Economic Empowerment of Small Scale Farmers through Dairy Chilling Hub Services: A Case of Chepalungu Dairy Plant in Bomet County, Kenya

Abstract

Dairy business hub was developed to provide vital services to dairy farmers such as marketing, financial and extension services to small scale dairy farmers. Dairy business hubs are considered an effective approach in facilitating dairy business development in African countries such as Kenya. This study sought to establish the economic empowerment of small-scale farmers through dairy chilling hub service. The specific aim of the study was to assess relationship between marketing, financial and extension services on economic empowerment of Chepalungu small scale dairy farmers in Bomet County, Kenya. A sample of 10% of all the 1000 small scale traders was selected using stratified random sampling technique. Data was collected using a questionnaire which was developed by the researcher and analysed using descriptive statistics, regression and correlation analysis. Pearson correlation analysis revealed that marketing, financial and extension services, have no significant relationship with economic empowerment in terms of constant income, access to dairy hub services and access to financial services. Regression analysis indicated that transport service, storage services and marketing services posservices negatively impacts economic empowerment of the small scale farmers. Using financial services as economic empowerment measure showed that marketing services, financial services and extension services positively affect economic empowerment of the small scale farmers. Thus, to enhance economic empowerment of small scale dairy farmers, there is need to strengthen the dairy hub services. actively affect economic empowerment whereas financial services and extension