Cities: No. 2 Mzuzu, Malawi The Food Retailing System in Mzuzu - - PowerPoint PPT Presentation

cities
SMART_READER_LITE
LIVE PREVIEW

Cities: No. 2 Mzuzu, Malawi The Food Retailing System in Mzuzu - - PowerPoint PPT Presentation

Food Security in Africas Secondary Cities: No. 2 Mzuzu, Malawi The Food Retailing System in Mzuzu City, Malawi Lovemore Itai Zuze QES Scholar Food Retailing System in Mzuzu City, Malawi Vendor survey conducted in April 2019


slide-1
SLIDE 1

Food Security in Africa’s Secondary Cities:

  • No. 2 Mzuzu, Malawi

Lovemore Itai Zuze QES Scholar

The Food Retailing System in Mzuzu City, Malawi

slide-2
SLIDE 2

Food Retailing System in Mzuzu City, Malawi

  • Vendor survey conducted in April 2019
  • “Consuming Urban Poverty 2 (CUP2)” (Wilfrid Laurier University (WLU),

African Food Security Urban Network (AFSUN) and The University of Livingstonia(UNILIA).

  • Funding provided by the Social Sciences and Humanities Research Council
  • f Canada Insight Grants Programme
  • Balsillie School of International Affairs & The Queen Elizabeth Scholarship
slide-3
SLIDE 3

Consuming Urban Poverty 2 (CUP2)

A research project on urban food security and urban poverty in Africa's secondary cities: Household Food Security Surverys (HFSS) conducted in 3 African countries African Food Security Urban Network (AFSUN),(afsun.org) Hungry Cities Partnership (HCP) cities in Africa, Asia, Latin America and the Caribbean (hungrycities.net)

slide-4
SLIDE 4

CUP2 Locations

Dschang, West Region, Cameroon Mzuzu, Northern Region, Malawi Oshakati-Ongwediva-Odangwa Corridor, Oshana Region, Namibia

slide-5
SLIDE 5

CUP2 -Goals

Contribute to scholarly body Encourage policy innovation

slide-6
SLIDE 6

CUP2 -Goals

Contribute scholarly body to

  • Urban geography theory from the

“Global South”

  • Urbanization in secondary cities
  • Food systems in secondary cities

Encourage policy innovation

  • Experiential and theoretical acumens

to practical situations

  • Case study comparisons across cities
  • Harmonize governance processes

across scales in a broader economy

slide-7
SLIDE 7

Malawi

Mzuzu, Northern Region

Mzuzu City Profile Population ~ 221000 (+10000) Intercensal Annual Growth Rate ~ 5.4%

slide-8
SLIDE 8

Source: http://mec.org.mw/maps/

slide-9
SLIDE 9

Mzuzu Vendor Survey

slide-10
SLIDE 10

Mzuzu Cit ity Vendor Survey

The study aims at

  • Improving the understanding of the nature of the food retailing system in

Mzuzu

  • Developing and testing a city scale approach for sustainable assessment of

food trade practices

  • Comparing the different challenges facing informal and formal food retailers

and exploring how the informal economy can be made to make maximum contribution to the local economy

slide-11
SLIDE 11

Mzuzu Vendor Survey (1 (1-12 Apri ril 2019)

The Survey Instrument  Open Data Kit coded questionnaire adopted from the Hungry Cities Partnership (HCP) Cape Town Project.  Open-ended questions and multiple-choice questions making up 431 variables  Administered in English, ChiChewa and Chitumbuka

slide-12
SLIDE 12

Mzuzu Vendor Survey

The Survey Instrument Sections on:

  • Demographic profile of enterprise
  • wners,
  • Food retail enterprise characteristics
  • Food retailer business practices
  • Food safety and sanitation
  • Food production
slide-13
SLIDE 13

Mzuzu Vendor Survey

Sampling Strategy  Multiple-frame sampling method  GPS to identify the location of vendors (area frame)  The listing of vendors according to their type (listing frame).  A sample frame of 1392 food retailers was generated

slide-14
SLIDE 14

Vendor Type Frequency Percentage Small shops, tuck shops, hawker 380 27.32 Temporary Roadside or Street vendor 317 22.79 Permanent Roadside or Street Vendor 201 14.45 Home based retailer 124 8.91 Mobile Vendors 112 8.05 Restaurant or Chiimilile 98 7.05 Hot cooked food vendor 68 4.89 Fish (fresh, dried) selling point 32 2.3 Market stall (not meat, fish or poultry) 31 2.23 Poultry (chicken, duck, etc) selling point 17 1.22 Meat (beef, pork, goat, etc) selling point 11 0.79 Total 1391 100 Mapping exercise

slide-15
SLIDE 15

Mzuzu Survey

Spatial distribution of the Mapped Food Retailers across Mzuzu

slide-16
SLIDE 16

Mzuzu Survey Map

Ward Freq Percent Chibabvi/Chibanja 30 6.2 Chiputula/Zolozolo 36 7.4 Geisha 34 7 Luwinga 50 10.3 Mzuzu Main market 140 28.9 Masasa 32 6.6 Mchengautuwa West 32 6.6 Mchengautuwa East 37 7.6 Mzirawaingwe 30 6.2 Old town 12 2.5 Zigwagwa market 52 10.7 Total 485 100 Surveyed Food Retailers Spatial Distribution within Mzuzu City Administrative Wards(N=485)

slide-17
SLIDE 17

Mzuzu Survey Map

Food retailers spatial distribution across Mzuzu City. (N=485)

Vendor Types Frequency Temporary roadside vendor 189 small shops/tuckshop/hawker 101 Permanent roadside vendor 47 Market stall 47 Home-based retailer 32 Hot cooked vendor 25 Restaurant/Chimilile 27 Mobile vendor 17 485

slide-18
SLIDE 18

Characteristic Frequency Percent (%) Sex Male 159 32.8 Female 326 67.2 Marital status Married 376 77.5 Single 103 21 Education level No education 18 3.7 Primary education 232 47.8 Secondary education 216 44.5 Tertiary education 16 3.3 Employment before food vending Yes 194 40 No 290 60 Alternative employment besides vending Yes 57 12 No 427 88

Enterprise Owner Demographic Characteristics

slide-19
SLIDE 19

Enterprise Owner Characteristics

Vendor Migrant Status (%)

A foreign country A rural area in this country Another city in this country In Mzuzu

slide-20
SLIDE 20

Enterprise Owner Characteristics

20 40 60 80 100 120 140 160 180 A foreign country A rural area in this country Another city in this country In Mzuzu Migrant Status vs Level of Education College/university No formal education Primary Secondary

Frequency

slide-21
SLIDE 21

Enterprise Owner Characteristics

Frequency

50 100 150 200 250 300 350 Female Male Gender vs Marital Status Married Single

slide-22
SLIDE 22

Enterprise Owner Characteristics

0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 100.0% College/university No formal education Primary Secondary Gender vs Education level (%) Female Male

slide-23
SLIDE 23

Key enterprise owner attributes (N = 485).

Household Socio–Economic Factors Mean Mode Min Values Max Values Age of enterprise owner (year) 35.8 30,36 17 75 Amount of time stayed in the business (year) 8 1 48 Number of business owned 1.3 1 1 6 Number of business co-owned 0.3 5 Household members 4.75 4 14

slide-24
SLIDE 24

Enterprise Owner Characteristics

10 20 30 40 50 60 70 80

1971 1974 1976 1979 1980 1981 1985 1986 1987 1988 1989 1990 1991 1992 1993 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Year of Business Establishment Frequency

slide-25
SLIDE 25

Food Retail Enterprise Characteristics

Factors influencing location

0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 No Yes Greatest Number of Customers (%)

slide-26
SLIDE 26

Food Retail Enterprise Characteristics

Factors influencing location

0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 No Yes

Plenty passing traffic (%)

slide-27
SLIDE 27

Food Retail Enterprise Characteristics

Factors influencing location

45.0 46.0 47.0 48.0 49.0 50.0 51.0 52.0 53.0 No Yes Closeness to Public Transport (%)

slide-28
SLIDE 28

Food Retail Enterprise Characteristics

Tenure status of enterprise

Tenure Status (%)

I own it Other Pay rent to council Pay rent to private owner Rent-free, with permission Rent-free, without permission Shared space

slide-29
SLIDE 29

Food Retail Enterprise Characteristics

Enterprise licensing

Possession of License to Operate (%) No Yes

  • 77% not licensed

City licencing fee (12%) City daily operating fees (7%) Vendor Association fee (3%)

slide-30
SLIDE 30

Food Retail Enterprise Characteristics

Main retailed food items

Food Product Percentage of retailers Fried cassava 2.1 Soft drinks 2.3 Cooking oil 2.5 Eggs 2.5 Sugar 2.5 Beans 2.7 Potato chips 2.9 Nsima 2.9 Pumpkins 2.9 Irish potatoes 3.3 Vegetables 3.7 Groundnuts 4.1 Bananas 4.3 Fresh fish 6.6 Rice 7.2 Bread 8.0 Tomatoes 10.7

slide-31
SLIDE 31

Food Retail Enterprise Characteristics

Source of products

Main Source of Food Product (%)

ADMARC Cash & Carry (Metro) Direct from farmer Formal market in Mzuzu Produced myself Prepared myself Informal Market in Mzuzu Market in another city or country Rural Market Small shops/retailers Supermarkets (Shoprite/PTC) Wholesaler

slide-32
SLIDE 32

Food Retail Enterprise Characteristics

0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 50.0 Enterprise Profitability (%) Profitable Less Profitable

slide-33
SLIDE 33

Food retailer business practices

0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 100.0 Transfer earnings home Purchase stock Purchase food for household Use for daily earnings

slide-34
SLIDE 34

Food retailer business practices

Motivation behind establishing an enterprise

0.0 10.0 20.0 30.0 40.0 50.0 60.0 Extremely important Very important Moderate importance Little importance No importance Need to have more money for survival (%)

slide-35
SLIDE 35

Food retailer business practices

Motivation behind establishing an enterprise

0.0 10.0 20.0 30.0 40.0 50.0 60.0 Extremely important Very important Moderate importance Little importance No importance Greater Financial Security to Family (%)

slide-36
SLIDE 36

Food retailer business practices

Source of capital (MK) Frequency Percentage Personal savings 258 53.2 Money gift from a relative 43 8.9 Loan from relatives within Malawi 33 6.8 Loan from a micro-finance institution 26 5.4

Source of business start-up capital

Mean Mode Minimum Maximum Start up Capital (MK) 55063.36 5000 200 1500000

Level of business start-up capital

slide-37
SLIDE 37

Food retailer business practices

Access to capital

  • The majority do not apply (454 respondents (93.2%) )
  • 31% perceived banks to be reluctant to lend money due to

Nature of businesses (informal) Insufficient guarantees/collateral Insufficient initial capital Banks believe these enterprises are not viable Banks fear defaults

slide-38
SLIDE 38

Food retailer business practices

Customer retention capacity

55 56 57 58 59 60 61 62 63 64 Discounts to regular customers Negotiate with customers on prices Set a standard markup across the items Giving credit to your regular customers Methods of customer retention

slide-39
SLIDE 39

Food retailer business practices

Retailer Business Strategy

20 40 60 80 100 120 Accept cash Accept ATM card Accept Mobile money Accept food or good Accept services Methods of Payment Yes No

slide-40
SLIDE 40

Food Retailer Business Environment

10 20 30 40 50 60 70 80 Experienced too few customers Suppliers charging too much Too many competitors around here Experienced insufficient sales Customers not paying their debts Competition from supermarket Business Challenges

slide-41
SLIDE 41

Conclusions

  • The food retailing system is driven by migrants and only

17.5% are from within Mzuzu with the majority being rural-urban migrants

  • Largely informal situated along roadsides with a high

concentration around the main market

  • Mainly start up enterprises of sole proprietorship (91%)

which are fairly new having been established over the past decade (68%)

  • Main product source is the formal market signifying a

strong formal-informal bond within the food retailing system