Contribution of Warehouse Receipt System in Household Income of Agricultural Marketing Co-operative Society Members in Rombo District

Abstract

This study aimed at assessing the contribution of Warehouse Receipt System in improving household income of Agricultural Marketing Co-operative Society members in Rombo district. Specifically, the study aimed at identifying procedures and standards required for setting up of WRS and to determine the motives for AMCOs members to market coffee through AMCOs instead of private buyers. Moreover, it aimed to find out the income of households as a result of Warehouse Receipt System and to examine the constraints facing key actors of Warehouse Receipt System and how can WRS be used to enhance household income. Interviews, questionnaire and documentary review were the techniques used for data collection. The findings shows that in establishment of WRS several procedures are followed including acquiring registration from board of license, securing Tax Payer Identification Number (TIN), lastly registration by Tanzania Warehouse License Board. AMCOs members are motivated by various factors to market their coffee through WRS, these include; need for stable market, payment modality and reliable agricultural input supply. Different constraints facing key actors of WRS have been found including; insufficient extension services, price fluctuation, impact of climate change. The study recommends that for improving WRS, deliberate intervention from government is necessary to enhance AMCOs members adopts modern agricultural technology for improved coffee production which meets the current market demand.