Determinants for the Attraction of Urban Dairy Farm Investment in Mekelle City, Ethiopia

Abstract

This study addressed the urban dairy farm investments in Mekelle city, Tigray Regional State, Ethiopia. Its main objective was to analyze the factors for urban dairy farm investment attraction in Mekelle city. Quantitative primary data was collected through structured questionnaire from a sample of 59 dairy farmers selected by using proportionate simple random sampling. Analysis was conducted by using ordinal logistic regression model. Thus, age, year of experience, access to finance, health care service, training, distance, infrastructure and governmental policy were found to be statistically significant determinants of the urban dairy farm investment attraction. Therefore, the government and other stakeholders should motivate dairy farm investors by giving training on business issues; arrange trade fares, forums and exhibitions for experience sharing; and address the prevailing finance problems, infrastructure challenges, and dairy inputs, among others Finally, future researchers are suggested to carry out large scale and in-depth studies to identify factors affecting the overall  attractiveness of urban dairy farm investment in other part of Tigray region there by to develop appropriate strategies for the development and attraction of dairy farm investment.

Keywords: Chi-Square, Cooperatives, Determinant Factors, Dairy Farm, Investment, Mekelle City, Ordered Logit, Small Holders.