Search results

1 – 10 of over 4000
Article
Publication date: 16 February 2024

Ganesh Thapa, Yam Kanta Gaihre and Dyutiman Choudhary

The purpose of the study is to estimate the willingness to pay (WTP) for major chemical fertilizers and revisit the fertilizer subsidy policy in Nepal.

Abstract

Purpose

The purpose of the study is to estimate the willingness to pay (WTP) for major chemical fertilizers and revisit the fertilizer subsidy policy in Nepal.

Design/methodology/approach

We surveyed 619 households from six districts and assessed farmers’ WTP for urea, diammonium phosphate (DAP) and muriate of potash (MOP) during the fertilizer crisis. Our study elicited the WTP for fertilizers when fertilizers were not available on the market. A modified payment card approach was used to elicit farmers’ WTP.

Findings

The study found that farmers who buy fertilizer from agrodealers, buy from gray markets, have bank accounts, are willing to take a risk, have strong or medium economic conditions and incur higher travel costs have a higher WTP for fertilizers. Farmers in sampled areas, on average, are willing to pay 31 percent more for urea, 13 percent more for DAP and 19 percent more for MOP than the government recommended fertilizer price.

Research limitations/implications

The design of the payment card and the estimation techniques used to fit the valuation function are likely to influence WTP.

Originality/value

Overall, literature on households’ WTP for fertilizers in developing countries is scarce. Our study contributes to the knowledge of WTP for fertilizers.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2044-0839

Keywords

Case study
Publication date: 24 November 2023

Eduardo Russo and Ariane Roder Figueira

Upon completion of this case study, students are expected to be able to reflect on strategic industry sectors and the formulation of long-view public policies; understand some of…

Abstract

Learning outcomes

Upon completion of this case study, students are expected to be able to reflect on strategic industry sectors and the formulation of long-view public policies; understand some of the main biases that affect making decisions in environments of high uncertainty; and build and apply judgment models to support decision-making processes.

Case overview/synopsis

Motivated by recent international events responsible for causing supply shock and great volatility in the price of imported fertilizers, Brazil, which in 2022 was responsible for producing only 15% of all the fertilizer consumed by its agribusiness, ran against time by launching a new national fertilizer plan (PNF). The plan proposed to boost Brazil’s national fertilizer industry to fulfil a long-term vision of reducing the country’s external dependence by 2050. While awaiting the first results of the PNF, this case study casts the student participants in the role of Breno Castelães, chief advisor of the special secretariat for strategic affairs of the presidency of the republic, whose role is to recommend the country’s position in the face of external pressures to adopt international embargoes of Russian fertilizers because of its war with Ukraine.

Complexity academic level

This case study is suitable for undergraduate and graduate students of business administration and public management courses who want to deal with topics such as public policy, judgment and decision-making.

Supplementary material

Teaching notes are available for educators only.

Subject code

CSS 10: Public sector management.

Details

Emerald Emerging Markets Case Studies, vol. 13 no. 4
Type: Case Study
ISSN: 2045-0621

Keywords

Article
Publication date: 2 November 2023

Nivaj Gogoi

The modernization of the agro-based industry has encouraged the application of inorganic fertilizers to increase productivity. However, such fertilizer emissions may pose harmful…

Abstract

Purpose

The modernization of the agro-based industry has encouraged the application of inorganic fertilizers to increase productivity. However, such fertilizer emissions may pose harmful environmental effects in the long run. This study aims to empirically explore the matter by applying the environmental Kuznets curve (EKC) hypothesis in the Indian agro-based industry.

Design/methodology/approach

The study builds two models considering nitrous oxide emission levels from inorganic (synthetic) and organic (manure) fertilizers to evaluate the safer option for the environment. The validity of an industry-specific EKC (IEKC) is tested for the models considering time series data from 1975 to 2019. Here, the autoregressive distributed lag model is applied for the 45 years long time series analysis to test the hypothesis with respect to inorganic and organic fertilizers emissions.

Findings

The existence of the IEKC is rejected by the inorganic fertilizer emissions model. Its U-shaped curve implies that applying such fertilizers will gradually cause degrading environmental effects. On the other hand, the organic fertilizer emissions model supports the existence of an inverted U-shaped IEKC. It proves that organic fertilizers are a better choice for safeguarding the environment in the long run.

Originality/value

Applying the EKC hypothesis on an industrial level can signify whether an industry worsens the environment in the long run. However, very few studies have explored such an application of the hypothesis in the past. Moreover, the literature could not find any previous study exploring the environmental effects of inorganic and organic fertilizers by analyzing the EKC hypothesis. The hypothesis can offer such insights with simplified empirical assessment.

Details

Indian Growth and Development Review, vol. 16 no. 3
Type: Research Article
ISSN: 1753-8254

Keywords

Article
Publication date: 15 November 2022

Bismark Amfo, Adinan Bahahudeen Shafiwu and Mohammed Tanko

The authors investigated cocoa farmers' access to subsidized fertilizer in Ghana and implications on productivity.

Abstract

Purpose

The authors investigated cocoa farmers' access to subsidized fertilizer in Ghana and implications on productivity.

Design/methodology/approach

Primary data were sourced from 435 cocoa farmers. Cragg hurdle and two-step Tobit model with continuous endogenous regressors/covariates were applied for the drivers of cocoa farmers' participation in fertilizer subsidy programme and productivity. Propensity score matching (PSM), inverse-probability weights (IPW) and augmented inverse-probability weights (AIPW) were applied for productivity impact assessment of fertilizer subsidy.

Findings

All the farmers were aware of fertilizer subsidy for cocoa production in Ghana. Farmers became aware of fertilizer subsidy through extension officers, media and other farmers. Half of cocoa farmers benefitted from fertilizer subsidy. Averagely, cocoa farmers purchased 292 kg of subsidized fertilizer. Many socio-economic, farm-level characteristics and institutional factors determine cocoa farmers' participation in fertilizer subsidy programme, quantity of subsidized fertilizer obtained and productivity. Beneficiaries of fertilizer subsidy recorded higher cocoa productivity than non-beneficiaries. Hence, fertilizer subsidy for cocoa production in Ghana leads to a gain in productivity.

Practical implications

There should be more investments in fertilizer subsidy so that all cocoa farmers benefit and obtain the required quantities.

Originality/value

The authors provide new evidence on cocoa productivity gain or loss emanating from fertilizer subsidy by combining different impact assessment techniques for deeper analysis: PSM, IPW and AIPW.

Article
Publication date: 26 August 2014

Sheng Li, Yaoqi Zhang, Denis Nadolnyak, John David Wesley and Yifei Zhang

Since 2004, subsidies increased by 670 percent in the Chinese fertilizer industry to reduce the farmer's burden. The purpose of this paper is to assess whether subsidies benefit…

Abstract

Purpose

Since 2004, subsidies increased by 670 percent in the Chinese fertilizer industry to reduce the farmer's burden. The purpose of this paper is to assess whether subsidies benefit the target groups, the fertilizer subsidy distribution pattern and benefit allocation pattern among fertilizer producers and other sectors were investigated.

Design/methodology/approach

The Muth model is extended to evaluate the impacts of a subsidy on multi-stage markets.

Findings

It is found that the total benefits from the policy are about RMB 7.7 billion yuans. The fertilizer suppliers gain about RMB 51 billion yuans from the favorable policy with mean subsidy incidence 0.8 and capturing about 70 percent of total surplus.

Social implications

The results suggest that transferring parts of subsidies to the non-fertilizer sectors could be considered an efficient way to redistribute welfare indifferent sectors.

Originality/value

This study first use the equilibrium displacement model to quantity the distribution of fertilizer subsidy in a vertical market in China.

Details

China Agricultural Economic Review, vol. 6 no. 3
Type: Research Article
ISSN: 1756-137X

Keywords

Article
Publication date: 24 January 2022

Zhigang Xu, Kerong Zhang, Li Zhou and Ruiyao Ying

While the peer effects of technology adoption are well established, few studies have considered the variation in peer effects resulting from the mutual proximity between leaders…

Abstract

Purpose

While the peer effects of technology adoption are well established, few studies have considered the variation in peer effects resulting from the mutual proximity between leaders and followers and the heterogeneity of farmers' learning technology. This study addresses the gap in the literature by analyzing the peer effects of technology adoption among Chinese farmers.

Design/methodology/approach

Drawing on a government-led soil testing and formulated fertilization program, this study uses survey data of farmers from three Chinese provinces to examine the peer effects of technology adoption. This study uses a probit model to examine how mutual proximity influences peer effects and their heterogeneity. Accordingly, farmers were divided into two groups, namely small- and large-scale farmers, and then into leaders or followers depending on whether they were selected by the government as model farmers.

Findings

Both small- and large-scale farmers are more likely to use formula fertilizer if their peers do so. However, a large-scale farmer is more likely to adopt formula fertilizer if the average adoption behavior of other large-scale model (leader) farmers is higher, while a small-scale farmer is more likely to adopt formula fertilizer if other small-scale non-model (follower) farmers have higher average adoption behavior. Moreover, the peer effect was weakened by geographic distance among small-scale farmers and by economic distance among large-scale farmers.

Originality/value

This study elucidates the means of optimizing social learning and technology adoption among farmers.

Details

China Agricultural Economic Review, vol. 14 no. 2
Type: Research Article
ISSN: 1756-137X

Keywords

Article
Publication date: 1 January 2013

Krishna Prasad Pant

Over 10 percent of rural poor in Nepal are still using animal dung cake as the major cooking fuel, reducing the availability of plant nutrients or increasing the need for chemical…

Abstract

Purpose

Over 10 percent of rural poor in Nepal are still using animal dung cake as the major cooking fuel, reducing the availability of plant nutrients or increasing the need for chemical fertilizers. The purpose of this paper is to assess the effects of dung fuel use on demand for chemical fertilizers and explore factors affecting the household decisions to use dung fuel.

Design/methodology/approach

The data are generated from survey of 331 households using either dung fuel or biogas, randomly selected from Kapilvastu district in Nepal. Test of mean differences and ordinary least square are used for finding the effect of dung fuel use on demand for chemical fertilizers. Probit regression is used to explore the factors affecting use of dung cake fuel by rural people.

Findings

The study quantified that burning animal dung for fuel increases the demand for chemical fertilizers by 32.35 kg per household for just maintaining the crop yield at the level of non‐burning households. At the national level, this accounts to 26,551 tons of chemical fertilizers costing NPR 687 million per year. The amount, however, does not include the health costs and drudgery of the households and pollution and green house gas emission costs to the society. The study finds income, education and ethnicity as the major factors affecting the dung cake use and recommends some policy measures to reduce it.

Research limitations/implications

The research was conducted in a district with survey of a sample of households as a case study, and most probably cannot be generalized at the national or international levels. The sample includes the households using dung cake fuel and biogas exclusively. Other households using both the fuels and some other fuels are excluded in the study.

Practical implications

The findings are useful for policy makers working in agriculture and household energy for designing appropriate policy necessary for increasing agriculture policies and household energy technology (such a biogas) adoption.

Social implications

The recommendations help in understanding the costs of dung burning at the household and national level. The understanding helps in increasing farm productivity and saving health of the residents.

Originality/value

The study is original in its design, data and findings. It will help the policy makers and the rural poor.

Details

World Journal of Science, Technology and Sustainable Development, vol. 10 no. 1
Type: Research Article
ISSN: 2042-5945

Keywords

Article
Publication date: 18 December 2019

Peng Peng and Li Zhou

From the perspective of land mortgages, the purpose of this paper is to understand how farmers can be motivated to utilize environment-friendly formula fertilizers, thereby…

Abstract

Purpose

From the perspective of land mortgages, the purpose of this paper is to understand how farmers can be motivated to utilize environment-friendly formula fertilizers, thereby reducing the use of chemical fertilizers.

Design/methodology/approach

Two hypotheses are empirically tested using questionnaire responses from 714 farmers across three provinces in China to establish the relationship and to determine the role land rent plays.

Findings

This study finds that farmers who obtain land mortgages will be more willing to apply formula fertilizers in order to obtain higher value of their “own” land. This is because obtaining land mortgages can be considered as the process of titling land management rights. Farmers who have been transferred the land by verbal agreement no longer need to worry about losing it at any time. Hence, they are willing to apply formula fertilizers on their transferred land. Similarly, farmers who have been transferred the land by written contract to obtain more land mortgages will also be willing because the formula fertilizers can not only improve the quality of their transferred land, but also increase its value as collateral. This mechanism is clearer in the area where the average land rent is relatively lower.

Originality/value

No study has yet linked the reform of land mortgages to environmentally friendly behavior. While other studies have focused on the way access to credit changes farmer investments and spending, this particular relationship has not yet been formalized, giving this study theoretical and empirical significance.

Details

Agricultural Finance Review, vol. 81 no. 5
Type: Research Article
ISSN: 0002-1466

Keywords

Article
Publication date: 16 May 2016

Alhaji Bukar Mustapha and Rusmawati Said

– The purpose of this paper is to examine some factors that influence the intensity of fertilizer use in Malawi.

Abstract

Purpose

The purpose of this paper is to examine some factors that influence the intensity of fertilizer use in Malawi.

Design/methodology/approach

The study uses Engle-Granger, Engle-Yoo three steps and autoregressive distributed lags (ARDLs) approaches to examine the long-run and the short-run dynamics among the variables using annual data from 1961 to 2006.

Findings

The econometric results indicate that all the variables exert significance influence on the quantity of fertilizer demanded excluding population growth, while the results of the short-run model indicate that the responsiveness of fertilizer demand to all the variables is significant.

Research limitations/implications

Although, this study has provided some helpful results in understanding the major factors responsible for low fertilizer consumption in the study but some time series data on important factors are lacking.

Originality/value

The work is different from already existing literature in Malawi. The authors included subsidy and real gross domestic product to account for the effect of macroeconomic shocks and policies, which has not been accounted for by other related empirical studies. Moreover, this study used ARDLs techniques that can overcome the problem of insufficiently long time series data which is a significant contribution to the existing literature.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 6 no. 1
Type: Research Article
ISSN: 2044-0839

Keywords

Case study
Publication date: 20 January 2017

Jeanne Brett, Katherine Nelson and Nicole Tilzer

One Acre Fund (OAF) was founded by Andrew Youn in 2005 for the purpose of helping to solve the chronic hunger problem in Africa. The idea is to provide the resources (seed…

Abstract

One Acre Fund (OAF) was founded by Andrew Youn in 2005 for the purpose of helping to solve the chronic hunger problem in Africa. The idea is to provide the resources (seed, fertilizer, and education) necessary for African farm families to feed themselves when their land holdings are one acre or less. The business model of OAF is that of a cooperative: OAF buys resources like seeds and fertilizer in bulk at reduced prices and distributes them to small farmers who otherwise could not afford them. This case concerns the negotiation that OAF's manager of external relations and research, Moises Postigo, conducted to buy fertilizer in the last quarter of 2007. The case provides an opportunity for students to analyze a real-world deal-making negotiation in a developing economy. A number of aspects of the context of the negotiation and the negotiation process itself make for good class discussion. Postigo did a good job preparing for the negotiation, making the case one that emphasizes proper use of negotiation planning and sensitive understanding of the negotiation environment. Some of the elements that make for good discussion include the following: OAF was a new organization, unknown to the five major providers of fertilizer in Kenya. The negotiations were entirely conducted by cell phone. Negotiations went through stages of request for a bid, discussion with multiple bidders, selection of a provider, and negotiation. There were multiple issues, including price delivery and form of payment. Postigo was negotiating in the shadow of the possibility that the Kenyan government would start selling subsidized fertilizer to small farmers.

Analyze the fundamentals of a real-world negotiation; Consider cultural implications for negotiation strategy; Consider negotiation strategy decisions particular to the context: commodity purchase, developing country, etc. Understand how the economic and political context affects negotiations; Understand the importance of relationships in negotiations.

Details

Kellogg School of Management Cases, vol. no.
Type: Case Study
ISSN: 2474-6568
Published by: Kellogg School of Management

Keywords

1 – 10 of over 4000