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Joint market participation choices of smallholder farmers and households’ welfare: evidence from Senegal

Alhassane Camara (University of Sherbrooke, Sherbrooke, Canada)
Anatole Goundan (Akademiya 2063, Dakar, Senegal)
Christian Henning (Kiel University, Kiel, Germany)
Luc Savard (Mohammed VI Polytechnic University, Ben Guerir, Morocco)
Assane Beye (Cheikh Anta Diop University, Dakar, Senegal)

Journal of Agribusiness in Developing and Emerging Economies

ISSN: 2044-0839

Article publication date: 25 February 2022

Issue publication date: 7 July 2023




There is much evidence in the literature showing the benefits of input market participation on farmers’ welfare. The same is true for participation in marketing. However, there are very few studies on the expected benefit of input market participation and marketing. This study fills this gap by examining the issue in the Senegalese context for food and cash crops.


The authors estimate a multinomial endogenous switching regression using a highly detailed 2017 agricultural survey in Senegal. They first identify factors that shape farmers’ decision to participate in the input market and marketing and then assess the impact of market participation choices on farmers’ profits.


The results show that the most profitable market participation regime depends on the crop under consideration. For food crops, joint participation in markets maximizes profit per hectare, while for groundnuts, the main cash crop in Senegal, participation in the input market is not necessary to maximize farm profit.

Research limitations/implications

Using panel data would improve the quality of estimations (time-variant effects) and help to consider the role of risk in output and input markets.


This paper helps to characterize different profiles of farmers based on their market participation and crop choices and provide policymakers with recommendations for maximizing farmers’ profit.



The authors would like to thank International Food Policy Research Institute and AKADEMIYA2063 for providing the data used in this study. The authors are grateful to Ousmane Badiane, executive of AKADEMIYA2063 for his support.


Camara, A., Goundan, A., Henning, C., Savard, L. and Beye, A. (2023), "Joint market participation choices of smallholder farmers and households’ welfare: evidence from Senegal", Journal of Agribusiness in Developing and Emerging Economies, Vol. 13 No. 4, pp. 537-554.



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