Weather risk is a serious issue in the African small farm sector that will further increase due to climate change. Farmers typically react by using low amounts of agricultural inputs. Low input use can help to minimize financial loss in bad years, but is also associated with low average yield and income. Increasing small farm productivity and income is an important prerequisite for rural poverty reduction and food security. Crop insurance could incentivize farmers to increase their input use, but indemnity-based crop insurance programs are plagued by market failures.
Productivity growth in smallholder agriculture is an important driver of rural economic development and poverty reduction. However, smallholder farmers often have limited access to information, which can be a serious constraint for increasing productivity. One potential mechanism to reduce information constraints is the public agricultural extension service, but its effectiveness has often been low in the past.
This study analyse how agricultural extension can be made more effective in terms of increasing farmers’ adoption of pro-nutrition technologies, such as biofortified crops. In a randomised controlled trial with farmers in Kenya, the authors implemented several extension treatments and evaluated their effects on the adoption of beans biofortified with iron and zinc. Difference-in-difference estimates show that intensive agricultural training can increase technology adoption considerably.
Most micro-level studies on the impact of agricultural technologies build on cross-section data, which can lead to unreliable impact estimates. Here, we use panel data covering two time periods to estimate the impact of tissue culture (TC) banana technology in the Kenyan small farm sector. TC banana is an interesting case, because previous impact studies showed mixed results. We combine propensity score matching with a difference-in-difference estimator to control for selection bias and account for temporal impact variability.
There is an emerging body of literature analyzing how smallholder farmers in developing countries can benefit from modern supply chains. However, most of the available studies concentrate on export markets and fail to capture spillover effects that modern supply chains may have onlocal markets. Here, we analyze the case of sweet pepper in Thailand, which was initially introduced as a product innovation in modern supplychains, but which is now widely traded also in more traditional markets.
The use of mobile phones has increased rapidly in many developing countries, including in rural areas. Besides reducing the costs of communication and improving access to information, mobile phones are an enabling technology for other innovations. One important example are mobile phone based money transfers, which could be very relevant for the rural poor, who are often underserved by the formal banking system. We analyze impacts of mobile money technology on the welfare of smallholder farm households in Kenya.
Many developing countries are experiencing a rapid expansion of supermarkets. New supermarket procurement systems could affect farming patterns and wider rural development. While previous studies have analyzed farm productivity and income effects, possible employment effects have received much less attention. Special supermarket requirements may entail intensified farm production and post-harvest handling, thus potentially increasing demand for hired labor. This could also have important gender implications, because female and male workers are often hired for distinct farm operations.
There is an emerging body of literature analysing how smallholder farmers in developing countries can benefit from modern supply chains. However, most of the available studies concentrate on export markets and fail to capture spillover effects that modern supply chains may have on local markets. Here, we analyse the case of sweet pepper in Thailand, which was initially introduced as a product innovation in modern supply chains, but which is now widely traded also in more traditional markets.
Natural resource management practices, such as the System of Rice Intensification (SRI), have been proposed to tackle agricultural challenges such as decreasing productivity growth and environmental degradation. Yet, the benefits of system technologies for farmers are often debated. Impacts seem to be context-specific, which is especially relevant in the small farm sector with its large degree of agroecological and socioeconomic heterogeneity. This was not always considered in previous research.
Mobile phone based money services have spread rapidly in many developing countries. We analyze micro level impacts using panel data from smallholder farmers in Kenya. Mobile money use has a large positive net impact on household income. One important pathway is through remittances, which contribute to income directly but also help to reduce risk and liquidity constraints, thus promoting agricultural commercialization. Mobile money users apply more purchased inputs, market a larger proportion of their output, and have higher farm profits.