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ISSN : 2456-8643

Title:
A REVIEW OF INSTITUTIONAL FACTORS THAT INFLUENCE SMALLHOLDER POTATO FARMERS’ VALUE ADDITION IN DEVELOPING COUNTRIES: IMPLICATIONS FOR UGANDA

Authors:
Akankunda, L.* , Tumusiime, B and Kalibwani, R ,Uganda

Abstract:
The review analyses the Institutional factors that influence potato value addition in Uganda. The review sought to; identify the key critical institutional factors that contribute to supporting the potato value chain, and discuss how these factors can be used to support the development of the value chain in Uganda. The review based on secondary review to come up with findings. It applied a quantitative approach that involved data extraction from sources like online books, journals, reports articles and media. Potato production and value addition in Uganda is primarily performed by numerous players including; farmers/producers, marketers (agents and traders), and processors. These actors determine the volume and quality of traded potato, per capita value added product and price outcomes in the Irish Potato subsector. Though there is a remarkable progress in boosting per capita potato value added product, major players are still restrained by institutional setbacks such as; un-reliable supply of quality seed inputs, fertilizer and pesticide, limited access to credit services, transport infrastructure and transport costs, limited access to market information, services, and technology, lack of storage infrastructure, limited market access, poor market infrastructure, poor organization of the sector, poor legal environment and lack of proper policies related to smallholder farmers. The constraints must be addressed for Uganda to optimally exploit its full potato production potential and upgrade its entire value chain. It is recommended that government together with private sector channel credit facilities through existing farmer groups to increase access to credit through either capitalizing farmer group-level VSLAs or lending to farmer groups instead of individuals. This can enable farmers acquire the necessary equipment needed for value addition. There is also need to upgrade infrastructure and more importantly, community and market stores that support the functionality of the traders who are the key actors throughout the Irish Potato value chain.

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