Business Model: Community-Based Breeding Programs

Abstract

The International Center for Agricultural Research in the Dry Areas (ICARDA), International Livestock Research Institute (ILRI) and Boku University of Austria came up with the idea of community-based breeding program (CBBP) in Ethiopia. It is a value chain development intervention that focuses on improving the indigenous breeds. CBBP seems to be mandatory for smallholders not only due to their small sized flocks but also resource limitation as some of the village resources are owned and managed communally. These include grazing lands and watering resources, and even breeding rams are used communally under uncontrolled communal grazing/ mating systems. Thus, implementing genetic improvement, grazing land management and disease control programs would be challenging unless all or most of the villagers participate in the program. This document presents a sustainable CBBP business model for smallholder farmers in Menzi, Doyogena and Bonga areas. The net present value (NPV) of the investment in Menzi, Doyogena and Bonga areas show good positive numbers and also higher Internal Rate of Returns (IRR). For farmers to engage in the CBBP on sustained basis, they have to perform functions such as: • Production • Managing costs and maximizing Revenue • Marketing • Creating and maintaining partnership with supporting institutions