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Contents page numbers Chapter one Introduction.............................. 5 Background..........................................................5 Problem statement...................................................8 Purpose.............................................................8 General objectives..................................................8 Specific objectives.................................................9 Research questions..................................................9 The scope of the study:.............................................9 Geographical scope................................................9 Content scope.....................................................9 Time scope........................................................9 Significant of study...............................................10 Chapter two Literature review........................11 Introduction.......................................................11 Economic important.................................................11 Role of economic contribution......................................12 Economic Contributions by Commodity Groups.........................12 VALUE ADDED IS IMPORTANT...........................................13 Value addition of agriculture reduced unemployment.................13 employment contribution............................................14 Economic contribution..............................................14 Poverty Alleviation................................................15 Value addition:....................................................15 Approaches to Adding Value.........................................16 1

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Page 1: Problem statement.docx

Contents page numbers Chapter one Introduction...................................................................................5

Background..............................................................................................................................................5

Problem statement..................................................................................................................................8

Purpose...................................................................................................................................................8

General objectives...................................................................................................................................8

Specific objectives...................................................................................................................................9

Research questions..................................................................................................................................9

The scope of the study:...........................................................................................................................9

Geographical scope.............................................................................................................................9

Content scope......................................................................................................................................9

Time scope...........................................................................................................................................9

Significant of study................................................................................................................................10

Chapter two Literature review..........................................................................11

Introduction...........................................................................................................................................11

Economic important..............................................................................................................................11

Role of economic contribution..............................................................................................................12

Economic Contributions by Commodity Groups....................................................................................12

VALUE ADDED IS IMPORTANT...............................................................................................................13

Value addition of agriculture reduced unemployment..........................................................................13

employment contribution.....................................................................................................................14

Economic contribution..........................................................................................................................14

Poverty Alleviation................................................................................................................................15

Value addition:......................................................................................................................................15

Approaches to Adding Value.................................................................................................................16

Innovation.........................................................................................................................................16

Coordination......................................................................................................................................16

Following are some important steps listed by one expert to establish a value-added business:..........17

Steps to Success in Value Added establishment....................................................................................17

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Four methods are identified for producers to add value to their production.......................................17

The strategies that has greater opportunity of value addition of agricultural products........................18

21ST CENTURY GRAIN............................................................................................................................18

PROCESSING COOPERATIVE...................................................................................................................18

PHENIX MANUFACTURING....................................................................................................................19

Chapter three...................................................................................................20

Methodology................................................................................................... 20

Introduction...........................................................................................................................................20

Research design.....................................................................................................................................20

Research population..............................................................................................................................20

Sample size............................................................................................................................................20

Sampling Procedure...............................................................................................................................21

Research Instruments............................................................................................................................21

Questionnaire........................................................................................................................................21

Interviews..............................................................................................................................................22

Sources of data......................................................................................................................................22

a) Primary source...............................................................................................................................22

b) Secondary source..........................................................................................................................22

Data Gathering Procedure.....................................................................................................................22

Data Analysis.........................................................................................................................................22

Research Limitations.............................................................................................................................22

CHAPTER FOUR DATA PRESENTATION, ANALYSIS AND INTERPRETATION.........23

Introduction...........................................................................................................................................23

Table no: 1 what is your gender........................................................................24

List of graphs....................................................................................................24

Graph no: 1............................................................................................................................................24

Table NO:2 What is your age............................................................................25

GRAPH NO:2..........................................................................................................................................25

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Table 3 marital status.......................................................................................26

GRAPH NO:3 SHOWS MARITAL STATUS OF RESPONDENTS...................................................................26

Table 4 how long have you been living here.....................................................27

GRAPH NO: 4 shows how long have you been living here.....................................................................27

Table 5 living place...........................................................................................28

GRAPH NO: 5 shows living place............................................................................................................28

Table 6 educational level..................................................................................29

GRAPH NO: 6 shows Educational levels.................................................................................................29

Table 7 occupation...........................................................................................30

Graph no: 7 shows occupation..............................................................................................................30

Table 8 shows what is the important value addition of agricultural product in economic contribution.....................................................................................31

Graph no: 8 shows what is the important value addition of agricultural products in economics..........32

Table 9 How we starting agricultural product that added value in economic....33

graph no:9 How we starting agricultural product that added value in economic..................................33

Table 10 shows what is the factors effecting local value addition of agricultural products...........................................................................................................34

Graph no 10 shows what is the factors effecting local value addition of agricultural products.............34

Table 11 shows How to improve standard live of the farmers..........................35

Graph no: 11 shows how to improve standard live of the farmers.......................................................35

Table 12 shows Improving of agricultural products increase income of the farmers............................................................................................................ 36

Graph no: 12 shows improving of agricultural products increase income of the farmers.....................36

Table 13 shows how to creating value addition of agricultural products...........37

Graph no 13 shows how to creating value addition of agricultural products........................................37

Table 14 How the value additions of the agricultural products increase demand of the market................................................................................................... 38

Graph no14: how the value additions of the agricultural products increase demand of the market....38

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Table 15 what are the additional opportunity for increasing value of agricultural product............................................................................................................ 39

Graph no: 15 shows what are the additional opportunity for increasing value of agricultural products...............................................................................................................................................................39

Table 16 shows Value additions of agricultural products increase income of farmers............................................................................................................ 40

Graph no: 16 shows Value additions of agricultural products increase income of farmers...................40

Table 17 shows Is the increase income capital of farmers increase economic level................................................................................................................. 41

Graph no 17 shows Is the increase income capital of farmers increase economic level........................41

Chapter five conclusions and recommendation................................................42

Conclusion.............................................................................................................................................42

Recommendation of value addition of agricultural products and their economic contribution.....................................................................................................44

Recommendation by farmers................................................................................................................44

Producers..............................................................................................................................................44

Government recommendation..............................................................................................................45

Recommendation of processors............................................................................................................45

Recommended agricultural extensions.................................................................................................45

Reference.........................................................................................................46

Appendixes...................................................................................................... 48

Appendix 1: Questionnaire....................................................................................................................48

APPENDIX II: TIME FRAME.....................................................................................................................51

APPENDIX III: BUDGET...........................................................................................................................52

Curriculum vitae....................................................................................................................................53

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Chapter one Introduction

BackgroundSomaliland republic is located in the Horn of Africa. Its boundaries are defined by the Gulf of

Aden in the north, Somalia in the east, the Federal Republic of Ethiopia in the south-west, and

the Republic of Djibouti in the north-west. It lies between Latitudes 8o and 11o27’ North and

Longitudes 42o35’ and 49o East; it has mountain ranges rising up to six and seven thousand feet

in the center and in the east of the country respectively.

The total area of the Republic of Somaliland is 137, 600sqkms, and it has a coastline which is

850kms long. Somaliland is located north of the Equator. It is semi-arid. The average daily

temperatures range From 25oC to 35oC. The sun passes vertically overhead twice a year, on 22

March and 23 September.

Somaliland consists of three main topographic zones:

The Coastal Plain (Guban)

The Coastal Range (Ogo)

The Plateau (Hawd).

Borama is located about 120km in Hargeisa, the main capital city of Somaliland.

Many raw commodities have value in their original state.

They are raised by an agricultural producer; then sold by that producer for further processing

Corn, wheat, weaned calves, market lambs, watermelons etc. all HAVE value. They are worth

something

Like most other countries in the sub-Saharan Africa, Kenyan economy is predominantly

agricultural. The sector accounts for 24.2% of the GDP, over 60% of exports, 75% of the total

labour force and over 80% of industrial raw materials (Owuor 2009). Therefore agricultural

productivity remains crucial to the nation’s economic development and welfare of her people.

Due to this, agricultural and financial sectors were identified as twin engines for economic

growth in the national vision 2030 (GoK 2007) which aims at transforming the economy to a

newly industrialized economy by the year 2030. This national development plan emphasizes

linkages between these two sectors

A broad definition of value added is to economically add value to a product by changing its

current place, time, and form characteristics to characteristics more preferred in the marketplace.

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As a specific example, a more narrow definition would be to economically add value to an

agricultural product (such as wheat) by processing it into a

product (such as flour) desired by customers (such as bread bakers). Producers involved in

adding value should think of themselves as members of a food company that processes

and markets products to consumers. Often, this may involve building processing plants in the

producers’ geographical regions to process locally produced crops or animals. However, another

model has occurred, which involves building the processing plant wherever it is most feasible

and profitable, such as closer to where the final products will be marketed. An example of adding

value to wheat through a distant processing plant is illustrated by the following case study. and

Johnson). By encouraging innovative ideas, adding value becomes a reality. Innovation also can

come from research about alternative crops that can be grown successfully by producers to

replace traditional crops. Value-added is if producers are able to economically profit by growing

these alternative crops instead of traditional crops. Some alternative crops that show promise

include industrial hemp for its fiber, kenaf for fiber, and castor bean for its oil. The following

case study describes an innovative nonfood use for a commodity common in Texas, but one that

could be considered an alternative crop,Value added refers to the additional value created at a

particular stage of production or through image and marketing. Value added agriculture is a

process of increasing the economic value and consumer appeal of an agricultural commodity. It

is an alternative production and marketing strategy that requires a better understanding of the

rapidly changing food industry and food safety issues, consumer preference and effective

management. It may not be inferred that value addition, means only processing a raw material

into some form of canned food. There are various ways of adding value to a commodity.

Further , in a country like India, the scope of Value addition is mind-boggling for the reason of

availability of raw material as well as the large market size. In the paper presented here, an

attempt is being made to study the sector of Value addition in agricultural products in the state of

Haryana (India), with a special focus on pickle manufacturing. In Addition, agriculture also

experiences low returns due to labour

underemployment in the sector and low value commodity output; since more than optimal

number of people are involved in the production process and the fact that output is marketed in

commodity form. This attracts low prices due to price depression actions of middlemen and

processors, high supply during harvest time when most peasant farmers sell their produce and

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low demand especially for starchy cereals (Bozic et al. 2009). Value addition of agricultural

products related economics when the improved value added products they contributed labor,

market demand and income of the farmers, Value added refers to the additional value created at

a particular stage of production or through image and marketing. Value added agriculture is a

process of increasing the economic value and consumer appeal of an agricultural commodity. It

is an alternative production and marketing strategy that requires a better understanding of the

rapidly changing food industry and food safety issues, consumer preference and effective

management. It may not be inferred that value addition, means only processing a raw material

into some form of canned food. There are various ways of adding value to a commodity. Further,

in a country like India, the scope of Value addition is mind-boggling for the reason of

availability of raw material as well as the large market size. In the paper presented here, an

attempt is being made to study the sector of Value addition in agricultural products in the state of

Haryana

Vegetable has high value production plays important role in poverty alleviation through

employment generation, improving the feeding behavior of the people, and creating new

opportunities for poor farmers. Since the labor to land ratio of vegetable cultivation is high,

vegetable products are bulky and perishable, and vegetable has continuous demand in the

market, its production and marketing allows high productive employment. Increasing

horticultural production and marketing thus contribute to commercialization of the rural

economy and create many off-farm jobs (Weignberger and Lumpkin, 2005).

The value of agricultural products can be increased in endless ways: by

cleaning and cooling, packaging, processing, distributing, cooking,

combining, churning, culturing, grinding, hulling, extracting, drying, smoking,

handcrafting, spinning, weaving, labeling, or packaging

Adding Value – Process of changing or transforming a product from its

original state to a more valuable state

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Problem statementAwdal region is located about 120km in northwestern maroodijeex the main region of

Somaliland has large number of farms and produce more products but lack of agricultural

processing industries they doesn’t produce value addition of agricultural products the main

problem of this region is perishable of agricultural when farmers produce large crops

Connecting smallholders to new dynamic markets for high-value products provides an

opportunity for more rapid reduction of poverty but also poses a challenge. It requires

investing in market infrastructure and upgrading farmers’ technical capacity to meet

demanding standards. Producer organizations are essential for smallholders to achieve

competitiveness, to realize economies of scale in market transactions, and to gain

market power

Enhancing value addition of agricultural product to contributed economic opportunity such as

increased demand of market reduce unemployment rate the must be established industrial

processing products or cottage industries to produce value addition of agricultural products

Purpose The main purpose of this problem increasing agricultural products of awdal region to achieve

lower unemployment rate and Suggest policies and strategies for sócio-economic development

of agriculture in the region

General objectivesEvaluate agricultural-value chain systems; and Reflect on alternative ways to increase

productivity, develop markets, and build up competitiveness to improve incomes and reduce

poverty in awdal region and involving agricultural processing industries expect benefits to arise

from a change in the form of the agricultural product

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Specific objectivesi. To identify role of value addition of agricultural products in economic contribution and reduce

unemployment rate

ii. to develop standard live of farmers by increasing agricultural products

iii. to establish agricultural products that added value in economics by processing agricultural

products to increase demand of the market

Research questions1. what is role of value addition in economic growth and how to reduce unemployment rate

2. how to develop standard live of the farmers and increasing agricultural products

3. how to processing agricultural products to save perishable products

The scope of the study:

Geographical scope The research study is made value addition of agricultural products and their economic

contribution in awdalregion geographically located north west of Somaliland they

consisting four district boorama.bakilughaya and qulujeed the capital city of this region is

Borama,boorama is located about 120 km North West of Hargeisa

Content scope The study of this research was confined the value addition of agricultural products and

their economic contribution in awdalarea ,available improve and scientific study options

can be used to reduce un employment rate and motivate agricultural production

Time scope The first phase of the study was taken place from April to May in 2014 where

understanding, deciding and identification important value addition of agricultural

product,

the second phase of study was observations with market visits and data collection which

started June and ended July in 2014. However, the overall time taken to complete this study

was April to July in 2014

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Significant of studyThis study is one of the most important studies prepared at awdal region especially value

addition of agricultural products and economic contribution this topic it is very helpful

society in awdal region and also help every organization formal or in formal which

interesting development of this region and helpful industries which interesting to start

processing of agricultural products,

The value addition of agricultural products it is play important role social development it

reduced unemployment rate increased income of the people and also increased demand of

the market otherwise value addition of agricultural products is crucial for economically,

It is also useful for the researcher to complete this task to get their degree of Bachelor

science from Amoud University and to gain the experience how to make a research for any

interest issue.

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Chapter two Literature review

Introduction A broad definition of value added is to economically add value to a product by changing its

current place, time, and form characteristics to characteristics more preferred in the marketplace.

As a specific example, a more narrow definition would be to economically add value to an

agricultural product (such as wheat) by processing it into a

product (such as flour) desired by customers (such as bread bakers). Producers involved in

adding value should think of themselves as members of a food company that processes

and markets products to consumers. Often, this may involve building processing plants in the

producers’ geographical regions to process locally produced crops or animals. However, another

model has occurred, which involves building the processing plant wherever it is most feasible

and profitable, such as closer to where the final products will be marketed. An example of adding

value to wheat through a distant processing plant is illustrated by the following case study. and

Johnson). By encouraging innovative ideas, adding value becomes a reality. Innovation also can

come from research about alternative crops that can be grown successfully by producers to

replace traditional crops. Value-added is if producers are able to economically profit by growing

these alternative crops instead of traditional crops. Some alternative crops that show promise

include industrial hemp for its fiber, kenaf for fiber, and castor bean for its oil. The following

case study describes an innovative nonfood use for a commodity common in Texas, but one that

could be considered an alternative crop.

Economic important Value-added agriculture generates several billion dollars in economic

impact for the state of Texas each year. In fact, the economic impact of adding value beyond the

farm gate is usually several times the value of agricultural production at the farm gate alone.

Agricultural producers receive a much smaller portion of the consumer’s dollar than do food

processors, especially those who produce brand name items (e.g.,Sunkist, Del Monte).

Capturing those additional dollars or adding value to farm or ranch products is a goal of many

producers. Even for “commodity” products, such as beef, the farm-to-retail price spread indicates

that those further up the supply chain earn much more than producers at the ranch or farm level.

This leaflet defines value-added activities, outlines the economic forces that make adding value

important, and provides guidelines for starting your own value added business.

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Role of economic contribution Using County Agricultural Commissioners’ data, we

estimate that the Southern California counties produced $8.2 billion (18%) of the state’s $46.2

billion of agricultural value in 2010.4 Adjusted for inflation, in 2005 dollars the value of

Southern California agriculture is $7.4 billion. Over the last three decades, the real value of

agricultural production in Southern California has shown no apparent overall trend (Figure

3.4.1). Total production has ranged from $7.8 billion in 1990 to $6.6 billion in 1992, though

since the mid-1990s, production has generally stayed above $7 billion. The 11 percent drop in

Southern California farming from 1991 to 1992 was not apparent in the rest of the state and may

have been the result of several years of ongoing drought. Mainly fruit, nut, and poultry product

sales were affected. However, in each of the southern counties, real agricultural production value

has shown very different trends, as shown in Figures 3.4.1A and 3.4.1B. In Riverside, San

Bernardino, Los Angeles and Orange counties, production value has been falling for three

decades, whereas Ventura and Santa Barbara production continually increased. San Diego

County experienced an agricultural boom in 1989 and 1990, and has grown slowly ever since.

Production value in Imperial County has been on an upward trend for the past decade after

declining for the previous 20 years. Southern California agriculture is responsible for about 18

percent of the state’s farm production value One-quarter of California’s vegetables come from

the southern part of the state. The region also produced $1.9 billion, or 56 percent of the state

value, in nursery, flowers and foliage. Most of this production occurred in San Diego County,

which alone produced 33 percent of the state nursery output. Within Southern California

agriculture, several important commodity groups comprise the majority of agricultural

production value in the region. About 29 percent of Southern California agricultural output was

fruit and nut crops, and approximately 28 percent was vegetables Another 23 percent of

production value was from the greenhouse and nursery industry. Livestock and livestock

products contribute 13 percent of Southern California production value, which is nearly double

the value share for field and seed crops.( Source: USDA, NASS, California Field Office (2011).

California County Agricultural Commissioners’ Data, various. Accessed May 2012)

Economic Contributions by Commodity Groups In addition to the industry groups

noted above, economic contributions were also evaluated for groups of food, fiber, and mineral

commodities having identifiable market chain linkages between producers, manufacturers, and

service sectors. In this section, some sectors are regrouped to reflect these linkages,

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Environmental Horticulture, which includes the sectors Nursery and Greenhouse Product

((Boskin et al., 1996 and 1998)

VALUE ADDED IS IMPORTANTThe trend toward fewer, larger, and increasingly corporate farms has created a concern that many

midsize family-owned farms will disappear. Already less than 2 percent of all farms account for

nearly 40 percent of the value of U.S. output (Riemund and Harrington). Many rural areas that

are faced with a declining number of farm jobs consider the food processing sector as a source of

potential income and employment growth (Brown and Petrulis). By adding value to farm

products, this food processing sector is seen by some analysts as a key element for rural growth,

as well as a way to enhance farm income and provide rural jobs (Barkama and Drabenstott).

Leaders in local communities also are looking for solutions to their local economic problems. If

rural areas cannot find ways to attract or create jobs requiring the skills of highly educated

people, they may lose the group most likely to be the catalyst for improving local conditions

(Ghelfi).

However, any gains by rural areas probably will have to come about through intense

competition with older, more-established industries in many metropolitan areas(Brown and

Petrulis).

The following sections describe why adding value is important. They compare farm value to

value derived from processing and marketing and the return on equity of both. They also

describe the present, transitional, and turbulent period of agriculture, and they present the

problem of a declining rural economy.

In recent years, there has been an increasing interest in “value-added”

agriculture and

its products, driven by changes in consumer’s tastes and preferences and

the desire of farmers and firms to capture a larger share of the consumer

expenditure. “A broad definition of value addition is to Economically add

value to a product by changing its current place, time and from one set of

Characteristics to other characteristics that are more preferred in the

marketplace” Value-added Agricultural products such as organic and locally

produced products have received considerable Attention at both the national

and global levels(Reardon and Swinnen, 2004).

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Value addition of agriculture reduced unemployment The value addition of

agricultural production in Washington is approximately $9.5billion. Over 80,000 people are

employed in production. The share of the total value by commodity group is shown in the chart

to the right. The total economic impact of production is just over $16.5 billion. Food processing

and manufacturing industries (excluding seafood) produce output valued at $9 billion,

contribute $1.5 billion in value added (value of outputs minus the cost of intermediate inputs),

employ 18,000 people, and have a total economic impact of $17 billion. Agriculture and forestry

support industries alone employ 31,000 people that earn $792 million in wages. Proprietors of

these businesses earn $121 million in

income. See the back page for more detailed information organized by industry and location.

employment contribution There are over 80,000 people employed directly in crop and

livestock production. Among the general sectors in these industries fruit production is the largest

employer (approximately 29,000). Income to employees and ownership for crop Direct

employment through the creation of 1.35 million full-time and part-time jobs, representing 13.8

percent of all jobs in the state, and total employment impacts (including multiplier effects) of

2.01 million full-time and part-time jobs Direct value added of $60.66 billion, representing 8.5

percent of Florida’s Gross State Product, and total value-added impacts (including multiplier

effects) of $108.74 billion, representing 10.3 percent of Gross State Product Total labor income

impacts of $67.31 billion for employee wages and benefits and business proprietor income, and

total property income impacts of $29.56 billion for rents, interest, royalties, and

dividends(Roheim et al, (2007)

Economic contribution of agricultural products eradicate poverty, increase income of

household increase demand of marketing chain and reduce unemployment rate By this

mechanism, of agricultural leads to an increase in the total amount of final goods and services,

which is to say it increases the national income. Again, part of the analyst's task in the economic

analysis is to estimate the amount of this increase in national income available to the society; that

is, to determine whether, and by how much, the benefits exceed the costs in terms of national

income. Like most other countries in the sub-Saharan Africa, Kenyan economy is predominantly

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agricultural. The sector accounts for 24.2% of the GDP, over 60% of exports, 75% of the total

labour force and over 80% of industrial raw materials (Owuor 2009).

Poverty Alleviation Agri-food systems are undergoing rapid transformations and the

emergence of integrated food supply chains is one of the most visible market phenomena in

India. Increasing concentration on processing, trading, marketing and retailing is being observed

in all the segments of supply chains. The traditional way of food production is being replaced by

practices more akin to manufacturing processes, with greater co-ordination across farmers,

processors, retailers and other stakeholders in the value chain. Further, with increase in income,

the pattern of food consumption is changing. Demand for high-value commodities like fruits,

vegetables, livestock products, fisheries and edible oils is growing and farmers are trying to

diversify their production systems accordingly. On the other hand, consumers are becoming

more demanding in terms of quality and safety of food commodities. In addition, demographic

and income trends are inducing more enlightened consumers to demand convenience foods such

as frozen, pre-cut, pre-cooked and ready-to-eat items, together with assurances of product quality

and safety. Consequently, production, processing and distribution systems are adapting to such

changes. Organization of agriculture along the value-chain framework has been conceived as one

of the strategies to bring more efficiency in the agricultural sector. The value-chain network may

be defined as a range of activities that are required to bring a product from its conception,

through its designing, sourcing of raw materials and intermediate inputs, marketing and

distribution, to the final consumer. There has been an increasing emphasis on the development of

efficient agricultural value chains in India and several innovative and successful value chains

have emerged. These emerging trends though indicative of catering to the expanding consumer

base with growing wealth, have generated concerns on the supply as well as demand side. In the

case of modern integrated value chains, producers gain from increased knowledge, better quality

and food safety, reduced costs and losses, higher sales and greater value-addition in production.

Value addition: the increase in worth of a product or service because of a particular activity.

Factors which constitute the additional values are features, quality, customers perception (or

image) and exclusiveness. Value addition is done by manufactures to increase satisfaction from

consuming a product. This can be in form of time, form and place satisfaction Value adding

According to Robbins (2005), prices of primary agricultural produce have

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fallen steeply, but retail prices for the same packaged, cut and processed

products in industrial countries, have increased. This means that value

adding activities can earn farmers additional income. Value adding can be in

the form of grading, sorting, cutting, packaging in standard weights and

processing of produce (Mather, 2005).Lack of value adding and agro-

processing is part of missing markets amongst smallholder farmers in

marketing. Agricultural produce from smallholder farmers usually are poorly

packaged. With few exceptions, most smallholder farmers cannot add value

to their produce because they do not know its importance and lack

processing technology (Louw, Madevu, Jordaan and Vermeulen, 2007).

Inability to add value to agricultural produce by smallholder farmers

excludes them from interesting market

(Dries et al., 2004; Minten et al., 2007;

Approaches to Adding ValueAdding value to products can be accomplished in a number of

different ways, but generally falls into one of two main types: innovation or coordination. In

general, the problem is to evaluate what, where, how and who can efficiently perform the

marketing functions(Tilley).

InnovationInnovation focuses on improving existing processes, procedures, products, and services or

creating new ones.

Often, successful value-added ideas focus on very narrow, highly technical, geographically large

markets where

competition is sparse. Innovative value-added activities developed on farms or at agricultural

experiment stations are

sources of national growth through changes either in the kind of product or in the technology of

production (Kraybill

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CoordinationCoordination focuses on arrangements among those that produce and

market farm products. Horizontal coordination involves pooling or

consolidation among individuals

Following are some important steps listed by one expert to establish a value-added business:

Start by choosing something you love to do.

Establish good relations with customers to identify products that will appeal to them.

Maintain consistent supply of high quality products.

Make sure that products will be in high demand over the long term.

Partner with people possessing good technical expertise.

Carefully hire consultants with expertise.

Hire an experienced project manager.

Have a complete plan prior to start.

Make long-range plans.

Plan on more time, effort, and expense than expected.(Source: O’Neill)

Steps to Success in Value Added establishment Building a new business is difficult and takes hard work (nothing new for farmers and ranchers).

But, for all the uncertainty, there are ways to craft a successful value-added business strategy.

The key factors in a detailed business plan are:

Operations plan — flow of the business, quality and cost control

Personnel plan — needs, skills and training

Sales plan — including challenging but realistic goals

Management plan — evaluate strengths, weaknesses and resources

Investment and financial plan — cash flow planning

Four methods are identified for producers to add value to their production:

(1) Selling into available distribution channels

, (2) investing in a portfolio of food companies,

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(3) Using production or marketing contracts, and

(4) Forming producer-owned businesses.

Available distribution channels include direct marketing to consumers; conventional marketing

(e.g., identity preserved grains), and niche marketing, which selectively targets a specific market.

Portfolio investments in food companies that utilize producers’ commodities could

allow these producers to realize value-adding profits. Production or marketing contracts

coordinate producers and processors to obtain desired inputs with special characteristics.

( Brown, M. and M. Petrulis. 1993)

Value-adding producers should focus on products that fill these consumer desires or market

niches. By utilizing value-added precepts for business development, producers can identify the

desires of consumers and target markets, rather than taking the commodity to the market and

hoping that consumers will like it and use it. Target markets are tightening as retailers and

consumers pay more for a narrower range of eating experience. Hitting these target markets

means that value-adding businesses must know their consumers’ desires.

The strategies that has greater opportunity of value addition of agricultural products

1. Increase consumer demands regarding healthy ,nutrition and convenience

2. Efforts by food processors to improve their productivity

3. Technological advances that enable producers to produce what consumers and processors

desire (royer)

21ST CENTURY GRAIN

PROCESSING COOPERATIVERincon, New Mexico

A flour mill located in New Mexico, but owned cooperatively by Kansas wheat producers,

opened in1998. This flour mill adds value to producers’ raw commodities by further processing

wheat into flour fortortillas, a product with an increasing demand. Each share of stock purchased

by members for $5,000 provides ownership in the flour mill and obliges them to supply 2,850

bushels of wheat each year. A total of 550 wheat producers supplied $2.7 million of equity stock

to become members of this venture.

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PHENIX MANUFACTURINGSt. Peter, Minnesota An organic building material that looks like granite,

but

works like wood Environ is made from soybean meal and postconsumer

newspaper. It can be used to make counters, flooring, and furniture. Phenix

Manufacturing is a 1,000 member farmer-owned cooperative that invested

$10 million in initial equity and committed 35,000 acres of soybeans.

Another organic material, Clean Green, has been developed from corn and

wheat starches to replace petroleum-based plastics. This material

biodegrades in a matter of months and is a renewable resource.

.

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Chapter three

Methodology

Introduction In this chapter the researcher presented the methodology employed for data collection and analysis of the research. The chapter examined further topics including; research design, research population, sample and sampling procedures, research instruments, validity and reliability, data analysis, ethical consideration and lastly limitation of the research. We preferred to carry out the survey at borama district

Research design The research design which was conducted during the investigation of this study was two mixed methods of qualitative method and quantitative method. It was done under field survey at Amoud farms to see and observe the conditions of agricultural production. After long discussion mostly we decided to use qualitative method because of in our topic relevant the descriptive data.

Research population The research populations was the population in awdal region special borama district special people which studded or practice agriculture, agricultural expert and also include people which have knowledge of economics in borama ,because I have not time and cost to travel completely awdal The researcher focused to inquire or ask questions the people who have knowledge in agricultural or practice rather than agricultural expert.

Sample size The researcher sampled 50 respondents in total for the study and the sample having been arrived at by use of table for determining sample size for research activities Krecie and morgan (1970) as shown in table below. These 50 respondents are the sample of the targeted populations which were approximately 500 so they are representative and after analysis the sample will be generalized.

Table 1: Showing the target and sample size respondents to be used in the study

Population category Population Sample size

Men 300 38

Women 200 12

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Total 500 50Source Krecie and morgan (1970)

Sampling Procedure The study have been used simple random sampling procedure because this kind of sample ensures that each and every member of the population under consideration has an equal chance of being selected as part of the sample to respond the value additions of agricultural product and their economic contribution More over the researcher has chosen purposive sampling to select women who are farm owner from the rest of the other women who have not but use farming technique although of the nature of data and information needed and the researcher wants to get the key informants of this study.

Research Instruments The study used a standardized self-administered questionnaire as a tool of collecting data and also use interviews because the sample consisting literate and illiterate people .Questionnaire is carefully designed instrument written, typed or printed for collecting data direct from the people. The selection of this instrument has been guided the nature of the data to be collected, the time available as well as the objectives of the study. Close-ended questionnaire, open ended and interviews were employed to collect the required data of this study to examine the value additions of agricultural products and their economic contribution

Questionnaire The respondents where consisting both literate and illiterate people, so that the researchers prepared questionnaires intended to collect information those who could read and wrote, because questionnaires help getting a lot of information with in short period of time.

Interviews Since some of the respondents were illiterate and couldn’t understand what about the questionnaires, the researchers took them with interviews, so as to give them the chance to present information.

Sources of data

a) Primary source Primary data was collected by using questionnaires, observations and interviews. The questionnaire consisted the questions intended to answer the questions related to the objectives of the study and questions about general knowledge.

b) Secondary source Secondary data was obtained from different sources done by other scholars who were not direct observant or participant in events described. These sources include articles published books from the internet, although the scholars who wrote this topic is lower but we get previous document from the Google

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Data Gathering ProcedureThe sample size of this survey was 50 samples; we filled the form of the questioner from 50

students, agricultural expert and economic experts because our topic related which comprised

both men and women. We selected 38 men by using simple random sampling. Also we selected

12 women by using purposive sampling as their numbers were very few comparing to the

number of peoples which knows or understanding this topic.

Data Analysis Data being collected was organized and analyzed by using Statistical Package for Social Science

(SPSS) software after sorting and coding the questionnaire. Quantitative data is presented in

form of statistical graphs, bi charts, bar charts and correlation as appropriate.

Research Limitations During the collection of the information of this research we met several complications which

banned to get further more information like shortage of time which was faced while we were

conducting and it was only three months to complete research a part from that we didn’t get so

many secondary data which exactly would describe and support our study because we would not

get any other researchers which presented this study before. The only source that we mostly

depended on was having and taking an interview from the target populations, making sometimes

observations on the fields in the area study and the use of internet which are secondary sources

except the observation.

Finally the most the biggest limitations we met during this study there was no one who had or

written any theses or record book keeping about our topic before and it became more difficult to

complete

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CHAPTER FOUR DATA PRESENTATION, ANALYSIS AND INTERPRETATION

Introduction This chapter presents data analysis, presentation and interpretation. The data

analysis and interpretation was based on the research questions as well as

research objectives, the presentation was divided into two parts, and the first

part presents the respondent’s profile or demographic information, while the

second part deals with the presentation, interpretation, and analysis of the

other research objectives. Below are the data presentations and analysis of

research findings.

Part one

Socio-demographic profile

The respondents or of the study had different demographic profile for example different

sex, age, marital status, living place, occupation and educational background. The

presentation of respondent’s profile is shown below

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Table no: 1 what is your gender

Frequency Percentage%

Male 38 76.0

Female 12 24.0

Total 50 100.0

List of graphs

Graph no: 1

Fig1 indicates that 38 (76%) of the respondents were males and the remaining 12 (24%) were females. This verifies that the majority of the respondents were males as they dominate the respondents

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Table NO:2 What is your age

Age Frequency Percentage%

20-25 12 24.0

25-30 20 40.0

30-35 10 20.0

35-40 2 4.0

40-45 4 8.0

45-70 2 4.0

Total 50 100.0

GRAPH NO:2

Fig 2 indicated the total respondents were 50 were between age is 20-25 (24%),where between are 25-30 40% were the age between 30-35(20%)were age between are 35-40(4%) where between age 35-40 (8)and( 4%)were age between 45-70 finally the majority of respondent between age 25-30 ( 40%

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Table 3 marital status

Maritalstatus

Frequency Percentage%

Single 30 60.0

Married 10 20.0

Divorce 2 4.0

Widowed 8 16.0

Total 50 100.0

GRAPH NO:3 SHOWS MARITAL STATUS OF RESPONDENTS

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Fig 3 indicated the respondent were 30 (60%)single were 10(20) are married ,were 2(4%) are divorced and were 8(16%) are widowed this fig shows the majority of He respondent were single and dominated others

Table 4 how long have you been living here

Frequency Percentage%

2-15years 30 60.0

15-40years 20 40.0

Total 50 100.0

GRAPH NO: 4 shows how long have you been living here

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This fig shows how long have been living here were respondent 30(60) living 2-15 years and where 20(40%) are between 15-40 years the majority of the respondent where between 2-15

Table 5 living place

living placeFrequency Percent

Urban 35 70.0

Rural 15 30.0

Total 50 100.0

GRAPH NO: 5 shows living place

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The fig 5 indicated living place of the respondent where 35(70)living urban and remaining 15(30%) living in rural area the majority of respondents living urban area

Table 6 educational level

educational levelFrequency Percentage%

University 25 50.0

Secondary 10 20.0

Intermediate 5 10.0

Primary 10 20.0

Total 50 100.0

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GRAPH NO: 6 shows Educational levels

The fig also indicates that 25(50%) of the respondents were reached at University level, 10(20%) of the respondents were reached at Secondary level, 1o(20%) of the respondents were reached at Primary/ and were 5(10%)Intermediate level the majority of the respondent where university leve

Table 7 occupation

Occupation Frequency Percentage%

Valid Business person 5 10.0

professional person 11 22.0

Farmer 14 28.0

Student 20 40.0

Total 50 100.0

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Graph no: 7 shows occupation

Fig indicates that 5 (10%) of the respondents were Business people, 11 (22%) of the

respondents were professional, were 14 (28%) farmer and remaining were students 20(40).

Majority of the respondents were student as they were living in urban area of borama district ,

while others business persons , farmers and professional personPart two interpretation and analysis questions relevant specific objectives

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Table 8 shows what is the important value addition of agricultural product in economic contribution

What is the important value addition of agricultural product in economic contribution Frequency Percentage%

Reduced unemployment rate 9 18.0

Increase demand of the market

9 18.0

Increase income of farmer 32 64.0

Total 50 100.0

Graph no: 8 shows what is the important value addition of agricultural products in economics

This fig indicated the important value addition of agricultural product in economic contribution where the respondents 9(18%) answering reduced unemployment were 9(18%) increase demand of the market and were 32(64%) answering increase income of the farmers, the majority of the respondents were answering increase income of the farmers

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Table 9 How we starting agricultural product that added value in economic

How we starting agricultural product that added value in economic Frequency Percentage%

Determing what consumers want

11 22.0

Creating high value agricultural product

13 26.0

Encouraging trainning farmers

20 40.0

Enhancing soil fertility 6 12.0

Total 50 100.0

graph no:9 How we starting agricultural product that added value in economic

This fig indicates the question How we starting agricultural product that added value in economic were respondents 11(22%)answering Determine what consumers want, were 13(26%)answering Creating high value agricultural product ,were 20(40%) answering

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Encouraging training farmers and were remaining answering enhancing soil fertility, the majority of respondents were answering encouraging or training farmers

Table 10 shows what is the factors effecting local value addition of agricultural products

Frequency Percentage%

Climatic factors 19 38.0

Poor demand of the market

10 20.0

Foreign aid 14 28.0

Infrastructure problem 7 14.0

Total 50 100.0

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Graph no 10 shows what is the factors effecting local value addition of agricultural products

This fig indicated this question What is the factors effecting local value addition of agricultural products were19(38%)of respondents answering climatic factors, were 10(20%) answering poor demand of market,14(28) answering foreign aid and were remaining answering infrastructure problem the majority of the respondent answering climatic factors

Table 11 shows How to improve standard live of the farmers

Frequency Percentage%

Increase soil fertility 17 34.0

Training farmers 26 52.0

Government police 7 14.0

Total 50 100.0

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Graph no: 11 shows how to improve standard live of the farmers

This fig indicated how to improve standard live of farmers were 17(34%) answering increase soil fertility were 26(52)answering training farmers and were remaining answering government policy 7(14%) the majority of respondents were answered training farmers

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Table 12 shows Improving of agricultural products increase income of the farmers

Frequency Percentage%

Yes 35 70.0

No 15 30.0

Total 50 100.0

Graph no: 12 shows improving of agricultural products increase income of the farmers

The respondent participating these question Improving of agricultural products increase

income of the farmers contains 50 respondents were 35(70%) responded yes and were

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15(30%)respondents answering NO, the question is yes because the majority of

respondents answering YES

Table 13 shows how to creating value addition of agricultural products

how to creating value addition of agricultural products Frequency Percentage%

Producer are member food company 12 24.0

Innovation new product 23 46.0

Enhancing product characteristics 15 30.0

Total 50 100.0

Graph no 13 shows how to creating value addition of agricultural products

This fig indicated the respondent were asked this question how to creating value addition of agricultural products were 12(24%) respondent answered producers are member of food company were 23(46%)answering innovation new products and were 15(30%) answering enhancing product characteristics .the majority of respondent were answering innovation new products

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Table 14 How the value additions of the agricultural products increase demand of the market

Frequency Percentage%

Customer base expanding 14 28.0

Producers received greater portion of revenue

24 48.0

Producers receive strategic advantage in market place

12 24.0

Total 50 100.0

Graph no14: how the value additions of the agricultural products increase demand of the market

The question ask the respondents is how the value additions of the agricultural products increase demand of the market where respondents maintains 50 respondents were 14(28%) Customer

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base expanding, where 24(48%) Producers received greater portion of revenue and remaining where answering Producers receive strategic advantage in market place the majority of the respondents where answering Producers received greater portion of revenue

Table 15 what are the additional opportunity for increasing value of agricultural product

Frequency Percentage%

Applying biotechnology 18 36.0

Food engineering 22 44.0

Restructure food distribution system

10 20.0

Total 50 100.0

Graph no: 15 shows what are the additional opportunity for increasing value of agricultural products

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This graph indicated what are the additional opportunity for increasing value of agricultural products where respondents 18(36%) applying biotechnology, where 22(44%) food engineering where 10(20%) answering restructure food distribution system Finally the majority of respondents where answering both applying biotechnology and food engineering

Table 16 shows Value additions of agricultural products increase income of farmers

Frequency Percentage%

Yes 44 88.0

No 6 12.0

Total 50 100.0

Graph no: 16 shows Value additions of agricultural products increase income of farmers

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This graph shows question asked the respondents Value additions of agricultural products increase income of farmers were respondents 44(88%) answered YES and remaining small numbers 6(12%)NO, the majority of respondents YES the question is y

Table 17 shows Is the increase income capital of farmers increase economic level

Frequency Percentage%

Yes 47 94.0

N0 3 6.0

Total 50 100.0

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Graph no 17 shows Is the increase income capital of farmers increase economic level

This graph interpreted the question is the increase income capital of farmers increase economic

level were respondents 47(94%) answering yes and were small numbers of remaining answering

NO the majority of respondents answering yes the question is yes is the increase income of

farmers increase economic level

Chapter five conclusions and recommendation

Conclusion Conclusions based my three objectives

1. Value added refers to the additional value created at a particular stage of production or through image and marketing. Value added agriculture is a process of increasing the economic value and consumer appeal of an agricultural commodity. It is an alternative production and marketing strategy that requires a better understanding of the rapidly changing food industry and food safety issues, consumer preference and effective management. It may not be inferred that value addition, means only processing a raw

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material into some form of canned food. There are various ways of adding value to a commodity. Further , in a country like India, the scope of Value addition is mind-boggling for the reason of availability of raw material as well as the large market size. In the paper presented here, an attempt is being made to study the sector of Value addition in agricultural products adding value is the process of changing or transforming a product from its original state to a more valuable state that is preferred in the marketplace. Market forces have led to greater opportunities for adding value to raw commodities because of increased consumer demands regarding health, nutrition, and convenience as well as technological advances that enable producers and processors to produce what consumers desire. Producers involved with adding value are striving for a larger share of the food dollar by producing what consumers demand, instead of producing only raw commodities. Adding value to products can be accomplished through innovation and/or coordination. Innovation focuses on improving existing processes, procedures, products, and services or creating new ones. Industrial innovation is processing traditional food products into nonfood uses. Coordination involves arrangements along the food chain.

2. Adding value is the process of changing or transforming a product from its original state to a more valuable state that is preferred in the marketplace. Market forces have led to greater opportunities for adding value to raw commodities because of increased consumer demands regarding health, nutrition, and convenience as well as technological advances that enable producers and processors to produce what consumer’s desire. Producers involved with adding value are striving for a larger share of the food dollar by producing what consumers demand, instead of producing only raw commodities. Adding value to products can be accomplished through innovation and/or coordination. Innovation focuses on improving existing processes, procedures, products, and services or creating new ones. Industrial innovation is processing traditional food products into nonfood uses. Coordination involves arrangements along the food chain. Horizontal coordination entails pooling or consolidation from the same level of the food chain. Vertical coordination involves contracts and agreements along different food-chain levels. A coordinated effort increases market power, which likely will continue to increase in the future. Vertical integration aligns and controls price, quantity, quality, and transactions. Cooperatives are positioned to further integrate into food processing with thorough planning and implementation through the process of value-adding business ventures. Adding value to farm products becomes vital for rural growth by enhancing farm income and providing employment in processing businesses. However, before producers examine value-added processing and marketing, cost minimization in production has to be achieved. Adding value cannot replace the efficiencies of production attainable through technology and economies of scale

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3. There are various ways of adding value to a commodity

increasing the monetary value of raw materials accessing niche markets prolonging product shelf life creating a profitable use for seconds or culls extending the season making handling easier for mid and end users providing more convenience for mid and end users

Steps to Success in Value Added establishment Building a new business is difficult and takes hard work (nothing new for farmers and ranchers).But, for all the uncertainty, there are ways to craft a successful value-added business strategy. The key factors in a detailed business plan are:_ Operations plan — flow of the business, quality and cost control_ Personnel plan — needs, skills and training_ Sales plan — including challenging but realistic goals_ Management plan — evaluate strengths, weaknesses and resources_ Investment and financial plan — cash flow planningValue Added is the sum of total income and indirect business taxes. Value added is the most

commonly used measure of the contribution of a region to the national economy, as it avoids

double counting of intermediate sales and captures only the "value added" by the region to final

Products

Recommendation of value addition of agricultural products and their economic contribution

Recommendation by farmers

1. Test soil nutrient levels to get a good idea of what nutrients, if any, your soil is missing. Although you can order kits to do this yourself, you will obtain more accurate results from a commercial lab.

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2. Purchase liquid fertilizer and composting material based on what nutrients were missing from your soil. If you plan to make your own sprays and composting material, base the ingredients you use on the information you obtain from the soil nutrient test.

3. Spray the leaves of the plants with a liquid fertilizer to deliver nutrients more directly to the plant. Common organic sprays are liquid kelp or fish emulsion, and there will be many inorganic commercial sprays available at any gardening store.

4. Mix compost into the soil before the growing season begins. Compost is an ideal way to reintroduce valuable nutrients into the soil, and is made by allowing organic matter to mix and rot in some sort of container. Something as simple as a bucket will do.

5. Add a layer of mulch to the soil after planting to help retain water and forestall the growth of weeds. Popular mulch ingredients are grass cuttings, fallen leaves and compost. There are also commercial plastic mulches available if you do not have access to enough natural mulch.

6. Use row covers to get an early start on the planting season and possibly squeeze in an extra crop rotation. You can use greenhouses, simple A-frame structures with plastic stretched over them or even just a good layer of mulch to help protect crops from damage done by low temperatures.

Producers Specific actions may include:a) Establishing producer owned enterprises or establishing linkages with centralized

food processing units.b) Establishing an association of food processors food ingredients, packaging and

equipment suppliers as well as business service providers for information sharing and access to services.

c) Production planningd) Negotiating contracts

Government recommendation 1. Help farmers seeds, fertilizers ,pesticides and give farmers subsidiary2. Investing farmers to produce more value products 3. Providing good extension which contributed farmers knowledge and skills to increase

production of farmers

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4. Making policy to increasing local productivity of awdal region 5. improving of agricultural products to increased income of the farmers

6. control foreign aid when the farmers produced good agricultural products

7. training farmers by providing technologies to improved production level of farmers

8. develop agricultural commodity

Recommendation of processors Minimize post-harvest losses Extend the shelf-life of food-produce, thus increasing food security Stabilize prices of raw materials during peak season Good returns to farmers Provide employment-opportunities Promote economic growth of the community Provides food of uniform quality, on a large scale To meet the food requirements, particularly in inaccessible areas to create new products of increased appeal and added value To provide nutritive value To promote the establishment and expansion of appropriate industries

Recommendation agricultural extensions 1. Establishing a centre of excellence in food process and product development to

provide training and technical support in improved processing methods, new product development, food safety/quality and marketing skills.

2. Carrying out market studies in internal markets to identify niche markets, market requirements and consumer expectations.

3. Establishing producer owned food processing enterprises.4. Strengthening producer/processor relationships.5. Establishing the association of food processors, suppliers of ingredients, and

packaging, equipment manufacturers and business service providers..

6. It adds value and increases farmers’ returns on their produce

7. It expands market opportunities

8. It improves shelf life to overcome seasonality and perish ability

9. Food processing enterprises established in rural have potential to generate off farm employment

Reference1. Adding Value to Farm Products: An Overview www.attra.org/attra-pub/valueovr.html

2. Adding Value to Farm Products: An Overview www.attra.org/attra-pub/valueovr.html3. Abramovitz, M. 1986. Catching up, forging ahead, and falling behind.

Journal of Economic History

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4. Ahmed, R. 1987. A structural perspective of farm and nonfarm

households in Bangladesh. Bangladesh Development Studies 15 (2):

87–111.

5. AAFC (Agriculture and Agri-Food Canada), 2004. Value-added agriculture in Canada. Report of the standing senate committee on agriculture and forestry 2004, Agriculture and Agri-Food, Canada.

6. Appropriate Technology Transfer for Rural Areas www.attra.org7.

8. Brown, M. and M. Petrels. 1993. Value-Added Agriculture as a Growth Strategy, Bulletin

644-10, USDA Economic Research Service, Washington, D.C.

9. Barjolle, D.; Reviron, S.; Sylvander, B. (2007)Création et distribution de

valeur économique dans les filières de fromage AOP published in:

Économies et Sociétés, Série Systèmes agroalimentaires;No. 29; pp.

1507-1524

10. Brewin, D.G., Monchuk, D.C., Partridge, M.D., (2009). Examining the adoption of product and process innovations in the Canadian food processing industry, Canadian Journal of Agricultural Economics 57 (2009) 75-97.

11. Davis, D.E. and H. Stewart. (2002). Changing Consumer Demands Create Opportunities for U.S. Food System. USDA-ERS.

12. Food and Agriculture Organization (FAO). (2004). FAOSTAT Food Supply data. Available at http://faostat.fao.org.

13. Farmer’s Guide to the Internet www.rural.org/favorites.html

14.FAO (2001) World Markets for Organic Fruit and Vegetables - Opportunities for Developing Countries in the Production and Export of Organic Horticultural Products. International Trade Centre Technical Centre for Agricultural and Rural Cooperation, FAO, Rome.

15.Chemonics Int., Diagnostic mission to determine constraints to production and

exportation of high quality fruit from Rwanda. March-April 2002.

16. Glickman, D. 1998. Available online June 20, 1998.

http:www.massgrown.org./grower/fmr01-98.htm#. Sec. Glickman

Announces Publication of National Organic Program Proposed Rule.

17. Hardesty, S. 1993. “Programs for Effective Marketing of Value-

Added Products by Agricultural Cooperatives

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18. Kraybill, D., and T. Johnson. (1989). “Value-Added Activities as a Rural Development

Strategy.” Southern Journal of Agricultural Economics

19. Kasenge V, 2009. The sorghum value chain analysis. The case of SSA-CP. LKPLS Research Report.

20.http://www.ehow.com/how_8318327_increase-crop-production.html

21. King, R. 1992. “Management and Financing of Vertical

Coordination: An Overview.” American Journal of Agricultural

Economics,

Putman, J. 1997. “Food Consumption, Prices, and Expenditures, 1970-95.” USDA Economic Research Service. Available online February 24, 1999. http://www.econ.ag.gov/epubs/htmlsum/sb939.htm

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Appendixes

Appendix 1: QuestionnaireQuestionnaire Dear Respondents, We are students at Amoud University studying a Bachelor/degree of science in Agriculture and Environment; this questionnaire has been prepared for data collection concerning about “value additions of agricultural products and their economic contribution case study awdal region”Please keep in mind that the data you are provided will be used for academic purpose only and shall be kept with utmost confidentially. Therefore, you are kindly requested to answer the following questions fully and honestly according to the best of your knowledge by ticking on the right option. Assistance will be highly appreciated. Thank you very much in advance Yours sincerely, By jama idle adenAnd jama mahamoud jamaCandidates of Degree of science in Agriculture and Environment Amoud University borama Somaliland.

SECTION 1: DEMOGRAPHIC QUESTIONS: 1. . Gender Male Female

2. Age: 20-25 25-30 30-35 35-40 above 40

3. Marital status: Single Married divorced Widowed

4. Living place: urban rural

5. How long have you been living here

6. Educational level: University Secondary intermediate

Primary None7. Occupation: Business person Professional person Farmer

Student Other

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SECTION 2: QUESTIONS FOR RESPONDENTS To identify role of value addition of

agricultural products in economic contribution and reduce unemployment rate

8. what is the important of value addition of agricultural products of economic contribution

a. reduced unemployment rate

b. increased demand of the market

c. increase income of the farmers

9. How we starting agricultural products that added value in economics

a. determining what consumers want in their food products b. creating agricultural productsc. Encouraging or training farmersd. Enhancing soil fertility

10. What is the factors affecting local value additions of agricultural products

a) climatic factors b) poor demand of the marketsc) foreign AID d) infrastructure problems

SECTION 3: QUESTIONS FOR RESPONDENTS OF FARMERS TO develop standard live of farmers by increasing agricultural products

11. How to improve standard live of the farmers

a. Increased soil fertility

b. Training farmers c. Government policy

12. improving of agricultural products increased income of the farmers a. Yes

b. No

13. If answered yes give reason ………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

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SECTION 4: QUESTIONS FOR RESPONDENTS to establish agricultural products that

added value in economics by processing agricultural products to increase demand of the

market

Instruction: Please tick the right options using the boxes plotted on right side

14. How to creating value addition of agriculture

a. Producers are members of a food company b. Innovative new productsc. Enhance a product’s characteristics

15. How the value additions of agricultural products increase demand of the market. a. Customer base is expandedb. Producers receive greater portion of revenuec. . Producers receive strategic advantages in the marketplace

16. What are the additional opportunity for increasing value of agricultural product : a. Applying biotechnology

b. Food engineering (raw product to consumable forms)

c. Restructuring food distribution systems

17. Value additions of agricultural products increased income of the farmers

A. Yes B. No

18. is the increase income capital of the farmers increase economic level a. yes b. no

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APPENDIX II: TIME FRAMENO DATE TASK DURATION

1 1st-15th April Introduction and literature review

30days

2 15th-30th aprill Chapter three methodology

11days

3 1th-51th Questionnaire 16 days

4 15th-30th may Data collection 15 days

5 1st-15th-june 8th-17th July

Data analysis, coding and interpretation And conclusions and recommendation

10days

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APPENDIX III: BUDGET

Budget line Budget description

Unit cost per day ($)

Duration days Total amount ($)

1 Printing, photocopying and binding

10 2 20

2 Communication and Stationary

5 4 20

3 Assistant 6 5 30

4 Internet 1 60 60

Grand total 130

Curriculum vitae 7/14/14

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Borame

0634490345

Email [email protected]

Personal data

Name ---------------------------------------------------- jama idle aden

Date of birth ---------------------------------------------------- 1/8/1988

Place of birth ------------------------------------------------------ --- borame

Nationality ------------------------------------------------------------- Somaliland

Sex: ----------------------------------------------------------------------------male

Marital status -------------------------------------------------------------single

Qualification --------------------------------------------------------------degree of agriculture

EDUCATIONAL BACKGROUND

DATE INSTITUTION CERTIFICATE/DEGREE

2/10/2010-PRESENT AMOUD UNIVERSITY Bachelor agriculture

1/2/2012-PRESENT Amoud university Diploma BPA

2007-2009 ALAQSA GCSE

2003-2006 Aloog Elementary

Reference

Prof:abokor sh. Abdi dean of faculty agriculture and environment

Prof: yurub A.muumin head of office of the registration in Amoud University, borame Somaliland

Mob: 0634422727

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