Traders tend to be regarded as exploitative towards producers even without knowledge of their businesses. The article “Elusive profits: understanding economic performance of local traders in the pastoral small ruminant value chain in northern Kenya” (2019) by Guyo Malicha Roba et al, published in Nomadic Peoples 23(1): 78–105, reports on a study into marketing costs, net profits and return to invested capital of small ruminant traders among the Rendille pastoralists in Marsabit County. Based on 84 transactions made between 2014 and 2016, the researchers found low average profits and a high risk of economic losses among local long-distance traders. For traders working in partnerships of two or more, the profits and losses over the study period amounted to incomes barely exceeding Kenya’s minimum wage. Although traders play an important role in linking pastoralists to markets, the precariousness they face hinders the sustainability of pastoral small ruminant value chains in Kenya.
Citation:
Roba GM, Lelea MA, Hensel O & Kaufmann B. 2019. Elusive profits: understanding economic performance of local traders in the pastoral small ruminant value chain in northern Kenya. Nomadic Peoples 23(1): 78–105 https://doi.org/10.3197/np.2019.230105.
All issues of the journal Nomadic Peoples can be found here: https://www.ingentaconnect.com/content/whp/nomp
Posted on 19 March 2019 in Pastoralism & Marketing