Ecological Impact in Northern Tanzania Using Heckman AI Two-Step Selection Model

This study explores the determinants of impact on ecology in Northern Tanzania. By examining key socio-economic, institutional, and structural factors influencing engagement the study provides insights in strengthening agribusiness networks and improving livelihoods. Data was collected from 215 farmers and 320 traders through a multistage sampling procedure. Heckman AI sample selection model was used in data analysis whereby the findings showed key factors influencing farmers’ decisions on ecology were gender and years of formal education at p < 0.1, and access to finance and off-farm income at p < 0.05. The degree of farmers participation in social groups was influenced by age, household size, off-farm income and business network at p < 0.05, number of years in formal education and access to finance at p < 0.01, and distance to the market at p < 0.1. The decision of traders to impact on ecology was significantly influenced by age and trading experience at p < 0.1. Meanwhile, the degree of their involvement in social groups was strongly affected by gender, formal education, and trust at p < 0.01, as well as by access to finance and business networks at p < 0.05. The study concluded that natural ecology is influenced by socio economic and structural factors but trust among group members determine the degree of participation. The study recommends that strategies to improve agribusiness networks should understand underlying causes of impact on ecology and strengthen available social groups to improve performance of farmers and traders.