highlights the factors likely to influence the economic efficiency of small-scale dairy farms in Mukurweini, Nyeri County, Kenya. A total of 91 small-scale dairy farms previously involved in a nutritional training in 2013 were administered with semi-structured questionnaires. Data collected were entered into SPSS and FRONTIER 4.1 was used to compute the technical, allocative and economic efficiency scores for each farm. The scores were then regressed against a set of variables using the Tobit model in STATA to determine the factors associated with the scores. The average age of the household members involved in dairy farming, household size, labour, cost of concentrates and size of land owned had a negative significant influence on economic efficiency. It was concluded that lowering costs, proper utilization of hired labour and intensive use of the available land for dairy farming would lead to an increase in economic efficiency. The study recommends subsidized prices for concentrates, intensive dairy farming, minimization of hired labour and organization of dairy training and workshops in order to increase the efficiency of milk production in small-scale farms in the study area and other parts of Kenya with similar agro-ecological and cultural conditions.
This is a preview of subscription content, log in via an institution to check access.
Similar content being viewed by others
References
Chindime, S.C.C. (2007). The role of credit on milk productivity among borrower and non-borrower dairy farmers in Malawi- a case study of Central and Northern Milk Shed Areas. Unpublished Master’s thesis, Bunda College of Agriculture, University of Malawi.https://repository.ruforum.org/sites/default/files/Chindime%20S._MSc_UniMa_2008.pdf. Last accessed July 3, 2019.
Daily Nation (2017). Costly fodder heaps losses on dairy farmers. https://www.nation.co.ke/business/seedsofgold/Costly-fodder-heaps-losses-on-dairy-farmers/2301238-3508698-10ggfbd/index.html. Last accessed July 3, 2019.
Dhungana, B. R., Nuthall, P. L., &Nartea, G. V. (2004). Measuring the economic inefficiency of Nepalese rice farms using data envelopment analysis. Australian Journal of Agricultural and Resource Economics, 48 (2), 347–369. https://onlinelibrary.wiley.com/doi/epdf/10.1111/j.1467-8489.2004.00243.x
FAO (2015). Livestock production. http://www.fao.org/docrep/005/y4252e/y4252e07.htm. Last accessed Jun 22, 2019.
Gitau, K. J. (2013). Factors influencing milk production among small-scale dairy farmers in Mirangine in Nyandarua county and Mauche in Nakuru county, Kenya (Doctoral dissertation, University of Nairobi).chttp://erepository.uonbi.ac.ke/bitstream/handle/11295/60135/Gitau_Factors%20influencing%20milk%20production.pdf?sequence=3. Last accessed July 3, 2019.
Government of Kenya (2008). Sessional Paper of the National Livestock Policy. www.agricoop.info.ke/files/downloads/National-Livestock-Policy.pdf. Last accessed Jun 22, 2019.
Government of Kenya (2010). Kenya national dairy master plans Ministry of Livestock Development.kdb.co.ke/press/publications/reports/5-Kenya-national-dairy-master-plan/file.html. Last accessed Jun 22, 2019.
Karanja, A. M. (2003). The dairy industry in Kenya: The post-liberalization agenda. Tegemeo Institute of Agricultural Policy and Development, Egerton University, Kenya.
Kavoi, M. M., Hoag, D. L., & Pritchett, J. (2010). Measurement of economic efficiency for smallholder dairy cattle in the marginal zones of Kenya. Journal of Development and Agricultural Economics, 2 (4), 122–137.
Kipkorir, B. W. (2017) Factors influencing the performance of dairy farming projects in Cherangani Sub-County, Trans-Nzoia County, Kenya.http://erepository.uonbi.ac.ke/bitstream/handle/11295/103029/Bii_Factors%20Influencing%20Performance%20of%20Dairy%20Farming%20Projects%20in%20Cherangani%20Sub%20County%2C%20Transnzoia%20County%2C%20Kenya.pdf?sequence=1&isAllowed=y. Last accessed Jun 25, 2019.
Maina, F., Mburu, J., Gitau, G., VanLeeuwen, J., & Negusse, Y. (2018). Economic efficiency of milk production among small-scale dairy farmers in Mukurweini, Nyeri County, Kenya. Journal of Development and Agricultural Economics, 10(5), 152–158.
Mburu, G. N. (2017). Factors affecting the productionof dairy products in Kenya: A case of co-operative societies in Kiambu (Doctoral Dissertation).http://41.89.49.13:8080/xmlui/bitstream/handle/123456789/801/MBURU%20-%20Factors%20Affecting%20Production%20Of%20Dairy%20Products%20In%20Kenya%3A%20A%20Case%20Of%20Co-%20Operative%20Societies%20In%20Kiambu%20County?sequence=1&isAllowed=y
Mburu, S., Ackello-Ogutu, C., & Mulwa, R. (2014). Analysis of economic efficiency and farm size: a case study of wheat farmers in Nakuru District, Kenya. Economics Research International, 2014.
Mugambi, D. K. (2014). Estimation of milk production efficiency of dairy cow farms in Embu and Meru counties of Kenya. In Scientific Conference Proceedings. http://journals.jkuat.ac.ke/index.php/jscp/article/view/1091. Last accessed Jul 5, 2019.
Mumba, C. (2012). Economic Analysis of the Viability of the Smallholder Dairy Farming in Zambia. Unpublished M.Sc. thesis. The University of Zambia, School of Veterinary Medicine.http://dspace.unza.zm:8080/xmlui/bitstream/handle/123456789/1804/chisoni.pdf?sequence=1 Last accessed July 3, 2019
Muriuki, H., A. Omore, N. Hooton, M. Waithaka, R. Ouma, S.J. Staal and P. Odhiambo (2014). The policy environment in the Kenya dairy sub-sector: A review. http://hdl.handle.net/10568/1784. Last accessed Jul 2, 2019.
Mutua, J. (2015). Smallholder Dairy Producers In Kenya Realize Higher Income From Better Feeding Practices. https://agrilinks.org/blog/smallholder-dairy-producers-kenya-realize-higher-income-better-feeding-practices. Last accessed Jul 2, 2019.
Ngigi, M. (2002). Anevaluation of the impacts of transaction costs and market outlet risks on market participation of smallholder dairy farmers in central. (Unpublished Doctoral Dissertation). The University of Nairobi, Nairobi, Kenya.http://erepository.uonbi.ac.ke/bitstream/handle/11295/24392/Ngigi_An%20evaluation%20of%20the%20impacts%20of%20transaction%20cost%20and%20market%20outlet%20risks%20on%20market%20participation%20of%20smallholder%20dairy%20farmers.pdf?sequence=3&isAllowed=y. Last accessed July 3, 2019
Nyekanyeka, T. (2011). Analysis of profitability and efficiency of improved and local smallholder dairy production: a case of Lilongwe milk shed area (Doctoral dissertation).http://ageconsearch.umn.edu/bitstream/157597/2/Ted%20NyekanyekaThesis.pdf. Last accessed July 3, 2019
Omiti, J., Wanyoike, F., Staal, S., Delgado, C. and Njoroge, L. (2006). Will small-scale dairy producers in Kenya disappear due to economies of scale in production? Contributed paper prepared for presentation at the International Influence of Agricultural Economists Conference, Gold Coast, Australia. https://www.researchgate.net/publication/23511751_Will_Small Scale_Dairy_Producers_in_Kenya_Disappear_Due_to_Economies_of_Scale_in_Production. Last accessed July 3, 2019
Richards, S., VanLeeuwen, J. A., Shepelo, G., Gitau, G. K., Wichtel, J., Kamunde, C., & Uehlinger, F. (2016). Randomized controlled trial on impacts of dairy meal feeding interventions on early lactation milk production in smallholder dairy farms in Central Kenya. Preventive Veterinary Medicine, 125, 46–53.
Sajjad M., and Khan, M.(2010). Economic efficiency of milk production in district Peshawar: A stochastic frontier approach. Sarhad Journal of Agriculture. 26 (4): 655–663
Wilson, P. (2011). Decomposing variation in dairy profitability: the impact of output, inputs, prices, labour and management. Journal of Agricultural Science, 149 (04), 507–517.
Acknowledgements
The authors would like to acknowledge Gerald Kariuki, Pricilla Muthoni and Ephraim Mutahi for their help in the field, as well as Dr. Patrick Irungu for his assistance in the analysis.
Funding
The authors received partial funding from the Atlantic Veterinary College—UPEI, Farmers Hel** Farmers (Canadian NGO) and Chris Mutsami.
Author information
Authors and Affiliations
Corresponding author
Ethics declarations
Disclaimer
The sources of funding had no conflicting interest in this research and were not involved in data collection, data analysis and publication.
Additional information
Publisher’s note
Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.
Rights and permissions
About this article
Cite this article
Maina, F., Mburu, J., Gitau, G. et al. Factors influencing economic efficiency of milk production among small-scale dairy farms in Mukurweini, Nyeri County, Kenya. Trop Anim Health Prod 52, 533–539 (2020). https://doi.org/10.1007/s11250-019-02039-1
Received:
Accepted:
Published:
Issue Date:
DOI: https://doi.org/10.1007/s11250-019-02039-1