Value chain analysis of Lake Malawi fish: a case study of Oreochromis spp (Chambo)

Abstract

Chambo has potential of improving fishers’ socio-economic status in Malawi. The paper examines Chambo value chain whose findings will improve fish marketing by actors along the chain. Quantitative value chain analysis used, investigated income, profit margins distribution among different actors along the chain and determined marketing channels’ efficiency. Daily net incomes of retailer, fisher and wholesaler were MK930.78, MK676.99 and MK485.40 respectively. Marketing margins were MK515.68, MK689.65 and MK1951.70 for fishers, wholesalers and retailers respectively. Income was significantly different among fishers, fish wholesalers and fish retailers. High marketing margins led to marketing inefficiency. Fisher’s income and profitability could improve if crewmen were downsized to reduce the wage bill. Fuel availability in fuel pumps could lower fisher’s costs. Construction of cold chain facilities half way close to where Chambo is caught to reduce wholesalers’ distance to markets would lead to the sharing of transport costs between fish retailers and fish wholesalers.