Abstract:
The main purpose of the study was to understand post-harvest losses of chili and its impact on the profitability of chili production among smallholder farmers in Lira district. The specific objectives were to validate the different causes of post-harvest losses in chili among smallholder farmers in Barr sub county Lira district and to effects of the post-harvest losses on the profit margins. The study employed a cross sectional design where of both qualitative and quantitative research data were obtained with the help of questionnaire and interview guide as instruments for data collection. Purposive and simple random sampling techniques were used in selection of study sites and respondents, respectively. The study findings showed that the causes of post-harvest losses included moldings and the major cause of post-harvest losses was placing the sacks direct on the ground as one major cause of post-harvest losses and the percentage of chili pods loss during drying at 10-29%, and this affects the profit margins of smallholder farmers because it decreases the quantity of chili harvested. The study concluded that the small holder farmers make losses especially after harvesting their products. The losses they make hinder the process of improving the efficiency in marketing through the reduction of production and marketing costs and appropriate use of appropriate inputs and on the issue of post-harvest losses on the profit margins of smallholder farmers producing chili, Smallholder farmers should be provided with a variety of seeds and capital as a way of helping them grow chili on large scale in order to increase on their profit margin. The study recommended that the farmers should invest on infrastructural projects that are key in supporting the chili business, reduce the input costs for chili farming, stabilize chili prices especially from the farm level, provide support services to farms to increase productivity, 'the use of improved chili varieties, use of proper fertilizer, use of credit -provides resources for acquisition of inputs and increasing level of technical know-how in the dynamic chili farming industry.
