Rural-Urban Linkages: Structure and Dynamics of Irish Potato Value Chain

Population growth coupled with urbanization processes in most African countries including Tanzania has significantly change demand and supply trends of goods and services. For example, observed changes in food demand, taste and preferences, lifestyle and culture influences caused by mobility of people in-and-out of rural local territories. Linkages between rural and urban areas have impact on economic growth, and also influence transformation of the agricultural activities including agricultural trade. Furthermore, agricultural trade flows characterized by geographical diversification (production and market) and increasing intensity of exchange within the area. Household have shifted to the production of high valued crops, demanded in local and neighbouring rural and urban markets responding to new demand and supply. The concept of Global Value Chain (GVC) was adopted to examine the structure and dynamics of Irish potato value chain in Njombe region. Data collection methods include household survey, Interviews and focus group discussion. Ordinal logistic regression used to analyse factors influencing marketing channels (1 = Traders at farm, 2 = Local market and 3= Urban/regional market) choice by Irish potato farmers. Results reveals that unit increase of distance to Njombe town (Urban center), the odds ratio of being in higher marketing channel categories versus lower categories was 0.8911 (p