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Open Access
Article
Publication date: 19 November 2018

Habtamu Alem, Gudbrand Lien and J. Brian Hardaker

The purpose of this paper is to explore the economic performance of Norwegian crop farms using a stochastic frontier analysis.

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Abstract

Purpose

The purpose of this paper is to explore the economic performance of Norwegian crop farms using a stochastic frontier analysis.

Design/methodology/approach

The analysis was based on a translog cost function and unbalanced farm-level panel data for 1991–2013 from 455 Norwegian farms specialized in crop production in eastern and central regions of Norway.

Findings

The results of the analysis show that the mean efficiency was about 78–81 percent. Farm management practices and socioeconomic factors were shown to significantly affect the economic performance of Norwegian crop farms.

Research limitations/implications

Farmers are getting different types of support from the government and the study does not account for the different effects of different kinds of subsidy on cost efficiency. Different subsidies might have different effects on farm performance. To get more informative and useful results, it would be necessary to repeat the analysis with less aggregated data on subsidy payments.

Practical implications

One implication for farmers (and their advisers) is that many of them are less efficient than the estimated benchmark (best performing farms). Thus, those lagging behind the best performing farms need to look at the way they are operating and to seek out ways to save costs or increase crop production. Perhaps there are things for lagging farmers to learn from their more productive farming neighbors. For instance, those farmers not practicing crop rotation might be well advised to try that practice.

Social implications

For both taxpayers and consumers, one implication is that the contributions they pay that go to subsidize farmers appear to bring some benefits in terms of more efficient production that, in turn, increase the supply of some foods so possibly making food prices more affordable.

Originality/value

Unlike previous performance studies in the literature, the authors estimated farm-level economic performance accounting for the contribution of both an important farm management practice and selected socioeconomic factors. Good farm management practices, captured through crop rotation, land tenure, government support and off-farm activities were found to have made a positive and statistically significant contribution to reducing the cost of production on crop-producing farms in the Central and Eastern regions of Norway.

Details

International Journal of Productivity and Performance Management, vol. 67 no. 9
Type: Research Article
ISSN: 1741-0401

Keywords

Open Access
Article
Publication date: 9 December 2022

Esther Waruingi, Josiah Ateka, Robert Mbeche and Raoul Herrmann

Forests support human livelihoods and mitigate against climate change, yet they are at a risk of irreversible loss due to high degradation rates. The success of forest…

Abstract

Purpose

Forests support human livelihoods and mitigate against climate change, yet they are at a risk of irreversible loss due to high degradation rates. The success of forest conservation mechanisms depends on involvement and support by forest dependent communities. In this paper, the authors assess forest dependent household's willingness to pay (WTP) labour or cash for a conservation programme seeking to restore degraded forestland in Mount Elgon Forest, Kenya.

Design/methodology/approach

Data were collected from 919 households in Mt Elgon forest reserve, Kenya. A double bounded contingent valuation approach was used to examine households' WTP and an ordered probit model to estimate the determinants of WTP.

Findings

The findings of the study show a higher WTP for conservation through labour days (12 days/month, equivalent to 1800 KES/month) compared to cash (KES 450/month). Forest dependence has a significant influence on households' willingness to support conservation activities. A higher WTP was observed amongst households with higher vulnerability (high shocks value, low asset value and those in the poorest wealth categories) implying that they are more willing to contribute for forest conservation.

Originality/value

While emerging literature on WTP for forest conservation is growing, few studies have paid attention on the influence of forest dependence on WTP for forest conservation. There are limited studies on use of in-kind contribution as a payment vehicle for WTP. The study's findings show a high WTP in form of labour suggesting the importance of embracing in-kind contribution as a mechanism of supporting forest conservation in contexts of developing countries.

Details

Forestry Economics Review, vol. 5 no. 1
Type: Research Article
ISSN: 2631-3030

Keywords

Open Access
Article
Publication date: 27 March 2023

Naod Mekonnen Anega and Bamlaku Alemu

This study empirically examines the impact of rural roads on consumption of households in Ethiopia.

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Abstract

Purpose

This study empirically examines the impact of rural roads on consumption of households in Ethiopia.

Design/methodology/approach

Both descriptive statistics and econometric techniques are used to address the aforementioned objective. Specifically, quantile regression, fixed- and random-effect models are used to understand the impact of rural road quality on welfare.

Findings

The econometric analysis revealed that improving the quality of rural roads and/or creating access to all-weather roads raises households' average real consumption per capita by as much as 10%. The other transport indicator – mode of transport – also has a positive effect on real consumption per capita. The result indicated that real consumption per capita for households using the traditional mode of transport would increase by as much as 7% compared to those using foot as a major mode of transport. However, the fixed quantile estimation result revealed that rural road access has a positive and significant effect on consumption per capita only for the 0.8th and 0.9th percentiles, indicating that the access to roads is not pro-poor.

Research limitations/implications

Improving rural roads to a level of all-weather road standards and provision of agricultural transport facilities should be strategic priorities.

Originality/value

This study provides empirical evidence pertinent to the effect rural mobility has on the consumption of households as well as the pro-poorness of such investments in rural settings.

Open Access
Article
Publication date: 7 April 2023

Eva Seewald, Samantha Baerthel and Trung Thanh Nguyen

This study aims to investigate whether the participation in land rental markets helps to mitigate impacts by climate change on multidimensional poverty in Thailand and Vietnam.

Abstract

Purpose

This study aims to investigate whether the participation in land rental markets helps to mitigate impacts by climate change on multidimensional poverty in Thailand and Vietnam.

Design/methodology/approach

The authors use precipitation data from the National Aeronautics and Space Administration (NASA) and self-reported shocks from the Thailand Vietnam Socio-Economic Panel (TVSEP) project to estimate climate change. Data from the TVSEP are also used to calculate a multidimensional poverty index (MPI). Fixed-effect logit panel regressions with interaction terms are implemented to analyze the above mentioned.

Findings

The results show that land rental markets are used as mitigation strategies to climate change in Thailand and Vietnam. The participation in land rental markets also reduces multidimensional poverty. However, as a mitigation strategy, land rental markets are only successful in certain circumstances.

Research limitations/implications

The results show that there is potential in using land rental markets as mitigation strategies to climate change. Further research is needed to better understand which adaptation strategies, besides land rental market participation, and which combinations of different adaptation strategies are successful to mitigate negative effects induced by climate change.

Practical implications

The results show that there is potential in using land rental markets as mitigation strategies to climate change. Therefore, education in the participation in land rental markets and how to use them as a mitigation strategy can be a way to increase households' resilience to negative effects induced by climate change. Households make better decisions regarding their land when they are better informed on the functionality of land rental markets. Additionally, being better informed increases self-confidence to participate in land-rental markets.

Originality/value

Land rental markets as a mitigation strategy to climate change rarely have been studied, and if so, mainly the effect of leasing land has been studied. Additionally, the authors implement new measures of poverty – a multidimensional view on poverty which provides new insights into who are the poor and how they can be lift out of poverty.

Details

Journal of Economics and Development, vol. 25 no. 2
Type: Research Article
ISSN: 1859-0020

Keywords

Open Access
Article
Publication date: 12 April 2022

Emmanuel Donkor, Stephen Onakuse, Joe Bogue and Ignacio de los Rios Carmenado

This study analyses income inequality and distribution patterns among key actors in the cassava value chain. The study also identifies factors that influence profit of key actors…

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Abstract

Purpose

This study analyses income inequality and distribution patterns among key actors in the cassava value chain. The study also identifies factors that influence profit of key actors in the cassava value chain.

Design/methodology/approach

The study was conducted in Oyo State, Nigeria, using primary data from 620 actors, consisting of 400 farmers, 120 processors and 100 traders in the cassava value chain. The Gini coefficient was used to estimate income inequalities within and between actors. Multiple linear regression was applied to identify factors that influence the profit of the actors in the cassava value chain.

Findings

The result shows a gender pattern in the participation in the cassava value chain: men dominate in the production, whereas women mostly engage in processing and marketing of processed cassava products. We also find that incomes are unequally distributed among actors, favouring traders and processors more than farmers in the value chain. Women are better off in processing and trading of value-added products than in the raw cassava production. Spatial differences also contribute to income inequality among farmers in the cassava value chain. An increase in farmers and processors’ incomes reduces inequality in the value chain while an increase in traders’ income widens inequality. Age is significantly negatively correlated with actors’ profit at 1%, while educational level significantly increases their profit at 5%. Processors and traders with large households have a higher profit. We also find that farm size, experience and labour input have significant positive effects on farmers’ profit only at 5%. Membership in an association increases farmers and processors’ profit at 1 and 10%, respectively.

Practical implications

The study recommends that agricultural policies that promote agrifood value chains should aim at minimizing income inequality by targeting vulnerable groups, particularly female farmers to achieve sustainable development in rural communities.

Originality/value

Existing studies recognise income inequality in agricultural value chains in sub-Saharan Africa. However, there are few rigorous quantitative studies that address this pressing issue. Our paper fills this knowledge gap and suggests ways to minimise income inequality in the agri-food value chain, using the example of the cassava value chain in Nigeria.

Open Access
Article
Publication date: 8 May 2018

Ying Liu, Chenggang Wang, Zeng Tang and Zhibiao Nan

The purpose of this paper is to examine the impacts of farmland renting-in on planted grain acreage.

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Abstract

Purpose

The purpose of this paper is to examine the impacts of farmland renting-in on planted grain acreage.

Design/methodology/approach

A survey data of five counties were analyzed with the two-stage ordinary least squares model.

Findings

Households renting-in land trended to plant more maize, and the more land was rented by a household the more maize was planted, while wheat acreage showed non-response to farmland renting-in.

Practical implications

Overall, the analysis suggests that policy makers should be prepared for different changing trends of grain crop acreage across the nation as farmland transfer continues. Future research should pay attention to the effect of farmland transfer on agricultural productivity and rural household income growth.

Originality/value

As the Chinese Government is promoting larger-scale and more mechanized farms as a way of protecting grain security, it is important to understand whether farmland renting-in will reduce planted grain acreage. This study provides empirical evidence showing the answer to that question may differ across different regions and depend on the particular grain crop in question.

Details

China Agricultural Economic Review, vol. 10 no. 2
Type: Research Article
ISSN: 1756-137X

Keywords

Open Access
Article
Publication date: 6 September 2021

Asnake Adane and Woldeamlak Bewket

The purpose of this paper was to assess the effects of quality coffee production on climate change adaptation using household surveys and interview data gathered from coffee…

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Abstract

Purpose

The purpose of this paper was to assess the effects of quality coffee production on climate change adaptation using household surveys and interview data gathered from coffee farmers in Yirgacheffe, southern Ethiopia.

Design/methodology/approach

A sample of 352 households, stratified into conventional coffee farmers 232 (66%) and specialty coffee producers 120(34%), was used. The propensity score model for participating in quality coffee production was estimated using 14 covariates, and the impact of quality coffee production on adaptation to climate change adaptation was examined. The results are augmented with qualitative data collected through focus group discussions and key informant interviews held with randomly selected smallholder farmers. A telecoupling theoretical perspective was used to understand the link between coffee farmers’ adaptation practices and the demand for quality coffee, as coffee is a global commodity.

Findings

The PSM analysis reveals that quality coffee production positively influences climate change adaptation. This implies that conventional coffee producers would have performed better in adaptation to climate change if they had participated in quality coffee production. The results of group discussions also confirm the positive effects of quality coffee production on adaptation to climate change, which also suggests a positive spillover effects for sustainable coffee farm management.

Practical implications

This study suggests enhancing quality coffee production is essential if a more sustainable and climate change resilient coffee livelihood is envisioned.

Originality/value

Though many studies are available on adaptation to climate change in general, this study is one of the few studies focusing on the effects of quality coffee production on climate change adaptation by smallholders in one of the least developed countries, Ethiopia. This study provides a better understanding of the importance of adaptation strategies specific to coffee production, which in turn help develop a more resilient coffee sector, as coffee production is one of the most sensitive activity to climate change.

Details

International Journal of Climate Change Strategies and Management, vol. 13 no. 4/5
Type: Research Article
ISSN: 1756-8692

Keywords

Open Access
Article
Publication date: 15 December 2021

Tripti Agarwal, Prarthna Agarwal Goel, Hom Gartaula, Munmum Rai, Deepak Bijarniya, Dil Bahadur Rahut and M.L. Jat

Increasing trends of climatic risk pose challenges to the food security and livelihoods of smallholders in vulnerable regions, where farmers often face loss of the entire crop…

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Abstract

Purpose

Increasing trends of climatic risk pose challenges to the food security and livelihoods of smallholders in vulnerable regions, where farmers often face loss of the entire crop, pushing farmers (mostly men) out of agriculture in destitution, creating a situation of agricultural making agriculture highly feminization and compelling male farmers to out-migrate. Climate-smart agricultural practices (CSAPs) are promoted to cope with climatic risks. This study aims to assess how knowledge related to CSAPs, male out-migration, education and income contribute to the determinants of male out-migration and CSAPs adoption and how they respond to household food security.

Design/methodology/approach

Sex-disaggregated primary data were collected from adopter and non-adopter farm families. STATA 13.1 was used to perform principle component analysis to construct knowledge, yield and income indices.

Findings

Yield and income index of adopters was higher for men than women. The probability of out-migration reduced by 21% with adoption of CSAPs. An increase in female literacy by 1 unit reduces log of odds to migrate by 0.37. With every unit increase in knowledge index, increase in log-odds of CSAPs adoption was 1.57. Male:female knowledge gap was less among adopters. Non-adopters tended to reduce food consumption when faced with climatic risks significantly, and the probability of migration increased by 50% with a one-unit fall in the nutrition level, thus compelling women to work more in agriculture. Gender-equitable enhancement of CSAP knowledge is, therefore, key to safeguarding sustainable farming systems and improving livelihoods.

Social implications

The enhancement of gender equitable knowledge on CSAPs is key to safeguard sustainable farming systems and improved livelihoods.

Originality/value

This study is based on the robust data sets of 100 each of male and female from 100 households (n = 200) using well-designed and validated survey instrument. From 10 randomly selected climate-smart villages in Samastipur and Vaishali districts of Bihar, India, together with focus group discussions, the primary data were collected by interviewing both men and women from the same household.

Details

International Journal of Climate Change Strategies and Management, vol. 14 no. 1
Type: Research Article
ISSN: 1756-8692

Keywords

Open Access
Article
Publication date: 9 February 2021

Mathew Abraham and Prabhu Pingali

This paper aims to understand the significant farm and market-level factors that incentivize the adoption and marketing of pulses influencing its supply response to changing…

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Abstract

Purpose

This paper aims to understand the significant farm and market-level factors that incentivize the adoption and marketing of pulses influencing its supply response to changing demand.

Design/methodology/approach

The authors first use a modified Nerlovian supply response model using secondary data to identify the major price and non-price factors influencing the supply of pigeon pea, black and green gram in the major pulses growing states in India. Second, using primary qualitative data the authors map the pulses value chain from farm to retail to identify the how proportional and fixed transaction costs (FCTs) influence market participation of pulses growers and limit the transmission of price and quality information.

Findings

The supply response model shows some positive influence of price on area allocation for pigeon pea and black gram and some negative effects of yield and price increase of competing crops on pigeon pea acreage. However, for the most part, the area of Kharif pulses is inelastic to prices in the long run. Irrigation, rainfall and yields in the lag year are shown to have a significant influence on area allocation for pulses. The market study reveals that low yields, low landholding size and geographical disadvantages of high agro-climatic risk and poor connectivity hinder market access of pulses farmers relative to other crops. Market power in favor of buyers and poor price and quality information is a disadvantage to sellers, influencing their ability to participate in markets.

Research limitations/implications

A quantitative study would be required to identify the magnitude of farm and market-level transaction costs.

Originality/value

This study helps to understand the supply response of pulses and gives suggestions to direct policy to rectify this.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 11 no. 4
Type: Research Article
ISSN: 2044-0839

Keywords

Open Access
Article
Publication date: 12 March 2018

Jason Donovan, Nigel Poole, Keith Poe and Ingrid Herrera-Arauz

Between 2006 and 2011, Nicaragua shipped an average of US$9.4 million per year of smallholder-produced fresh taro (Colocasia esculenta) to the USA; however, by 2016, the US market…

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Abstract

Purpose

Between 2006 and 2011, Nicaragua shipped an average of US$9.4 million per year of smallholder-produced fresh taro (Colocasia esculenta) to the USA; however, by 2016, the US market for Nicaraguan taro had effectively collapsed. The purpose of this paper is to analyze the short-lived taro boom from the perspective of complex adaptive systems, showing how shocks, interactions between value chain actors, and lack of adaptive capacity among chain actors together contributed to the collapse of the chain.

Design/methodology/approach

Primary data were collected from businesses and smallholders in 2010 and 2016 to understand the actors involved, their business relations, and the benefits and setbacks they experienced along the way.

Findings

The results show the capacity of better-off smallholders to engage in a demanding market, but also the struggles faced by more vulnerable smallholders to build new production systems and respond to internal and external shocks. Local businesses were generally unprepared for the uncertainties inherent in fresh horticultural trade or for engagement with distant buyers.

Research limitations/implications

Existing guides and tools for designing value chain interventions will benefit from greater attention to the circumstances of local actors and the challenges of building productive inter-business relations under higher levels of risk and uncertainty.

Originality/value

This case serves as a wake-up call for practitioners, donors, researchers, and the private sector on how to identify market opportunities and the design of more robust strategies to respond to them.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 8 no. 1
Type: Research Article
ISSN: 2044-0839

Keywords

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