Smallholders' demand for and access to private‐sector extension services: A case study of contracted cotton producers in northern Tanzania

This paper examines demand for and access to private‐sector extension services by contracted cotton producers in northern Tanzania. Data from a non‐random survey of 520 smallholders show that only 21.9% received any extension and only 4.6% received extension from the cotton ginnery. Wealthier households were three times more likely to receive extension from any provider. While the public sector remains the main source of extension and is prioritized by smallholders, almost all households demanded extension from firms and are willing to invest 3 days per month mainly for advice on cotton and maize production. The involvement of third parties in the supply of extension from ginneries could not only meet smallholders' demands but could increase cotton supply and repayment rates to the firm, and thus finance the provision of missing extension advice.     

Preferences for land sales legalization and land values in Ethiopia

This study investigates attitudes towards legalizing land sales and Willingness to Accept (WTA) sales prices and compensation prices for land among smallholder households in the southern highlands of Ethiopia. Household panel data from 2007 and 2012 are used. The large majority of the sample prefers land sales to remain illegal, and the resistance to legalizing land sales increased from 2007 to 2012. While resistance against land sales was strongest among the most land poor in 2007, the relatively more land rich had become more negative towards legalizing land sales in 2012. Younger age and more education were not associated with a more positive attitude towards legalizing land sales. In the same period, perceived median real land values increased sharply but also exhibit substantial local variation with higher land values in areas with better market access. Stated minimum land sales prices increased with farm size in 2012. The substantial increase in perceived land values, high economic growth and outmigration of youth have yet to persuade the rural population in southern Ethiopia to open the land sales market.     

Subsistence and semi‐subsistence farming in selected EU new member states

Factor analysis and cluster analysis are used to analyze the attitudes and perceptions of agricultural households toward farming, commercialization, and barriers to and drivers for increased integration in agricultural markets. Data come from farms in five EU New Member States. The contribution of unsold output to total household income is valued. Stepwise linear regression is employed to detect variables useful in explaining the degree of agricultural market integration of farm households. The analysis indicates that subsistence farming is of utmost importance for the rural poor, particularly in Bulgaria and Romania. The proportion of consumption from own production, manual cultivation techniques, and distance to an urban center are negatively correlated with output sales. Rural development policies targeted at rural physical and market infrastructure might relieve some of these constraints.     

Production costs and input substitution in Zimbabwe's smallholder agriculture

In this study, we estimate production costs and elasticities of factor substitution for Zimbabwean smallholders, using a dual (cost function) approach with detailed data on prices paid and received by each of 65 farms across six survey sites over two years. We find that 95% of observed farm choices are consistent with optimal input use, and that there is moderate substitutability between labor, biochemical inputs and capital. These results indicate that farmers can substitute between factors as relative prices change, particularly to increase labor use as the rural population grows. By stratifying our sample, we investigate the degree to which production costs differ among the socioeconomic groups, tsting for higher costs among female-headed households (who might be subject to gender discrimination), resource-poor farmers without their own draft animals (who might have less timely operations), and isolated farms far from paved roads (who might have less access to markets and information). We find significant support only for the paved-roads effect, indicating the importance of rural infrastraclure in determining production costs.     

Food risk perceptions by different consumer groups in Germany

This paper presents an analysis of the changing food risk perceptions of German consumers over the period 1992 to 2002. We analyse the respondents' general risk attitudes and their specific perceptions of food risks. Using cluster analysis we generate a typology of four consumer types. One group is worried about natural food risks, the second does not worry about any types of food risks, the third is concerned about technical food risks and the fourth is concerned about all food risks. A multinomial logit analysis identifies factors that describe the classification of households in this grouping. General risk attitudes and knowledge about food risk are significant variables in the explanation.     

Market and Other Factors Affecting Farm Specific Production Efficiency in Pig Production in Vietnam

ABSTRACT

In developing country production environment, farm production efficiency is often measured in terms of on-farm resources and producer characteristics. In this paper we postulate that input and output market related factors also influence farm production decisions hence its efficiency. Stochastic frontier production function was used to assess technical efficiency and its determinants including input and output market variables for a sample of 1962 pig farms in Vietnam with data collected in 1999. There are significant differences in production behavior and efficiency level between the North and the South, among farms producing different breeds, between mixed and specialized farms, between household and commercial farms, and among producers located in different agro-ecological regions. Access to better output market, land size, herd size, and education of household head significantly reduced inefficiency, while access to government supplied inputs, age of household head, female headed households and family supplied crude feeds significantly increased inefficiency in both the regions. The direction of influence on efficiency differs between the two regions for access to credit, proportion of output sold at market rather than at farm gate and family labor supply. Generally, market related factors had more consistent influence on production efficiency in the South of Vietnam where the experience of market economics is longer compared to the North. Policy actions on providing better extension, more timely access to better quality inputs through the private sector, making credit more easily accessible to smallholders and opportunity to sell output at better priced secondary markets are expected to increase productivity and reduce inefficiency.     

Can the Internet improve agricultural production? Evidence from Viet Nam

This paper aims to contribute to the growing literature on the potential benefits of the Internet on rural livelihoods. We estimate the relationship between Internet access and agricultural production in rural Viet Nam using a panel dataset from 2008–2012. This is a time span during which Internet access increased substantially and government‐run and private online outlets providing information about agriculture started to operate. Our findings suggest that Internet access is associated with a 6.8% higher volume of total agricultural output. We find that this result is manifested through more efficient use of fertilizer. Our findings are stronger for younger households. The less developed northern provinces have benefited the most from the arrival of the Internet. The results are weaker in the case of rice, which is related to strong government involvement in rice production and prices.     

The impacts of information on returns from farming: evidence from a nationally representative farm survey in India

Using a nationally representative sample of farm households from India, this paper examines the impact of use of information on net farm incomes. Employing methodologies that mitigate potential biases in the estimation of the impact, the empirical results show that farmers who use information realize over 12% higher net returns per hectare. The paper also establishes a pecking order in access to information. Small farmers and those at the bottom of social hierarchy (based on caste) have access to fewer information sources, and they depend more on informal social networks and input dealers for their information needs. The larger farmers and those from upper caste rely relatively more on sources such as radio, television and newspaper.     

新疆棉花生产要素成本收益及规模报酬变动趋势研究基于465户农户问卷调查数据

目的 由于生产要素的价格稳步攀升,新疆棉花生产成本过高,加上新疆棉花销售回归市场,价格不稳定,导致棉花生产风险增大,棉农种棉积极性降低。文章通过对新疆棉花成本收益及规模报酬变动趋势的研究,为棉农生产决策和政府政策提供参考。方法 在对新疆棉农问卷调查的基础上,研究棉花种植规模变动下生产要素的规模报酬。在二次函数的基础上寻找生产要素投入成本较低,收益最大的植棉规模,运用多元线性回归模型分析棉花生产要素投入对植棉成本的影响,以及不同植棉规模下生产要素对棉花产量增加的贡献程度。结果 新疆农户棉花生产的单位面积成本和收益随着户均种植规模的变化呈二次曲线变化;单位面积成本随着种植规模扩大,先下降,超过一定规模后上升,成本最低植棉规模为3.56hm²;单位面积收益随着种植规模扩大,先增加,超过一定规模后下降,收益最高的植棉规模为4.67~5.33hm²。研究发现,户均种植规模在2.5~4.5hm²时,土地费用、机械作业费、水电费、雇工费用投入对棉花产量的贡献较大,规模在7~10hm²时,化肥投入对棉花产量的贡献较大;农药、地膜、滴灌带等物质投入未体现规模趋势。结论 新疆农户棉花生产的成本和收益随着种植规模不同而变化的趋势符合规模经济原理,存在最优种植规模;在不同种植规模下,各种要素投入对新疆农户棉花产量的影响差异明显。因此,要引导棉农合理投入生产要素,降低成本,增加收益。     

Is Oligopoly a Condition of Successful Privatization? The Case of Cotton in Zimbabwe

Zimbabwe embarked on market liberalization in the early 1990s, leading towards increasing participation of private capital in the agricultural sector. This paper examines the emergent shape of the private marketing chain for cotton in Zimbabwe, based on fieldwork conducted in the 1999-2001 cotton marketing seasons. The privatization of the cotton marketing board replaced state monopoly with private oligopoly and competition is still seriously underdeveloped, especially on price. However, because of a concentrated market and collective private action, important aspects of earlier systems of coordination have been maintained, preventing downgrading of Zimbabwean cotton lint after liberalization. The paper concludes with a discussion about (absence of) competition and commodity system sustainability in liberalized markets.     

目标价格改革对新疆棉农收入的影响机理及实证研究——基于南疆四地州370个样本农户的实地调查

[目的]通过探讨目标价格改革对棉农收入的影响机理,揭示影响南疆四地州棉农增收的主要因素。[方法]从棉农角度出发,基于南疆四地州370个样本农户的实地调研数据,结合当地特有的自然地理、农业生产、社会经济条件以及目标价格政策实施状况,理论分析目标价格补贴对棉农增收的作用机理,并运用多元线形回归模型实证分析目标价格补贴政策等对棉农收入的作用方向和影响程度。[结果]户主受教育程度、是否外出务工、社会关系、棉花种植面积、县域经济发展水平和棉花销售价格等对棉农人均收入均存在显著影响。[结论]基于此,要避免将补贴化为主要的收入保障措施,继续加快土地流转,扩大棉农财产性收入来源,加快新型职业农民培育,发展农民职业教育,加快县域经济发展,多管齐下,破解制约南疆民族地区棉农增收难题。     

Incomplete Credit Markets and Commodity Marketing Behaviour

We use a simple theoretical model of seasonal market participation in the presence of liquidity constraints and transaction costs to explain the ‘sell low, buy high’ puzzle in which some households do not take advantage of inter‐temporal price arbitrage through storage and sell output postharvest at prices lower than observed prices for purchases in the subsequent lean season. We test our model with data from western Kenya using maximum likelihood estimation of a multivariate sample selection model of market participation. Access to off‐farm income and credit indeed seem to influence crop sales and purchase behaviours in a manner consistent with the hypothesised patterns.     

Is off-farm income reforming the farm? Evidence from Mexico

Does access to off-farm income complement or compete with agricultural production? This article explores the effect of off-farm income on agricultural production activities, using data from the 2003 Mexico National Rural Household Survey. We first discuss the theoretical conditions under which access to off-farm income may influence production in an agricultural household model. Instrumental-variable (IV) estimation methods are then used to test whether agricultural production activities, technologies, and input use differ between households with and without access to off-farm income. We find that off-farm income has a negative effect on agricultural output and the use of family labor on the farm, but a positive impact on the demand for purchased inputs. There is also a slight efficiency gain in households with access to off-farm income. Findings offer insights into how household production evolves as rural households increasingly engage in off-farm income activities.     

Land Markets, Risk and Distress Sales in Nicaragua: The Impact of Income Shocks on Rural Differentiation

Farmers in the Nicaragua countryside face substantial risk due to legal uncertainty regarding property rights, price fluctuations and limited access to rural financial markets. Income shocks can lead to obligations to sell land, can fuel differentiation processes, and can drive people into poverty. We review empirical evidence on income shocks and related distress sales by households of different wealth endowments. From panel data of the 1995 and 2000 land market surveys, estimates are made to identify relevant farm household characteristics and the market forces that determine distress sales. Results show that small farms are most affected by idiosyncratic shocks and usually try to adopt a defensive strategy based on reduced consumption to retain their land resources. In the long run, this strategy occasionally succeeds in preserving land ownership and maintaining income at higher levels than those enjoyed by landless peasants. But the pressures towards distress sales can, nevertheless, be powerful, and different responses to income shocks by poor, middle and rich peasants are likely to increase rural differentiation.     

Urban proximity,demand for land and land shadow prices in Malawi

We assess the spatial and intertemporal variation in farmland prices using per hectare minimum willingness to accept (WTA) sales and rental (shadow) prices in Malawi. We use three rounds of nationally representative farm household panel data from the Living Standards Measurement Surveys (LSMS), collected in 2010, 2013 and 2016. The sample is split in quintiles based on distance from the nearest major city, building on the land valuation and transaction cost theory, and agrarian political economy perspectives on global and national land transactions. Generally, farmland shadow prices decrease with distance from urban areas. However, farmland shadow sales prices increased more sharply between 2010 and 2013 in rural areas (+100 % vs +30 % in urban proximity). The results indicate that the sharp increase in demand for large-scale land transfers following the sharp increase in energy and food prices also affected rural smallholders’ land valuation, even in remote rural areas of Malawi. Conversely, by 2016 land shadow sales prices were again, like in 2010, about three times as high in areas near urban centres compared to remote rural areas. Even though sales prices declined in remote rural areas from 2013 to 2016, rental prices remained high. Using farm household-level population pressure variable, we show that local population pressure is a driver of farmland shadow prices, indicating land scarcity challenges, growing demand for land, and poorly developed land markets. With increasing land scarcity, land markets are becoming more important and need to be factored in when formulating development policies that aim to improve access to land in both peri-urban and rural areas.     

Internet Access and Farm Household Income – Empirical Evidence using a Semi‐parametric Assessment in Taiwan

There is considerable literature examining individuals’ behaviour with respect to Internet use, but less attention is paid to farm household use of the Internet. Among the few studies on farm households, the emphasis is on the correlation between socioeconomic factors and the adoption of the Internet. Thus, relatively little is known about the association between Internet use and farm household well‐being. In an effort to fill this void, this paper investigates Internet access among farm households and examines the effects of Internet access on farm household income. Given the observed income gap between Internet users and non‐users, we then investigate the extent to which socioeconomic factors may be associated with this income gap. Using a nationwide survey of farm households in Taiwan, a novel econometric model is proposed and estimated employing a semi‐parametric technique. Our results support the conclusion that Internet use improves farm household income. Most of the income gap between adopters and non‐adopters can be explained by the differences in the return of the socioeconomic factors.     

互联网使用促进农户创业增益了吗？——基于内生转换回归模型的实证分析

本文从互联网采购和互联网销售参与两个方面表征互联网使用,依据陕西、宁夏和山东831户创业农户调查数据,运用内生转换回归(ESR)模型,探究了互联网使用对农户创业绩效水平的影响效应,并采用Fields分解法检验了互联网使用对农户创业绩效差距的作用方向及程度。研究结果表明,农户参与互联网采购和互联网销售均显著提升了其创业绩效。基于反事实假设,参与互联网采购和互联网销售农户若未使用互联网采购及互联网销售,其创业绩效分别下降12.79%和4.54%;未参与互联网采购和互联网销售农户若使用互联网采购和互联网销售,其创业绩效分别提升44.15%和14.19%,即参与互联网采购对农户创业绩效水平的正向影响大于参与互联网销售的正向作用。研究进一步证实,互联网使用扩大了农户创业绩效差距,参与互联网采购和互联网销售对农户创业绩效差距的贡献率分别为5.51%和3.94%,即参与互联网采购对农户创业绩效差距的贡献率大于参与互联网销售的贡献率。     

Food versus fuel: examining tradeoffs in the allocation of biomass energy sources to domestic and productive uses in Ethiopia

Rural households in Ethiopia have limited options to meet their domestic energy needs because they lack access to modern fuels and technologies. Domestic use of certain fuel sources, such as cow dung, can hinder agricultural outcomes and productivity. This article explores the tradeoffs between domestic and productive uses of biomass energy sources in the Nile Basin of Ethiopia using a nonseparable farm household model where labor allocation to energy collection and farming are analyzed simultaneously. We estimate a system of five structural equations using three‐stage least squares and find that the use of dung as a domestic fuel source has negative implications for the value of harvested crops, while use of on‐farm fuelwood is associated with increased value of agricultural output. On‐farm production of fuelwood appears to increase the value of crop output and provide labor savings, by making fuelwood collection more convenient for households. Policy interventions to support the expansion of agroforestry and increase access to new energy‐efficient technologies are needed to ensure that agricultural productivity can be both increased and sustained.     

Cattle sharing and rental contracts in an Agrarian economy: evidence from Ethiopia

Empirical evidence on the role of cattle sharing and rental contracts in agrarian economies is limited. This article is an investigation of different types of cattle sharing and rental contracts producers in rural Ethiopia adopt. It also investigates why households in rural Ethiopia rely on these contracts that are vulnerable and therefore subject to potential moral hazard problems described in earlier literature. We apply random effect probit and control function econometric methods to household panel data collected in 2005 and 2007 from two agro‐ecological zones in Ethiopia. Controlling for the endogeneity of access to livestock credit, we find that contracts are spatially fragmented and better developed where population density is high and credit and insurance markets are poorly developed. We also find that contracts help cash poor and credit constrained households to improve their herd dynamics, to get access to nonlivestock resources (land, labor and cash) and share risks that could have been difficult without the contract. We show that contracts are rational responses of residents in rural communities characterized by imperfect credit and insurance services, since households with better access to credit are less likely to rely on contracts.     

Cash cropping and food crop productivity: synergies or trade‐offs?

The case for promoting export‐oriented cash crops in Africa has generally been based on their direct potential contribution to agricultural productivity and small farmer incomes. A relatively neglected avenue of research concerns the synergistic effects that cash cropping can have on other household activities, including food production. The conventional view that cash crops compete with food crops for land and labour neglects the potential for cash crop schemes to make available inputs on credit, management training, and other resources that can contribute to food crop productivity, which might otherwise not be accessible to farmers if they did not participate in cash crop programs. This article builds on previous research by hypothesising key pathways by which cash crops may affect food crop activities and empirically measuring these effects using the case of cotton in Gokwe North District in Zimbabwe. Analysis is based on instrumental variable analysis of survey data on 430 rural households in 1996. Results indicate that—after controlling for household assets, education and locational differences—households engaging intensively in cotton production obtain higher grain yields than non‐cotton and marginal cotton producers. We also find evidence of regional spill‐over effects whereby commercialisation schemes induce second round investments in a particular area that provide benefits to all farmers in that region, regardless of whether they engage in that commercialisation scheme. The study suggests that the potential spill‐over benefits for food crops through participation in cash crop programs are important to consider in the development of strategies designed to intensify African food crop production.