The economic role of livestock for households in Subsaharan African countries

Different livestock husbandry as well as their economic role  for households in Subsaharan African countries are studied.

Background and Objective

A large share of rural households in SSA holds and depends strongly on livestock activities as income source and for self-consumption. Livestock and livestock products are the most important marketed goods in many smallholder mixed farming systems in SSA. Sales of livestock products such as milk, eggs and wool generate a relatively constant stream of income and the sale of live animals, meat and hides produce substantial sporadic income. In addition, livestock also provides transportation services to the household while manure is used as fertilizer or energy source and draught power for crop cultivation.

This project analyses livestock keeping and its importance for households as a multi-purpose asset for african households.

Target Group

The target group includes policy-makers in Subsaharan African countries, public organizations, international organization well as NGOS amongst others.

Approach

The methodology comprises the linkage of a micro-simulation model with a general- (MAGNET) and a partial (AGMEMOD) equilibrium model. The study uses the LSMS ( Living Standards Measurement Study) data from the World Bank for several African countries. The LSMS contains information on agricultural production and animal husbandry at household level. These data are analyzed with econometric measurement methods to determine the effect of livestock keeping and their commercialization at household level. Moreover, the econometric results are coupled with MAGNET and AGMEMOD. This approach combines the advantages of microsimulation and its detailed consideration of the households with the advantages of a general equilibrium model (MAGNET) and a partial equilibrium model (AGMEMOD).

Thünen-Contact

• González-Mellado, Aida Araceli Institute of Market Analysis

Involved Thünen-Partners

• Efken, Josef Institute of Market Analysis
• Salamon, Petra Institute of Market Analysis

Duration

10.2012 - 12.2016

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