The document discusses challenges in linking livestock value chains to nutritional status in Nairobi, Kenya. It notes that while introducing dairy/meat production could improve producers' diets, underdeveloped value chains constrain this. It proposes researching how value chain weaknesses relate to low animal-sourced food consumption and poor nutrition. Key challenges include measuring transaction costs households face in accessing different value chains and relating these costs and retail prices to variation in nutritional outcomes. Addressing these challenges could help identify ways to improve value chains and target interventions.

1. Comments on
Livestock Value Chains and
Nutritional Status: Nairobi Pilot
Alex Winter-Nelson
Dept. of Agricultural and Consumer Economics
University of Illinois, Urbana-Champaign
alexwn@illinois.edu

2. My Perspective
Applied Economist
Current work
– Livestock and poverty/nutrition
– Other end of value chain
• Introduce dairy/meat production => immediate dietary
improvement for poor producer AND neighbors
• Constrained by underdeveloped value chain
• Proposed research could substantiate assertions

3. My Understanding
Demonstrate Nutritional Problem
Demonstrate Weak ASF Val Chain
=>Low ASF Consumption
Demonstrate Weak ASF VC
=>Low ASF Consumption
=>Poor Nutritional Outcome
Confirm ASF => Improves Diet and Nutrition

4. Challenges
Parallel to Food Deserts Literature
Does higher cost to accessing healthy diet
=>less healthy diet?
Mind the Gap-- From End of Value Chain to Household
Value Chain ends with retail price (P)
Household pays Consumer Transaction Cost + P
Both CTC and P matter
VC is community level, CTC unique to hh

5. What are these chains
Poultry Producer => Transporter => Processor
=> Supermarket
=> Market
Guy with Chickens=>guy on bicycle
=>bus stop
=>kiosk
Neighborhood producer
Each VC=>outlet price.
Each hh faces Retail Price Options AND Unique
CTCs. P and CTC affect consumption.

6. So What?
Variation not in which ASF VC exist by neighborhood
(P). Mobility at some CTC to similar outlets, possibly outside neighborhood.
Variation is likely in each household’s CTC for each VC
(eg. location on VC) => Variation in behavior and
outcomes
Empirical Problem: P+CTC matter
P is observed, but little variation
CTC to VC used hard to measure
CTC to unused VC unobservable
CTC of hh that does not use ASF VC not observed.
=> don’t know impact of lower costs on VC.

7. Sensitivity to Price and CTC
High CTC to consumer => less frequent purchase
High price => less consumption
Lower costs on value chain => lower price at that
chain
Do consumption patterns suggest price or CTC
matter more? (what VC to target)

8. Food Desert Problem
Identification of spatial overlap of poor diet and
limited retail presence not sufficient when CTC vary
(why income is part of USDA food desert definition)
Do we see improved nutrition where CTC +P is
lower? ≠
Do we see nutritional variation with VC used?

9. Challenge
Measure performance and costs along VC.
=>prices
Link the HH to the end of the VC,
recognizing that access extends beyond
community.
Measure CTC.
Measure nutritional status.
Relate CTC and P to Nutritional outcomes.
GOOD LUCK

10. Challenge
Measure performance and costs along VC.
=>prices
Link the HH to the end of the VC,
recognizing that access extends beyond
community.
Measure CTC.
Measure nutritional status.
Relate CTC and P to Nutritional outcomes.
GOOD LUCK