Bean Marketing in Uganda - Uganda Strategy Support Program Notes

Bean Marketing in Uganda: Constraints and Opportunities
INTRODUCTION
Background
The declining soil fertility in Uganda is the major issue that motivated this study.
Declining crop yields have manifested the declining soil fertility, and larger negative
nutrient balances for major elements (MAAIF, NARO and FAO, 1999; Wortman and
Kaizzi, 1998; APSEC, 1999). A major factor contributing to the declining soil fertility in
Uganda is the low external input use in Uganda. 1 It is estimated that less than 10% of
smallholder farmers use improved maize and bean seeds, while 2% use inorganic
fertilizer. The overall average intensity of inorganic fertilizer use is about 1 kg of
fertilizer per hectare. Farmers. Use of chemical pest control is practiced by only 10%
(MAAIF and MFEPD, 200).
The major underlying causes of low external input use in Uganda are high transaction
costs of input marketing, limited availability of breeder and foundation seeds, low
participation of private traders in the input distribution system, and the high cost of
financial services. The high transaction cost of input trade is due to the low volume of
purchases, high transport costs and high interest rates (IFDC, 1999). The high transport
1 Other factors contributing to land degradation are: shorter fallow periods resulting from population
increase; soil erosion resulting from population increase; soil erosion resulting from loss of soil cover
cultivation on steep slopes and general poor fertility management; and soil compaction (MAAIF, NARO
and FAO, 1999).
1