Assessment of Warehouse Receipt System Role in Improving Small Holder Farmers Income; A Case of Cashew Nuts Farmers in Mtwara Region

Although agriculture is the main source of income for the majority of Tanzanian’s the sector is not well developed, especially on agricultural marketing. The major objective of this study was to assess the Role of Warehouse Receipt System (WRS) in improving the small holder farmer’s income (case study cashew nuts farmers in Mtwara Region) More specifically, the study intended to analyze the relationship between production, price, storage and cashew nuts farmers income increase at Mtwara region to analyze the relationship between policy made for Warehouse Receipt System at Mtwara region. The survey covered the cashew nuts farmers in MAMCU (Mtwara and Masasi Cooperative Union) and TANECU (Tandahimba and Newala Cooperative Union) various primary societies Mtwara District, Mtwara Rural, Nanyumbu, Masasi, Newala and Tandahimba. (Michiga, Chiungutwa, Lengo, Naliendele, Mtawanya and Nanguruwe) who make production of cashew nuts at Mtwara region were used, coaster and mini buses. The major finding from the study is that the price increase or set by in Warehouse Receipt System is the cause of the improving of smallholder farmers income thus is beneficial to farmers to adopt a better life. Among other factors, perceived general WRS operation is the influential factor in determining customer’s satisfaction in WRS. The study findings indicated that there was a positive and significant relationship between perceived WRS service provided and customer’s satisfaction in Warehouse Receipt System operation