Financial efficiency of major soil and water conservation measures in West Usambara highlands, Tanzania

Soil and Water Conservation (SWC) measures are needed to control soil erosion and sustain agricultural production on steep slopes of West Usambara mountains. However, the adoption by farmers of the recommended soil and water conservation measures is low and soil erosion continues to be a problem. It could well be that the reason for the low adoption is that the costs to invest in soil and water conservation are higher than the eventual benefits. This research assessed the costs and benefits of bench terraces, grass strips and fanya juu, which are major SWC measures. Financial Cost Benefit Analysis (FCBA) was undertaken for farmers with low, moderate and high opportunity costs of labour at different slopes and soil types. The results show that labour is the major cost item in implementing SWC measures and is higher with bench terraces than with fanya juu and grass strips. The results also show that the costs of establishing the three SWC measures exceed the returns in the initial 2 years. However, in the long term, the three SWC measures are profitable to farmers with low to medium opportunity costs of labour on gentle to moderate slopes. It was also found that SWC measures are not financially attractive to most farmers with off-farm activities and other sources of income. It is concluded that high investment costs and initial negative returns are the major hindrances to the adoption of SWC measures by smallholder farmers in West Usambara mountains. Options to overcome the initial investment costs include the gradual investment in SWC measures, introduction of high value crops and small credit facilities. The promotion of dairy cattle under zero grazing system can also increase the adoption of SWC measures because of the high benefits from grasses used to stabilise SWC measures.