SHEIKH TECHNICAL VETERINARY SCHOOL (STVS) Somaliland livestock trade and marketing in Hargiesa and Berbera region.

This mini thesis research was submitted to STVS as a partial fulffilment of requirements for the award of the Diploma in Livestock Health Sciences (DLHS) By: Mohamuod Yusuf Ismail Roll Number: STVS/0078 Supervisor: Dr. Ibrahim Gulaid Osman July 2011]

DECLARATION

I Mohamud Yusuf Ismail declare here that this work is my original work, and has not appeared anywhere else in any other form except for the references made from other published works.

Student Signature.........................................................................................

Date 2 July 2011

Supervisor Signature.

Date.................................................................................................................

ACKNOWLEDGEMENTS First I would like to thank ALLAH who made it possible for me to utilize this golden opportunity. I wish to thank my supervisor DR. Ibrahim Gulaid Osman who willingly dedicated his time and energy for me to achieve my objective on this thesis. Secondly I deeply grateful thanking head of Somaliland chamber of commerce industry and agriculture who supported source of information of my thesis I also thanks Dr. Ibrahim Osman Suleiban and tutor A/qani Ahmed Farah for their assistance in the analysis, Lastly my gratitude is destined to all STVS lecturers and my fellow students.

Table of Contents DECLARATION ............................................................................................................................ 2 ACKNOWLEDGEMENTS ............................................................................................................ 2 CHAPTER ONE: INTRODUCTION (LITERATURE REVIEW) ................................................ 6 1.1 Introduction ............................................................................................................................... 6 1.2 Literature review ....................................................................................................................... 8 1.2.1 Livestock production ..................................................................................................... 8 1.2.2 Increases in livestock population ................................................................................... 9 1.2.3 Livestock export........................................................................................................... 10 1.3 Objectives ............................................................................................................................... 11 1.3.1General Objectives.11 1.3.2Specific Objectives11 CHAPTER TWO: METHODS AND MATERIALS ................................................................... 12 2.1 Study Area .............................................................................................................................. 12 2.2 Data Strategy and Study design .............................................................................................. 13 2.3 Questionnaire .......................................................................................................................... 13 CHAPTER THREE: RESULTS ................................................................................................... 14 3.1 Export and trade importance ................................................................................................... 14 3.2 Current activities arrangements and requirements along BerBera marketing chain ............... 14 3.3 Catchment area........................................................................................................................ 16 3.4 Livestock grade and standard.................................................................................................. 18 CHAPTER FOUR: DISCUSSION ............................................................................................... 23 CHAPTER FIVE: CONCLUSTION AND RECOMMENDATION ........................................... 25 5.1 Conclusion ............................................................................................................................ 256 5.2 Recommendation .................................................................................................................... 25 REFERENCES ............................................................................................................................. 27 Annex One .................................................................................................................................... 29 Research Questions ....................................................................................................................... 29 Annex Two.29

LIST OF TABLES AND FIGURES Table one19 Table two...22 Table three.23 Figure one..16 Figure Two ....17 Figure three....18 Graph One..22 Pie chart One..23 Pie chart two......23

CHAPTER ONE: INTRODUCTION (+LITERATURE REVIEW) 1.1 Introduction Livestock sector is the backbone of the economy of Somaliland contributing an estimated 6065% of the national economy. The country has an estimated livestock population of 10 million Goats, 5 million Sheep, 5 million Camels and 2.5 million Cattle (Census Data 2003). The economy is largely dependent on livestock export to major markets in Gulf countries such as kingdom of Saudi Arabia, United Arab Emirates, Yemen and Oman among others. The country exports an excess of one million goats and sheep annually compared to 3.5 million prior to 1998 when a livestock ban was imposed by the Kingdom of Saudi Arabia. The livestock products not only contribute to the livelihood of the pastoralists, but also a substantial portion of the daily food intake of the population both in rural and in urban (ministry of national planning of Somaliland 1999) Livestock market Somaliland are places where the rural producer, the urban consumer and the exporter come together to make exchanges. But livestock markets in broad sense are of more than economic significance (EC-FAO, 1995 and John Drysdale 1997). The economic and cultural importance of livestock sector in Somaliland researched and documented (for example, see :FAO,world Bank and the European Union, 2004; little,2005;little,2003;little, 1996;Holleman,2002;Steffen et al.,1998 EU, 1996;EC_ FA,1995; Stockton, 1997). At the household label sale of livestock is source of revenue to the many Somaliland livestock producers who comprise the majority of Somaliland population. there are several marketing intermediaries who depend on the revenue from livestock sale for purchases of food and other nessessities.thus the livestock sector has huge impact on food security as the livestock sector is and importance source of foreign exchange, much of which is used to finance imports of food and basic nessesities.for example, in Somaliland, about 80% of foreign exchange earning from livestock export is used to import food staples. It is well recognized that trade of livestock and livestock products in east African countries assume considerable social and economical importance(for details, see FSAU,2006;little 2001d; little et al.,2001little and mahmoud,2005;mahmoud2001;shank, 1997; Teka and Azeza, 2002; 2002;Teka et al., 1999).

The Somaliland livestock sector is principally export oriented. Which livestock mainly exported to the Middle East and neibouring Djibouti. The livestock trade has been continued by trader with support from local authorities. it is observed that Somaliland is one of largest exporters of live animalis in Africa (little,2005). Although the trade mainly involves live animalis, export of chilled meat to some Middle East countries has also being gaining importance. It is, however generally understood that there is high but currently under exploited potential for reaping greater benefits for stakeholders in the Somaliland livestock sector. the livestock export opportunities to the middle East countries is vary competitive and requires strict food safety requirements. In this regard, the importance question is: what improvements can be made in the on-going informal marketing system and institutions and how they are they achieved in order to overcome the constraints limiting the potential benefits of livestock sector to different stake holders? Somaliland ministry of livestock has been working to enhance access to livestock export markets by the Somaliland producers destined for export markets by supporting Somali Lander pastoralists and traders to improve marketing support serviced and institutions.

The purpose of activity is to evaluate the quality of livestock trade and good diagnostic analysis of of livestock export marketing including also identification of key entry points for intervention. For instance information is required on traders knowledge of live animalis quality requirements for export markets, the elements of demand of livestock and livestock products the relationship between quality attributed and prices, marketing cost, margins and charecteteristics of economic agents involved in the sector also on which and how Somaliland institutions could be empowered to offer the relevant livestock marketing supports service

1.2 Literature review 1.2.1 Livestock production Much of Somaliland's post-war economic growth has been linked, directly or indirectly, to the livestock trade. Livestock husbandry is the dominant system of production in Somaliland. Over half the population of Somaliland is involved in some form of animal husbandry, either as nomadic (or transhumant) pastoralists or as agro-pastoralists. Always the backbone of the economy before the civil conflict, livestock production continues to be main source of daily subsistence for nomadic families and the main source of income and employment for urban dwellers. According to the Somaliland Ministry of Agriculture, about 60% of Somaliland's population relies for daily subsistence on the main livestock products, meat and milk (Ministry of Agriculture 1998). Livestock production is estimated to represent 60-65% of the national economy (Ministry of Agriculture, 1998), and government revenue is heavily dependent on livestock exports. Between 1991 and 1997, livestock export on the hoof grew considerably, exceeding pre-war levels when Somaliland exported some three million heads of livestock in 1997, mostly to Saudi Arabia (UNDP, 1998). The value of livestock exports in 1997 was estimated to be US$ 120.8 million, yielding as much as 80% of the total hard currency income for Somaliland's population (UNDP 1998). Four species of domestic livestock - sheep, goats, camels and cattle - are reared in Somaliland. Sheep and goats are herded in the largest numbers, although trends in population growth, increased sedentarisation and markets demands have resulted in greater numbers of cattle being reared in recent years. Trade and Commerce Between 1993 and 1998, the volume of trade in Somaliland increased dramatically, surpassing pre-war levels. This increase has been based on the growth in livestock exports and the opening of Ethiopia-Somaliland border, which has created a vast new market for Somaliland. Through the years of 1996-1999 some 65% of the trade through Berbera port was reportedly destined for Ethiopia (Bradbury 1997; UNDP & UNHCR, 1999) The international community has noted the utility of Somaliland's transshipment route to Ethiopia, which has become known as the `Berbera Corridor'. In early 1999 the European Commission began to route food aid shipments for emergency food reserves and refugee camps in eastern Ethiopia through Berbera port. This transit operation was discontinued in 2002, since 8

Ethiopia produced enough food to meet its own domestic needs. Since 1998, the imposition of a ban by Gulf States on livestock imports from the Horn of Africa region has seriously reduced the volume of Somaliland's trade. A major source of wealth was the increased commercialization of livestock production. Aside from the restoration of administrative functions, an immediate preoccupation of the British Administration was to revive the protectorate's pre-war economic "foundation" - the livestock trade (Samatar, 1989). The process of commercialization was fuelled further in 1950s by the oil boom and the growth in the number of Muslims going on the Haj, creating an annual demand for meat. As the trade in livestock grew, traders invested in trucks to transport animals, water and animal fodder. The income from livestock exports was also invested in building berkado and balliyo. The development of livestock trade stimulated the expansion of towns, communications, and the import of consumer goods, such as trucks, clothes, sugar and cereals. Livestock marketing in Somaliland has gone through important changes since the early nineteenth century. Until the collapse of the last regime, livestock marketing was based on an arrangement known as the `merchant-jeeble' system (Samater, Salisbury, Bascom, 1988) The overwhelming majority of subsistence livestock producers are not in the business of financial accumulation, and trade only enough to be able to buy basic household commodities (Samater, Salisbury, & Bascom, 1988). In today's market, producers base their calculations and returns directly of 50kg of rice,Sugar. If they receive a sack of rice or sugar for one head of sheep or goat and with addition of cash of Sl.Sh. 10,000, they feel that they have profited. If they receive a sack of rice or sugar for one head they feel that they have broken even. The overwhelming majority of subsistence livestock producers are not in the business of financial accumulation, and trade only enough to be able to buy basic household commodities (Samater, Salisbury, & Bascom, 1988).

1.2.2Increases in livestock population Over the past 60 years an expansion in human and livestock population has been exerting pressure on the pastoral environment. There is no exact data on the size of the herd in Somaliland Extrapolating from the 1975 Somalia census of livestock, the following annual growth rates are assumed for Somaliland: goat 2.4%, sheep 1.7%, cattle and camels 1.1% (Somaliland Ministry of

Planning, 1999). the total estimated livestock population from 1996 to 2000. For the year 2000, this is estimated to be 25,136,025 heads. Somaliland's rangelands are unlikely to be able to support the kind of figures projected by the Ministry When 25.1 million heads of livestock is converted into Tropical Livestock Unit (TLU) it becomes 10.6 million TLU; TLU annually requires about 2.25 tons of fodder (Axmed, 1988). Therefore, 10.6 million TLU needs annually about 23.85 million ton of fodder. The estimated fodder production ofSomaliland combined in 1986 was 13.7 million tons (Axmed, 1988), equivalent to only 6 million TLU, excluding the needs of donkeys, horses, and wildlife. In other words, Somaliland's rangeland capacity is far below the level required to support the Ministry's estimates. 1.2.3 Livestock export Livestock export resumed through Berbera in February 1991, after an interruption in the 1980s due to the civil war. Somaliland has since established itself once more as international livestock trade hub, with exports that far exceed pre-war levels, demonstrating the tenacity and the importance of the livestock sector in Somaliland, and the resourcefulness of Somaliland pastoralists and livestock traders. The bulk of these animals were exported to Saudi Arabia. Indicates livestock exports through Berbera steadily increased between 1991 and 1998. In 1991, the more exports went to Yemen than Saudi Arabia (EC-FAO, 1995), as trading links with Saudi Arabia had not been re-established. By 1992, 61% of goats and sheep exports went to Saudi Arabia (EC-FAO, 1995). In 1993 livestock exports reached pre-war level, by 1994 they had surpassed the pre-war level and reached record. In 1994 the average selling price for one head of shoat was US$55 (EC-FAO, 1995). As exports increased, the average price per head declined: in 1996 the average sale price per head was US$38 (Drysdale, 1997), and by 1999 the average fluctuated between US$27 and US$32 per head. While the sale price has been declining, the total cost per head to the supplier has remained virtually the same. Two independent studies (EC-FAO, 1995 and John Drysdale 1997) estimated this to be US$ 38.18 and US$37 and when Saudi Arabia lifted the ban in septemper 2009 price Shoats reached average US$ 52 ,Cammel US$ 550 and cattle US$569 According to senior officials in the Ministry of Finance, revenue from livestock exports constituted as much as 33% of government revenue in 2000. However, since not all livestock export revenues are reflected in the budget. 10

The 2000 budget submitted by the government was 74 billion Somaliland Shillings, equivalent to US$25 million29 (budget of ministry of finance20. By the end of 2000, there was a shortfall of 5 billion shillings due to the livestock ban. In 2001, the budget submitted by the government was 87 billion Somaliland Shilling, as the government had increase export taxes and improved its revenue collection systems. However, in real terms this budget was equivalent US$13 million about half of the 2000 budget - due to the devaluation of Somaliland shilling. The situation has been further complicated by the government's maintenance of an "official" exchange rate: this rate applies to export duties and for much of the period in question it was fixed at Sl.Sh.2, 500 per US dollar, approximately half of the market rate. The official devaluation of the Shilling in 2001 meant that importers would pay the full market price (7,000 Sl.Sh.) - an increment of 280%. These measures provoked widespread protests and the government was rapidly forced to compromise. .. In 2010 the budget summated by the government was 212 Billion Somaliland Shilling, equivalent to US$100 million , there was an increase 103 billion somalilnd Shillings deu to Saudi government which was the main livestock market in somaliland lifted the ban of east Africa countries (Somaliland Press 2010)

1.3 Objectives

1.3.1 General Objectives The objectives of this study are: (i) to gain a better understanding of how the existing livestock trade and marketing systems function in Somaliland. main objectives of this study is to provide empirical information that informs the process toward improving livestock trade and marketing in Somaliland by enabling the development of the effective and efficient marketing support service. he specific objectives is to generate information that could be used to : 1.3.2 Specific Objectives Observe livestock export marketing institutions and support services Standardize quality and criteria used for grading livestock for export To evaluate and formalize quality control point Link primary ,district and regional markets more effectively 11

Reduce transaction costs for traders Increase competitiveness for producers Develop and disseminate relevant market information to stakeholders CHAPTER TWO: METHODS AND MATERIALS

2.1 Study Area Hargeisa is the capital city of the republic of Somaliland, Hargeisa is located North West of Somaliland (Latitude 918' N Longitude 4403'E).Hargeisa is the center of trade and commerce and harbor the international airport. Being the capital city of Somaliland, it is also hub for nomadic stock herders, who come here to sell their animals. Hargeisa city's present resident population are approximately (600 to 750,000) inhabitants with un-precedent rapid pace of growth according to the latest Hargeisa Abstract Statistical 2000 City Government Administration estimate. Hargeisa is also the center of the other key cities including, Burao, Borama, Berbera, Eirigavo and Lasanod. Berbera city is situated on the southern shores of the Gulf of Aden, is the major port town of Somaliland. Berbera town is located on the sea coast with harsh climatic conditions, with high temperatures ranging between 40co to 50co dur ing the months of May to September. Berbera is one of the oldest towns along the Somaliland coast, in current time Berbera is capital city of Sahil region of Somaliland; it has a lot of veterinary infrastructures such as the quarantine station the holding ground and port. Berbera owns three ports: Old port which is used by boats, fisher port and the main port. Major industries, {cement factory, cold storage facilities} which are the source of income for many people were destroyed during civil wars. Berbera is a seaport, with the only sheltered harbour on the south side of the Gulf of Aden; its population was approximately estimated 3000 5000. The weather of Berbera is very dry, hot and wet during the rainy season. The landscape around Berbera, along with Somalilands coastal lowlands, is desert or semi-desert where the temperatures in the summertime easily crack the 50C mark. Most of the city residents are forced to seasonally migrate to the cooler inland cities during these hot times.

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Hargeisa Map of study area

Berbera

2.2 Data Strategy and Study design Information was gathered from key informants in the country. These include: livestock traders/exporters, Ministries of livestock, ministry of national planning ministry of commerce and Somaliland chamber of commerce industry and agriculture In Collaboration with min. of livestock, Min. of commerce, municipalities of Hargeisa,Burao,Tog Wajale and Berbera port Authority. 2.3 Questionnaire A questionnaire was prepared and administered with 18 members including traders, farmers ,brokers ,Somaliland chamber of commerce , Berbera port Authority and general director of ministry of livestock. The questionnaire focused on how Somaliland livestock trade and marketing operates.

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CHAPTER THREE: RESULTS 3.1 Export and trade importance

Somaliland has had a long history of live animal export to the Arabian Gulf State through the Berbera port. These exports have experienced a series of trade embargos due to suspicious diseases like Rift Valley Fever (RVF), Peste des Petits Ruminants (PPR) and suspected presence of Rinderpest. The bans adversely affected the income and livelihood of pastoralists families and the national economy in general The livestock export for the last 20 years through Berbera ports to the Arabian Countries has been documented. The information are the source from the Veterinary Port officer in Berbera . the destination of the these animals is: Sheep/Goat to Arabian Gulf countries (Mostly in KSA)Cattle to Yemen Camel to Egypt. 3.2 Current activities arrangements and requirements along chain Secondary Market: Brokers and Traders (jeeble,wakiil/Ganacsato):animal pre-purchase visual inspection/screening by for clinical systems of the disease or avoidance animals whose province are out break areas. they also perform selection based on quality assurance (sex, age and natural nutrition status) fulfilling requirements of agents and exporters . Brokers(dilaal) brokerage service and guarantee provenance of animals and owner (enforcements of informal contracts and property rights). Traders (wakiil/Ganacsato) receive various service at cost(Fodder water, use of enclosure, labour and animal marketing). Municipality: Tax collection. Transporters: loading, fees . Caretakers :( Xaraas) take care of animals provide and ensure no injuries during trucking. Public Veterinary service: inspection certificate at a fee and rejection of sick animalis,provide movement permit to Berbera port terminus at no cost. Limited treatment may be provided. Transport vehicles inspected before loading. Primary Market Brokers and Traders (jeeble,wakiil/Ganacsato):animal,pre-purchase visual inspection/screening by for clinical systems of the disease or avoidance animals whose province are out break areas.

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they also perform selection based on quality assurance (sex, age and natural nutrition status) fulfilling requirements of agents and exporters . Brokers (dilaal) brokerage service and guarantee provenance of animals and owner ship (enforcements of informal contracts and property rights). Traders (wakiil/Ganacsato) receive various services at cost (Fodder water, use of enclosure, labour and animal marketing). Municipality: Tex collection for purpose providing security and Data gathering. Petty Traders and Drovers: (Shaqale) minor treatment of sick animals.

Exporters Holding Grounds In Berbera Exporters: (Ganacsato) receives various services at cost (fodder, water, labour and management) and pays relalted export taxes. Animals rest at least for 48 hours. Port veterinary office: pre-inspection for Tran boundary disease and verification of animal type, origin and quantity.animal quartine inspection. Export terminus (Berbera port) Ministry of finace: customs tax and development fee collection. Port Authority: animals counting in marshalling yard, provision of livestock handling facilities and loading fees. Ministry of Commerce and Industry fees. Port veterinary office: final inspection in the port veterinary office holding grounds, export health certificate, inspection and certificate of sea vessels as appropriate. Shipping agents: preparation of appropriate sea transportation, preparation of loading manifest. Chamber of Commerce: certificate origin. Export Destination (Al Mukalla) Yemen,(Salalah) Oman,(Dubai) United Arab Emirates and saudisome gulf states. Import regulations and specifications are clearance

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3.3 Catchment area Somaliland has well strucured livestock markets which daily are sold different ruminats , sheep, goat, cattle and cammel.this livestok market are intended to sale expoer heads ,domestic quality and red quality. mainly livestock trade and marketing in somaliland are Buroa, Hargeisa and wajale, This is the catchment area of Hargeisa livestock market and it is the distance source where hargesa livestock market get live animals which are sale in hargeisa market it is about 1km up to 100km

Figure1 one: Is Indicating distance of hargesisa livestock market gets live animalis The Value Chain Concept The value chain describes the full range of activities required to bring a product from conception, through different stages of production, to delivery to final consumers.

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The Value Chain Approach to Pastoral Meat Production

Pastoralist

Production

Inputs & services Resource management

Small scale traders Agents of exporters

Collection &
Assembling

Value adding Animal health Welfare issues Welfare issues Animal health

Exporter

Marketing

Figure two: is indicating export, trade, their inputs, welfare and health status

Exporters have to fulfil contracts from importers supplying the required number of animals of a specified quality within particular time Role of animal sale Economic of Somaliland depend on livestock and livestock sector play an important role for national revenue of government ,household level pastoralist .marketing of animalis are involved number of activities like producers, brokers , exporters ,agents ,marker of animals and enmerators and animal handlers.

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Figure three: is explaining how producers exporters, agents handlers are opretete livestock marketing system

Characteristics Consideredfor for Export Quality Animals

Age Body condition Conformation

* Only males are allowed for export

3.4 Livestock grade and standard Livestock grades exists as three point grading system for small-ruminats and large ruminantst which are Shoat/Goat, cattle and camel for grade 1,2,3. And these grades are depend on nutrional status ,age and sex. The grading categories in small ruminats is not as well defined, probably because they are traded in batches in export markets where exporters may mix different 18

grades in a single batch so as to maximius protits and by extension lessen their demand for grades of highest quality thes quality traits sinnificantly buying and selling price of animalis . These have two key implications firstthere is indeed exists an ifmormal grading and standard system practiced in the Somaliland livestock export marketing chain, and secondly this grading standard system determined by buying and selling price of livestock . This information provides an important starting point with regard to formalising these informal graded and standard in to the Somaliland livestock marketing system. It is of necessity to formalise classes and grades of livestock not only to provide market information that would be intelligible.

Export quality small ruminants grades When animalis are exported there is made an evaluation towards their grades like age, body condition and confirmation and this table is indicatig,

Code

Grade

Species

Age (years) 3-4 4-5 2 3 3 4 2 3 0.8 1

Body Condition Fat Fat Fat Normal Fat Normal Normal Normal Fat

Prices

Conformation

AD1

st

Sheep Goats Sheep

Excellent Excellent Good Good Good Good Fair Fair Excellent

AD2

nd

Sheep Goats Goats

AD3

rd

Sheep Goats

3
st

JQ1

Goats/Sheep

Table one: is indicating quality small ruminates grades 19

Mature grade 1(in the picture animal in 4 years

Mature grade I (animal of 4 years)

Mature (Waaweyn) grade I bull 6 yrs

Mature grade I (camel 10 yrs old)

Jiqiiq grade I, 1 yrs

Livestock Shipping in Berbera Livestock export resumed through Berbera in February 1991, Somaliland has since established itself once more as international livestock trade hub, As the these table blow indicates livestock exports through Berbera steadily increased between 1991 up to2011. more exports went to Saudi Arabia than other gulf states

Septemper 2000 Saudi Arabia impose Somaliland and livestock international includind east Africa countries,the ban lad decline of livestock trade and economic loss and this graph indiating during the ban.

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Graph one: telling Comaparism number of small ruminats, cattle and cammle in 2001 till 2008

After Saudi Arabia lifted the ban September 2009 ,nubeber of heads which is used to export were increased as shown And this table is indicating comparism of last twe years

Heads

Year 2009

Year 2010 2,352,217 134,934 98,188

Sheep| Goat 1,550,554 Cattle Cammels 88,810 19,047

Total

1,658,411

2,585,339

Table Two: Is expersing comparism of number of heads exported Berbera port 2009 to 2010

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Pie chart oneThese pie charts are indicatig percentage and comparism of heads exported in Berbera port 2009 to 2010

Heads Shaot/Goat Cattle Camel

Year 2011 243,245 19989 16523

Table three : is indicating number of animals exported in the country first four months in 2011.

Year 2011
Shaots Cattle Camel

7%

6%

87%

Pie chart two showing comparis number of heads exported Berberaa first four months in 2011

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CHAPTER FOUR: DISCUSSION Data were collected key livestock trade ,export and marketing and beginning our result is highlighted how is Current activities arrangements and requirements along Berbera chain which mention :like secondary market, primary market ,export holding grounds in Berbera, port veterinary officer, export terminus, ministry of commerce and shipping agent witch directly detailing for instance ,secondary and primary market are involve role of Brokers and traders which brokerage service and guarantee provenance of animals and owner (enforcements of informal contracts and property rights). And receive various services at cost Fodder water, use of enclosure, labor and animal marketing. While Port veterinary office pre-inspection for Tran boundary disease and verification of animal type, origin and quantity . During our results there is page indicting catchment area of Somaliland livestock which is directly telling main strategy of Somaliland markets like Hargiesa Berbera and Wajale for instance catchment area is the sources and distance which Hargiesa livestock markets gets live animally is 1km to 100km while catchments area of Buroa market is 0-50km to 300km this is directly telling that Buroa livestock is the largest livestock market in Somaliland. as showing table 4 is telling number of heads exported Berbera 1991 to 2000 while table 5 is showing 1996 to 200 comparism this 1991 to 1996

Table one in our study is telling animal quality and their grades particularly small ruminants, when they are marketing and exporting evaluating species, age Body condition and confirmation. Similarly cattle and camel are same processes.

Somaliland economic mainly depend on livestock which cover 65% of Somaliland economic in results we collected data base on quantity of animals exported Berbera ports since 1991 till 2011 . Domestic animalis are exported in gulf stated Sheep/Goat, cattle and camel particularly Saudi Arabia , highest nu of heads exported in the country are Shoats while cattle is little more than camel , first graph in our data is telling heads exported in the country 2001 to 2008, cattle were highest heads exported in the year of 2001 for the reason this Saudi government impose ban in east Africa countries for their export to Saudi arbia and it is the

largest market that Somaliland livestock depend on particularly Small ruminants 23

In table Two are indicating 2009 to 2010 are the years when Saudi government li fted the ban and their comparism is showing that 2010 are more higher than 2009 for instance 2009 camel heads are exported 1%, cattle 5% sheep/goat 94% , while 2010 Camel head are exported 4%,cattle 5%% Shoats/Goats 91 % . for the result of this camel percentage where increased 3% while cattle are equal percentage 2009 and number of small ruminants decreased 3% in 2010

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CHAPTER FIVE: CONCLUSTION AND RECOMMENDATION 5.1 Conclusion The information was conducted with the main objectives of this study is to provide empirical information that informs the process toward improving livestock trade and marketing in Somaliland by enabling the development of the effective and efficient marketing support service. the data where collected for Somaliland chamber of commerce among livestock traders and other market agent along three market chains using structural questionnaire The Data has established that although livestock export in Berber in last 20 year, generated results were presented tables in, graphs and pie charts highlighted this, the marketing system is operating in such way that is able to select and present at export ports seemingly homogenous products from this richly diverse. 5.2 Recommendation The study identify number of organization/ins supporting livestock export trade in Somaliland these include.Livestock,trade brokers ,Port authorities,Veterinary service,Local government municipality And line ministries.

How ever in order to increase the benefits accruing to all traders in the livestock market, it is important to address number of factors as showed. Traders of livestock must bring their livestock on export quarantine at the entry and exit point, all livestock entering or leaving the country need to be quarantined and insected Livestock destined for export must be mature animals so that the delivered stock can be protected to prevent depletion Only male animals are to be exported across the sea Government is to search other international markets for livestock animals. Pastoralists should be trained in basic animal health treatment and their awareness should be increased of the adverse effect of incorrect usage of veterinary drugs, such public awareness can be done at the local markets, Friday prayers, and social gathering areas. Greater pastoral participation in animal health service delivery both the government and International should involved the herd owners through community-based programs and especially the Ministry should encourage and facilitate International NGOs to work with

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local communities as well as with the private veterinarians and government should contract its services to the private sector . Both the government and the international NGOs involved in the sector should encourage and promote greater interaction and accessibility between veterinary professional and development of permanent veterinary posts(clinic). The central government should spend 1$ from the $3.5 export tax on every head of livestock on the animal health sector. Both the government and its international partners should encourage and facilitate the exporters to reinvest some of their profits in the sector.

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REFERENCES FSAU, 2006; little 2001d; little et al., 2001little and mahmoud, 2005; mahmoud2001; shank, 1997; Teka and Azeza, 2002; 2002;Teka et al., 1999. Government of Somaliland. Two-year plan 1997-99. Ministry of Planning, Hargeysa,1998. FAO,world Bank and the European Union, 2004; little,2005;little,2003;little,

1996;Holleman,2002;Steffen et al.,1998 EU, 1996;EC_ FA,1995; Stockton, 1997. Ahmed, Ismail, "Remittances and their Economic Impact in Post-war Somaliland," Disasters, vol. 24 no. 4., 2000. EC-FAO, 1995 and John Drysdale 1997. Government of Somaliland, Customs Statistical & General Information Report, Ministry of Finance, Hargeysa, 2000. Government of Somaliland, Somaliland in Figures (Second Edition), Ministry of National Planning & Co-ordination, Hargeysa, 1999 EC/FAO Somali Livestock Export Market Study, Burco, 1995. Samatar, Abdi Ismail The State and Rural Transformation in Northern Somalia 1884-1986, University of Wisconsin Press, Wisconsin, 1989. Drysdale J. Stoics without Pillows: A way forward for the Somaliland, Han, London, 2000 Stockbridge, M. 2004. The Marketing System for Livestock Exports: Monitoring and Analysis. Somaliland, Republic of. 2006. Draft National Livestock Policy, 2006-2016. For further details on the composition of these diverse species, see (Schleyer, Baldwin, 1999). Djibouti,1990. Baldwin, R. and Schleyer, M. Biodiversity of the Northern Somali Coast East of Berbera, IUCN, Nairobi, March 1999. Abdi, Abdullatif and Hussein, Abukar, A quick Assessment of the Situation of the Livestock Sector in the North West Regions of Somaliland, Terra Nuova, Nairobi, 1998. East of Berbera, IUCN, Nairobi, March 1999. Behneke, R. H., and Scoones, I. "Rethinking Range Ecology: implications for rangeland management in AfEcology in Disequilibrium, ODI, London. Bradbury 1997; UNDP & UNHCR, 1999. Bradbury, M. Hostility and Hospitality: The Pastoral Dimensions of the Somali Civil Conflict (unpublished draft) September 1996. Government of Somaliland. Budget for the Year 2000, Ministry of Finance, Hargeysa, 2000. 27

Annex One Research Questions In order to guide the collection of data abroad set of questions were create that would facilitate identification of data sources, check list and structured questionnaires as appropriate the questions formulated were related to the specific aspects of livestock marketing such as graded and standard ,traders awareness of import quality specification requirenments,prices , transsection costs and margins and flow of information. Some of the key research questionnaires are summarized as below. Are exporters aware of importers needs ,preference of animal attributes, quality and test? In the absence of formal official standard, is there an informal grading and standard system practiced throughout the somalilanders livestock export marketing to meet the needs of importers? Is there an autonomous flow of information on supplies, quality and price along the market value chain? Is there a correlation system between the grading system and price? Are different livestock populations with in species similar genetically and there for do not determine market value? Are final prices, transaction costs and margins a function of product characteristics, intermediary characteristics, distance, transport mode, types of intermediaries, volume of distance, destination, size of operation and access of information?

Annex Two Number of heads exported Berbera port since 1991till 2010

Year 1991 1992 1993 1994 1995

Sheep/Goat 482,508 631,192 1,014,921 1,685,265 2,713,597

Cattle 11,756102 36,662 80,861 55,729 75,128

Camels 102 389 14,824 38,025 21,993

Total 494,366 668,243 1,110,606 1,779,019 2,810,718 28

Year 1996 1997 1998 1999 2000

Sheep|Goat 2,417,656 2,814,495 957,623 2,000,335 1,233,851

Cattle 64,596 66,939 92,213 88,939 46,289

Cammels 42,828 50,587 11,663 34,840 10,100

Total 2,525,080 2,932,021 1,061,499 2,124,114 1,290,240

Year 2001 2002 2003 2004 2005 2006 2007 2008

Sheep and Goat 51,546 357,754 544,485 860,127 1,o21,399 1,200,289 1,151,061 1,208,904

Cattle 79,696 31,592 74,764 122,505 145,945 97,333 83,978 81,668

Cammals 5,313 21,193 19,470 8,579 4,741 23,512 15,117 25,798

Heads

Year 2009

Year 2010 2,352,217 134,934 98,188 2,585,339

Sheep| Goat Cattle Cammels Total

1,550,554 88,810 19,047 1,658,411

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