Factors Affecting the Performance of Milk Processing Plants in Kampala District, Uganda.

Abstract

The study examined the factors affecting the performance of milk processing plants in Kampala district, Uganda. The study specifically focused on: assessing the effect of credit access on the performance of milk processing plants; examine the effect of entrepreneurial behavior of processors on the performance of milk processing plants in Kampala district and establish the effect of market demands for processed milk on the performance of milk processing plants in Kampala district. This study was descriptive in design. It worked with two approaches that is; quantitative and qualitative approaches. The study worked with a sampling framework of 255 participants with a sample size of 144 respondents. This was obtained through purposive and systematic random sampling techniques. Findings revealed that there is a significant effect of credit access on performance of milk processing plants in Kampala district. The second finding indicates that there is a significant effect of entrepreneurial behavior of processors on performance of milk processing plants in Kampala district. It was found out that there is a significant effect of market demands for processed milk on performance of milk processing plants in Kampala district. It was concluded that credit access, entrepreneurial behavior of processors and market demands for processed milk have a positive effect on performance of milk processing plants in Kampala district. Thus, it was recommended that to achieve optimum performance in milk processing plants in Kampala district, there is a need to empower the owner of processing plants especially in the field of financial literacy and financial management.