Dissertation (MA Development Studies)This study was conducted in four villages namely Mpunguzi, Mbabala, Bihawana and Mvumi in Dodoma region, Tanzania. Objective of the study was to analyze factors limiting contribution of wine grape farming to the improvement of livelihood of small scale farmers. The specifically the study intended to analyze social economic characteristics of small scale wine grape farmers, to analyze the wine grapes marketing system and to analyze challenges facing wine grape small scale farmers in the study area. Data was collected using interviews, Focused Group Discussion and Observations. The study involved 100 head of households and 14 key informants. Data was analyzed descriptively using the statistical package for social sciences (SPSS). Results indicate that majority head of households involved in grape wine farming were males at middle age group. Results on marketing system revealed that all most all (100%) of the wine grape farmers sell their products at farm. Majority (100%) of wine grape farmers sell their products to the middlemen, while few (3%) sell their wine grape products to the processing industry. Results indicate that middlemen are the main price setter. However, majority (80%) of farmers are not satisfied with the prices offered. Results on poverty among wine grape farmers indicate that majority (87%) of the wine grape farmers own bicycle as a means of transport while all most all (98%) of wine grape farmers own mobile also majority(68%) of wine grape farmers use charcoal as a source of energy and only 26% own permanent houses. Major constraints facing Wine grape farmers include lack of reliable of market (90%), agriculture extension officer (87%), and capital. Options to improve livelihood of wine grape farmers include stable market and prices, provision of Agriculture Extension Services, provision of credit to farmers, affordable price of agriculture inputs and provision of training.