Analysis of Value Chain for Pigeonpea in Tanzania

The positivity and negativity of globalization have been experienced at a number of different levels. However, little is known on the challenges the farmers are getting, with the use of transaction cost theory. This study therefore, analyzed the value chain of pigeonpea in Babati District so as to improve market access, production and reduce poverty. Snowballing and mapping approaches were employed in which interview schedule and self-administered questionnaires used in data collection of actors from the source to the downstream. Descriptive statistics, narrative and content data analysis approaches were used. Reesults showed that, common marketing system used was not direct marketing system between farmers and buyers. Therefore, it was concluded that common market system for pigeonpea involved many links from individual farmers through rural assemblers, Urban wholesalers to Urban exporters with no value addition within the channels. It was recommended that, the governement should empower pigeonpea producers through credit accessibility so as to add value and enhance their bargaining power in the market.