Economic value and environmental impacts of multipurpose small scale enterprises of plant nursery beds mainly established nearby water bodies flowing within or in the vicinity of Mbarara municipality, Mbarara district, western region of Uganda.

Abstract

It was important to conduct this study because it was meant to avail information about the cost benefit analysis of small scale multipurpose nursery beds. This was to help nursery beds to assess the sustainability of the activity and to consider nursery operation as an economic activity. This study also was meant to avail stake holders with relevant information in order formulate an implement policies effectively. The study aimed at identifying the economic importance of urban rivers. This was achieved using nursery beds to identify inputs extracted whose value is attached to the river by establishing the Willingness to Pay for such inputs. The case study of the study was Mbarara municipality. The overall objective was to contribute to the knowledge of the economic importance of river Rwizi to the production of tree nursery beds in Western Uganda, The study was cross sectional and used both qualitative and quantitative approaches to collect data, analyse and present it. The methods of data collection used were interviews, questionnaires and field observations and the statistical analyses were to find out levels of significance and correlation of different variables. The data was collected from a sample of 80 respondents These were from Nyamitanga nursery site, Rwebikoona, NFA, and Itendero sites where nursery beds are mostly operated. Data was collected by means of a questionnaire and by field observations. The study used Cost Benefit Analysis to analyse the feasibility of decisions made by nursery operators in Uganda basing on the findings of the study, it was established that nursery activities are of a significant economic importance. It was found out that due to the more benefits than costs the nursery activity has continued as an economic activity. The policy makers should therefore use this research to evaluate the major threats along river Rwizi to put up measures to conserve the river. Also, due to the presence of River Rwizi that provides more inputs, the costs are reduced and hence more willingness to pay for the conservation of River Rwizi. More so, further research should be done to enhance the findings of this study. Key words: River Rwizi; Nursery beds, Livelihoods, Environmental impacts, Cost Benefit Analysis, Mbarara, Western Uganda