Cross bred cow adoption is an important and potent policy variable precipitating subsistence household entry into emerging bulk markets. This paper focuses on the design of policies that create and sustain milk-market expansion among a sample of households in the Ethiopian highlands. In this context it is desirable to measure a household's `proximity' to market in terms of the level of deficiency of an essential input. This problem is compounded by four factors.

This publication is based on invited papers presented at the conference "Agricultural Biotechnology in Developing Countries: Towards Optimizing the Benefits for the Poor", held in November 1999 at the Center for Development Research (ZEF), University of Bonn. The conference was convened in collaboration with the International Service for the Acquisition of Agri-biotech Applications (ISAAA), Hoechst Schering AgrEvo GmbH (now Aventis CropScience) and the German Foundation for International Development (Deutsche Stiftung fUr internationale Entwicldung - DSE).