Overview

1. The Role of Women Entrepreneurs in Dairy Value Chain Activities Examples from Ethiopian women farmers and Ruth and Hirut Milk Production & Milk Processing PLC Kassahun Belay Ethiopia Dairy Development Project 31 January 2011

2. Overview • Introduction • Ethiopian women in Dairy • Study of Ruth and Hirut Milk Production and Processing PLC • Study Findings • Discussion • Conclusion

3. Introduction • Ruth & Hirut Milk Production and Processing PLC (RHMPP) and Land O’Lakes’ Ethiopia Dairy Development Project began collaboration in 2007 • Land O’Lakes provides technical assistance on improved milk production, milk quality, and cooperative development to farmers in region. • This presentation will outline the role women entrepreneurs play in the dairy sector. Today’s discussion will: • Review the consistent, emerging, and diminishing challenges women are experiencing, • Discuss opportunities for increased or more efficient inclusion of women • Provide recommendations to aid in meeting these opportunities.

4. Introduction – Project Objectives • Ruth and Hirut MPP PLC and EDDP collaborate to: • Transition subsistence level dairy farms into dairy enterprises managed as a business • Increase dairy’s returns to the household and to create a viable income source for households • Provide local communities with different solutions to management, organization and business problems primarily through dairy cooperative development • Identify alternative enterprise initiatives which support overall growth of the local dairy value chain

5. Women in Dairy - Challenges • In Ethiopia, cultural norms prevent women from being primary owner of any valuable asset (land, livestock, buildings). • Globally and in Ethiopia, lack of finance for both start-up and expansion is an significant challenge women entrepreneurs face. • RHMPP experienced challenges in securing line of credit. Local financial institutions require collateral valued 25 – 100% the loan value • Women often rely on their husbands or fathers to sign for a loan and are not in full control of the finances

6. Women in Dairy - Challenges • Social pressure against women entrepreneurs can be great. • RHMPP’s founder experienced negative responses when she attempted to use legally acquired land for her dairy business • Ethiopian women often lack technical skills and access to training needed to move beyond subsistence dairy farming or dairy-product marketing beyond the informal sector • Technology transfer became major challenge • Lack of access to artificial insemination (AI) and veterinary services hinder women’s advancement in the dairy sector

7. Ruth & Hirut Milk Production & Processing PLC • Ruth and Hirut Milk Production and Milk Processing PLC • Woman owned & operated dairy farm & processing plant • 80 kilometers from Addis Ababa in Angolele Natera woreda, North Shewa zone, Amhara region • RHMPP initiated payment for quality milk system • Initial price/L = 2.50 Eth.Birr • Quality price/L = 5.60 Eth.Birr

8. RHMPP Continued • RHMPP has mission to integrate female dairy farmers into the formal dairy sector • 110 women (68 male) dairy farmers within 5 km radius supply RHMPP daily • Prior to RHMPP’s establishment, no female dairy farmers supplied the formal milk sector • November 2010 Land O’Lakes carried out targeted study to identify impact of RHMPP activities at household and community level

9. Study Findings • RHMPP reports • Women are more motivated to increase production and improve quality. • Peer-pressure among beneficiary milk producers increased farmer’s desire to replicate a model farm. • Women continue to face restricted access to service markets • Attempts at forming women-led dairy cooperatives have failed in the project area due to local resistance.

10. Study Findings Continued • Integrating a specific gender approach increased female participation and adoption rates. • When only one person per farm is trained there is a lack of information exchange between the direct trainee, often the husband, and the animal caretaker, often the wife. • Conducting animal husbandry trainings to both heads of household increases adoption rates. • Increases women’s control over dairy farming resources improves overall farm productivity • Home to home visit to women farmers encouraged them to be dairy actors

11. Study Findings-out comes • Addressing market linkages and inefficiencies • For example, RHMPP provided consistent demand for milk produced by local small-holders. • RHMPP guaranteed the purchase of local milk because they were able to process and effectively ‘clean’ the milk and extend its shelf life • Creating awareness and imparting skills on both husband and wife : • to address resource and power disparities within a household. • to transfer technical knowledge equally, • Improved quality of inputs used, resulted in higher yields, a better quality of the product and improved earnings for all dairy value chain actors.

12. Recommendations • Important to analyze traditional gender roles and division of household and farm labour: • “the sky crashes down when half the population is ignored or overburdened’’ • Extension activities must be designed in consideration of women’s labour burden: • Post-training home visits and peer to peer home visits accommodate women’s labour demands • Training both heads of household together increases household adoption rates

13. Recommendations Continued • Increasing production is not enough • Barriers to lack of access to finance must be addressed. Example: work with MFIs to recalculate loans if no collateral available • Negative gender-biased social norms can hinder women’s economic empowerment as much as negative policies. • In this situation price differentiation has played “a vital role in addressing the social, cultural and economic constraints faced by women” • Women entrepreneurs attempt to organize farmers in to dairy cooperatives should be encouraged

14. Thank you Give a man a fish and he’ll eat for a day. Teach a man to fish and he’ll feed himself forever. Teach a woman to fish, and she’ll feed herself, her family, her neighbors and her guests. Give a woman a cow and teach her to care for it, and everyone gets fed, schools and clinics get built, government becomes more accountable, and the cow doesn’t do too badly either! - Land O’Lakes Uganda