Journal of continuing Education and Extension, 2015; 6 (1): 1053-1068The project focused on milk value chains in Iringa Municipality and Tanga City with a view to draw specific impacts of urban dairy farming on income and poverty levels. These towns represent two distinct milk collection and marketing arrangements. Milk marketing in Iringa Municipality is generally through informal' outlets. In contrast, milk from farmers in Tanga is pooled for sale to processors including (M/s Tanga Fresh Ltd) and Ammy Dairies. The two cases describe similar market arrangements also found elsewhere in Tanzania.