Quantifying our impact: A modelling framework to estimate the economic benefits of our initiatives

As an organisation with a wide geographic footprint across Africa and South Asia, it is challenging to assess the impact of our programmes at scale using rigorous field studies. However, together with our wider network of funders and partners, we need to know that the investments we are making are producing productivity and income benefits for small-scale livestock producers (SSPs) that warrant the financial investment in these initiatives.

In this regard, we partnered with Supporting Evidence based Interventions-Livestock (SEBI-L) to develop a model for practical use for our market development programmes. The model is used to estimate the economic impact of the initiatives on SSPs, prioritise product development decisions, and to direct market development effort. Furthermore, these analyses can be used to advocate for further investment in the SSP animal health sector.

In a paper published in Frontiers in Veterinary Science, the model was applied to estimate the impact of products sold during GALVmed’s People and Livelihoods 2 (PL2) programme. The PL2 programme, which was implemented between 2014 and 2017 in Africa and South Asia, supported the production and distribution of poultry anthelminthics and vaccines against Newcastle disease, fowl pox, sheep and goat pox, peste des petits ruminants, and East Coast fever.

The modelling framework

The model is conceptualised in terms of three components:

  • Products: this includes sales of products and the number of animals that are expected to be treated with the product (depending on the different pack sizes).
  • Disease epidemiology: this comprises the conditions that are treated, number of infections, mortality rates and impact on growth rate.
  • Economics: this comprises losses from reduced productivity and losses from livestock mortality.

The economic impacts from mortality and growth inhibition are estimated at the individual animal level for poultry, small ruminants, and cattle. As SSPs are using veterinary products to prevent or minimise loss due to disease, we model the key ways in which those losses are experienced by SSPs and estimate the proportion of those losses that are averted by using specific animal health products. By factoring in the cost of the product and the number of doses sold, we give the net economic benefit (NEB).

The model can be adapted to incorporate new products and parameters as needed. The framework will evolve as GALVmed initiatives change over time.

The results

The model estimates a total NEB of $105.1M to the 3,664,114 customers reached by the PL2 initiatives. This translates to $139.9M in present value, and $37.97 on average per customer, many of whom were small scale poultry producers.

Within Sub-Saharan Africa, the greatest net economic benefit was realized from vaccines against East Coast fever and Newcastle disease, while in South Asia, peste des petits ruminants and Newcastle disease vaccines had the greatest net economic benefits.

The paper with the complete results and analysis is available here: A high level estimation of the net economic benefits to small-scale livestock producers arising from animal health product distribution initiatives.

By understanding how GALVmed’s interventions translate into economic benefit for SSPs, we can continuously refine and optimise our approaches, ultimately driving a greater positive change in the economic progression and well-being of SSPs across Africa and South Asia.

This blog was written by the M&E team.