Impact of Farm-Gate Price on Food Security in Ludewa District of Iringa Region, Tanzania

Tanzania is not drought prone, but food insecurity in the country is both transitory and chronic in nature. Agriculture which is the backbone of the country’s economy is the main sector that can solve the problem of food insecurity especially through the production of maize (Zea mays). In Tanzania, maize is a staple food crop, its shortage is equated to food shortage. Ludewa district which is the study area is part of the Southern Highlands of Tanzania which is a famous zone for maize production. Enhancing maize production in this zone has great potential to minimise the problem of food insecurity in Ludewa district and other areas with food deficit like coastal and Dar es Salaam regions. Apart from technical issues, this requires well functioning markets which lower transaction costs hence relatively high producer price that stimulates maize production and low consumer price that will facilitate the accessibility of food by consumers. Many studies have been undertaken to analyse the factors for food insecurity but with limited attention to producer’s price (farm-gate price) as one of the factors. In this study, the logistic regression model was estimated to quantify the influence of farm-gate price on farm households’ food security. The result indicated that the lower the producer price the higher the likelihood of food insecurity. Other factors that exhibited significant influence on farm households’ food security are; size of family, land planted with crops and quantity of maize produced.