Milk and the city: Raw milk challenging the value claims of value chains

ABSTRACT

This article assesses two models of dairy production and distribution to the large city of Dar es Salaam. One is urban and peri-urban raw milk production through territorial markets and the symbiotic food system and the other a dairy value chain intervention. The raw milk system is remarkably resilient and gives lower prices to milk drinkers and better returns to small-scale farmers. The value chain intervention provides opportunities for some dairy farmers but can’t compete and favors corporate entities less aligned with most farmers’ and city residents’ interests. Policy maker’s preference for value chain interventions appears to be ideological as it is not justified by the outcomes, but support for alternatives is growing and needs to be built on.

KEYWORDS:

• Dairy
• symbiotic food system
• value chains
• territorial markets
• small-scale farmers
• human economy
• development
• food security
• nested markets

Notes

¹ Yield figures calculated by authors based on the 2008 National Sample Census of Agriculture (National Bureau of Statistics 2012) and the survey carried out by Kivaria et al (Kivaria, Noordhuizen, and Kapaga 2006).

² A duka is a shop; used here to refer to the small general dealer stores that are found throughout Dar es Salaam.

³ A daladala is the main form of local transport bus in Dar es Salaam. It is normally a medium sized bus used for urban public transport on set routes.

⁴ These figures for shareholding were as of 2014.

⁵ These are the highest price to eater scenarios in all cases. Unlike in the Tanga Fresh case, many eaters do get the milk for lower prices from the raw milk suppliers than the highest prices reflected here.

⁶ As noted in the description of this operation, Mama Christina, as the farmer selling directly frequently gets 100% of the final retail price.

⁷ This is one model found via the Ubungo early morning street market. While the prices paid to producers were quite consistent (apart from the direct sellers who are getting a higher proportion) the traders buying and selling on to their customer have a variety of prices that vary around this level and were also difficult to verify.