Cross bred cow adoption is an important and potent policy variable precipitating subsistence household entry into emerging bulk markets. This paper focuses on the design of policies that create and sustain milk-market expansion among a sample of households in the Ethiopian highlands. In this context it is desirable to measure a household's `proximity' to market in terms of the level of deficiency of an essential input. This problem is compounded by four factors.
Ethiopia has a diverse agro-ecology and sufficient surface and ground water resources, suitable for growing various temperate and tropical fruits. Although various tropical and temperate fruits are grown in the lowland/midland and highland agro-ecologies, the area coverage is very limited. For example, banana export increased from less than 5,000 tons in 1961 to 60,000 tons in 1972, but in 2003 declined to about 1,300 tons worth less than USD 350,000.