Archives of Current Research International

Aims: To assess butter production and marketing systems in selected districts of Oromia, Ethiopia, by evaluating production practices, marketing channels, and identifying major constraints.

Study Design: Cross-sectional study.

Place and Duration of Study: Ejere and Welmera districts, Oromia, Ethiopia ,2024        

Methodology: Six kebeles were selected purposively based on dairy production potential. A total of 138 sample respondents were selected using simple random sampling technique with proportionality. Data were collected through surveys and interviews.  Data were analyzed using SPSS Version 25.

Results: A significant majority (84.8%, n=117/138) of respondents produced surplus milk. All producers (100%) processed milk into butter, but only 85.5% (n=118/138) engaged in selling it. Butter production served both home consumption and market purposes for 73.9% (n=102) of respondents. The main marketing actors were retailers (55.8%)(N=90/138), middlemen (20.3%N=32.8/138)), and wholesalers (20.3%) N=32.8/138), with minimal direct consumer involvement (3.6%).

Conclusion: Butter production is a common practice primarily for dual purposes of home use and income. The marketing system is dominated by intermediaries. Major constraints include animal feed scarcity, disease prevalence, low milk yield, price fluctuations, and inadequate collection centers. Enhancing extension services for improved livestock management, focusing on processing for value addition, and developing stronger market linkages are recommended to address these challenges.