Whither the pin factory? Modern food supply chains and specialization in India

What is the relationship between smallholder participation in modern food supply chains and their degree of economic specialization? We investigate this research question by looking at whether there is a systematic relationship between whether a household grows crops for a supermarket chain—participation in the supermarket channel—and how concentrated among fewer crops are that household's total landholdings and its output. Using longitudinal data from India, we find that there is no relationship between whether a household participates in the supermarket channel and that household's Herfindahl–Hirschman index for land, but there is a robust statistically significant and negative relationship between whether a household participates in the supermarket channel and that household's Herfindahl–Hirschman index for output. These findings hold true at both the extensive margin (i.e., when considering whether a household participates in the supermarket channel) and the intensive margin (i.e., when considering how much of a household's marketed output is sold through the supermarket chain). This suggests that instead of fostering a greater degree of specialization, participation in modern food supply chains might lead to greater diversification.     

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 titling policy and soil conservation in the northern uplands of Vietnam

In Vietnam, a quasi-private property regime has been established in 1993 with the issuance of exchangeable and mortgageable long-term land use right certificates. Using primary qualitative and quantitative data collected in a mountainous district of Northern Vietnam, this paper investigates the role of the land policy in the adoption of soil conservation technologies by farmers. This issue is of crucial importance in the region where population growth and growing market demands have induced farmers to intensify agricultural production. While poverty has been reduced, environmental problems such as soil erosion, landslides, and declining soil fertility have become more severe over the past years. Our findings suggest that despite farmers’ awareness of erosion, soil conservation technologies are perceived as being economically unattractive; therefore, most upland farmers continue to practice the prevailing erosion-prone cultivation system. Focusing on agroforestry as one major soil conservation option, we estimate household and plot-level econometric models to empirically assess the determinants of adoption. We find that the possession of a formal land title positively influences adoption, but that the threat of land reallocations in villages discourages adoption by creating uncertainty and tenure insecurity. The analyses reveal that these two effects interact with each other but are of small magnitude. We conclude that the issuance of land titles is a necessary but not sufficient prerequisite to encouraging the adoption of soil conservation practices. However, current practices remain economically unattractive to farmers. This deficiency needs to be addressed by interdisciplinary research and complemented by strong efforts by local authorities to promote sustainable land use.     

The impact of water conservation and intensification technologies: empirical evidence for rice farmers in Ghana

This study employs the propensity score matching model to examine the impact of the adoption of water conservation and intensification technologies on farm output and income among small-scale lowland rice farmers in the Northern Region of Ghana. The matching was conducted based on the Mahalanobis distance combined with the propensity score. Balancing tests by checking the mean standardized absolute bias in the matched sample were conducted as well as a sensitivity analysis was conducted to check for hidden bias due to unobservable selection. The empirical results show a positive and significant impact of the adoption of bunds technology on input demand as well as a positive but insignificant impact on output supply and net returns. Adopters of the dibbling technology were found to have higher output supply, whereas no statistically significant difference was found between the incomes of adopters and nonadopters of dibbling seed method. The results, however, reveal a positive and significant effect on output and net returns when the dibbling method is combined with intensified weeding. The estimates were found to be relatively insensitive to hidden bias.