The Existing Forest Coffee Market Channel of Essara Woreda and Actors Involved in the Chain the Cause of Dawuro Zone, Southern Nation Natonalits and Peoples Region, Ethiopia

Abstract

Forest coffee originates in Southwestern and Southeastern Ethiopia where 30% of production and 10 % to 20% of the country’s total export originates from. The general objective of the study was to analyze the factors that affect the existing forest coffee value chain of Essara woreda with specific focus of identify the existing coffee market channel and actors involved in the chain, the structure and performance of coffee chain determinants of market surplus production, price received by coffee farm households and the role of gender in coffee value chain. To these end 235 sample producers, local coffee collector, local traders, wholesalers and consumers were identified from 9 kebele, Balle and Tarcha town for the study. Based on the findings of the study the volume of production and marketing were found to be affected by age, family size, market Center and all-weather road distance, the level of deforestation and factors that aggravated deforestation, selling price, experience of producer households and mixing forest coffee to garden coffee to increase the volume. About 2%  of market surplus coffee is transacted in through formal market while, 98 % is through conventional market, as a result of which producer obtain less income and 98 % forest coffee producer’s income source is depending on natural forest coffee production and marketing while, the level of deforestation is too high it needs appropriate intervention and awareness creation. Market margin of the area indicated that the large share of benefit is concentrated at roadside, café and hotel coffee brewers and venders. Hence, in order to improve the profit margin and level of producers’ benefit value addition and increase in sale price for their produce at farm get level is recommended

Keywords: Essara Woreda, value chain, actor’s, market channel