Abstract

Value chain governance refers to the relationships among the buyers, sellers, service providers and regulatory institutions that operate within or influence the range of activities required to bring a product or service from inception to its end use. This paper analyses value chain governance in the Oreochromis species (Chambo) value chain. The establishment of value chain governance is likely to lead to improvement in the management of Chambo value chain. The paper examines the different marketing strategies, the opportunities, challenges, the upgrading strategies and the nodes that are along the Chambo value chain. Using empirical evidence, chi-square had a value of 0.154 with an asymptotic significance of 0.926, indicating lack of evidence that value chain stages of Chambo in different strata were not the same. Underrating any stage along the chain has negative economical implications considering that any stage along the chain is supportive to majority of the people. The actors along the chain must learn to be innovative so that they are able to find suitable methods for marketing their fish.

It has also been found that crew members benefit less than the gear owners in the chain rewards distribution. Dealing with marketing and distribution constraints, improvement in the working conditions of fishers may lead fishers to maximize their capability by sustainably exploiting the resource and that may have positive impact to both consumers and retailers. Upgrading is helpful as it reduces chain risks at all levels or stages of the value chain.

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