From margins to markets: overcoming stakeholder and information barriers in south Omo’s pastoral livestock trade, Ethiopia

Abstract

Livestock marketing plays a vital role in Ethiopia’s economy, especially in pastoral regions such as South Omo, where it supports livelihoods, income generation, and market integration. This study examined stakeholder coordination, broker dynamics, market information access, and governance in four districts (Benatsemay, Dasenech, Nyangatom, and Hamer) using qualitative methods, including key informant interviews, focus group discussions, and market observations. The findings indicate that, although informal institutional arrangements, such as steering committees and role definitions, are in place, their practical effectiveness is constrained by weak coordination, fragmented communication, and inconsistent implementation. This situation appears to create governance gaps within which brokers play a central but dual role. While they facilitate transactions by linking buyers and sellers, their influence, reinforced by limited market information and weak regulatory oversight, enables them to shape price formation and information flows. Access to reliable and timely market information was found to be limited, with pastoralists largely relying on informal sources and intermediaries. This contributes to information asymmetry, which may weaken their bargaining position and affect market outcomes. The livestock marketing system is further characterized by a multi-layered and partly informal structure, with a significant proportion of transactions occurring outside formal market settings. Overall, the findings suggest that market inefficiencies are associated with the interaction of weak coordination, information asymmetry, and informality, rather than the absence of institutional frameworks. Strengthening the implementation of existing coordination mechanisms, improving regulatory enforcement, and enhancing access to reliable market information are critical areas for improving pastoral market participation and outcomes.