Abstract:
Agriculture contributes over 25% of Kenya’s gross domestic product (GDP), and
65% of export earnings thus making it the backbone of the country’s economy. The
Irish potato enterprise provides substantial income from sale of potatoes and their
value added products that lead to immediate payment. Irish potato is an important
food commodity throughout Kenya. However, there is scares information on the
factors affecting value addition and their influence on farmers income in Bomet
County. The study identified and characterized Irish potato producers in Bomet
County, determined factors affecting value addition in potatoes, compared
profitability of raw and value-added Irish potato products in County and finally
determined the effects of value-addition on farmers’ welfare. A structured
questionnaire was used to collect cross-sectional data from 200 respondents
selected randomly through multistage sampling procedure. To characterize Irish
potato producers in Bomet County, descriptive statistics were used while factors
affecting value addition of potatoes in Bomet County were analyzed using binary
logistic regression model. Gross Margin Analysis (GMA) was used in determining
profitability of raw and value added Irish potato products. The Statistical Packages
for Social Scientists (SPSS) was used in data analysis and results presented in tables
and graphs. From the study, the results show that many of the respondents were
farmers standing at 70.5 % while majority of potato farmers were in the age middle
age bracket of 36-60 years which stood at 40.5%. Male farmers dominated decision
making at 75% and most farmers had potatoes in 0.1 to 3acres at 88.5% indicating
that potato is one of the main crops in the area. Furthermore, non-value adders had
more land under potatoes than value adders at an average of 0.1 to 3 acres. The
most common form of value addition practiced by the farmers was sorting (66.5%)
while grading, chipping and frying was practiced by 0.5 % of farmers in each case.
Most farmers, who were not employed, carried out value addition at 70.5 %
followed by the employed and students, respectively. Majority of the farmers with
no education carried out value addition at 67.5% as compared to those who had
primary education at 32.5%. Group membership, cost per unit of potatoes and total
land size are key variables influencing value addition. Sorting was found to be the
most profitable form of value addition. It was also found out that value adders
earned more income than non-value adders per unit area. There is need to identify
cost cutting technologies for grading, chipping and frying as this forms of value
addition are not profitable to the farmers
