Determinants of Competitiveness of Tree Tomato Value Chain in Rwanda

Abstract

This research was conducted to establish the determinants of tree tomatoes value chain competitiveness, to analyze the trends in the value chain competitiveness of tree tomatoes in Rwanda and to find out the challenges facing by actors in tree tomatoes value chains in Rwanda. The study adopted a mix of both qualitative and quantitative approaches and outsourced a questionnaire to all 56 firms that produce, process and engage in fruits value addition. Reports and publication about tree tomatoes were collected to increase the understanding of the topic under study. NAEB has provided the secondary data while primary data were collected by sending a questionnaire to the selected tree tomato actors. The study is the relevancy of Porter's Value chain, Diamonds, structural and French theories. The research found five determinants including use of best quality of inputs (seeds & fertilizers), pesticides/fungicides, processed tree tomatoes (kgs), employment over time and having access to tree tomatoes financing. There is a gradual decrease in production of tree tomatoes. The regression analysis found a variation in the dependent variable due to change in independent variables, the Adjusted R Square is 0.94. ANOVA test shows a p-value of 0.000 less than alpha (5%) significance level. The regression equation, under which X1 stands for inputs (seeds & fertilizers), X2 for pesticides/fungicides, X3 for processed tree tomatoes (kgs), X4 employment over time and X5 for Finance in (100,000 RWF). The study recommends NAEB and RAB to make policies that facilitate the effective production, processing, marketing, to adopt technology in tree tomatoes growing, to provide trainings and facilitate communication / information sharing. The government has to build proper infrastructures for effective transport of tree tomatoes from harvesting sites to the market.