More studies have been conducted on determinants of smallholder participation in markets as sellers, with scant attention to why farmers participate in markets as either net sellers, autarkic or net buyers. Aug 19, 20 this paper addresses the impacts of liquidity constraints on household postharvest commodity selling behavior. Determinants of smallholder farmers participation in. Thus, the smallholder farmers with access to reliable storage could increase their share of the marketing margin through selling at a higher price during scarcity and those without maize can buy it locally at a lower price than traders would sell it thus improving both the food and income security of smallholder maize farmers. They include 75% of the worlds poorest people whose food, income, and livelihood prospects depend on agriculture.
Collective storage and sale allows farmers to access forward contracts from buyers and make use of more secure storage facilities. Multi stage sampling technique was used to select 196 smallholder maize farmers. History of kenyan maize production, marketing and policies lilian kirimi. Smallholder household maize production and marketing. Challenges and opportunities of linking smallholders to markets by thelma namonjekapembwa, harrison chiwawa, and nicholas sitko namonje working paper no. The number of smallholder rice producers in the country for 2010 is estimated to be 64,886. Overview of the challenge maize, 12 percent for rice, 12 percent for across subsaharan africa, staple grain crops. Pdf smallholder household maize production and marketing. In the zambian maize market, smallholder farmers have an option to either sell their maize produce to private traders also known as assembly traders, or to the.
Easily share your publications and get them in front of issuus. Only about 25 percent of smallholder farmers in zambia sold maize in both seasons, and about 1520 percent of smallholders sold fresh horticulture as well as groundnuts, with 11 percent selling. Linking smallholder farmers to markets and the implications for extension and advisory services introduction approximately 1. Artificial intelligence and farmer knowledge boost. Expected farmgate maize price no significant effect on probability of sale or quantity sold moz, zambia suggests that principal constraint to selling maize is inability to grow a surplus i. Explaining smallholder maize marketing in southern and eastern africa.
Understanding smallholder farmer attitudes to commercialization. From 610 percent of farmers produced and sold cotton. Smallholder household maize production and marketing behavior in zambia and its implications for policy. Like other countries in eastern and southern africa, the successful development and diffusion of improved maize seed in zambia during the 1970s. Mozambique has a relatively higher competitive advantage with regard to maize production because of the relatively lower input costs, perhaps due to its proximity. History of kenyan maize production, marketing and policies.
Regional workshop on an integrated policy approach to commercializing smallholder maize production. Factors affecting marketing intensity of wheat growers in. This report contributes to this debate by providing evidence on the strengths and weaknesses of smallholder farmers. A smallholder farmer can access the market either by selling to a buyer at the farm gate or physically transporting the. Market access for maize smallholder farmers in tanzania maziku, petro. Determinants of commercialization and its impact on the. Market access for maize smallholder farmers in tanzania. We use econometric analysis to investigate smallholder maize sales behavior in africa. Throughout the course of aflastops subsequent survey work in rounds 2 and 3, valuable insights about kenyan smallholder farmers and changes in their behavior have been tracked from the beginning of. Smallholder maize marketing in mozambique, kenya and zambia. In its heyday, the ncpb generally bought maize grain from farmers at higherthanmarket prices and sold it to industrial maize. Transaction costs theory has been used to explain farmers behavior in both input and output markets. Determinants of smallholder farmers participation in banana. More commonly, the opportunity cost of following a rigid production contract is the production of staples for ones subsistence.
An analysis of the characteristics of maize storage types. The objective of the study is to find the factors affecting market participation and how it influences the welfare of rural farmers. Smallholder household maize production and marketing behavior in zambia and. Smallholder household maize production and marketing behavior in zambia. Transaction costs and smallholder household access to. The findings reveal that from production to processing, gendered patterns of behavior and resource distribution exist. Prevalence and causes of postharvest loss figure 1 presents the average of smallholder farmersreported phl during storage for maize and their most. Determinants of market participation regimes among. Linking smallholder farmers to markets and the implications. They should also consider developing pricingmarketing strategies to draw farmers. It is based on a unique dataset specific to smallscale agriculture, the smallholder farmer s. The intensity of adoption of conservation agriculture by smallholder farmers in zimbabwe, agrekon 543.
Liquidity constraints and postharvest selling behavior. Assess the impact of tobacco farming adoption on profitability of smallholder maize enterprises. Smallholder marketed surplus and input use under transactions costs. This study investigated the e ects of grain storage practices on smallholder farmers maize marketing behaviour using primary data collected from 4 random households in makoni and shamva districts of zimbabwe. Artificial intelligence and farmer knowledge boost smallholder maize yields 16 october 2019 a maize field in colombia. This puzzle of producing, selling and later buying for consumption is attributed to inadequate and inefficient storage and is the premise of this. Csomaco nationallyrepresentative rural surveys provide important insights on smallholder crop marketing behavior from the 2001 and 2004 harvests. Effects of credit and credit access on smallholder maize. According to a study in ghana on market participation of smallholder maize farmers in the upper west region of ghana. The results indicate that the decision to sell or not. Analysis of market participation behavior among smallholder dairy. An arbitrage puzzle in kenyan villages marshall burke,1,2,3.
Conversely, improved access to markets both the mere existence of markets but. In addition, market participation for maize smallholder farmers in tanzania was highly influenced by multiple factors related to production as well as market transaction costs mbise et al. Analysis of profit efficiency among smallholder maize producers 62 has been doubled to 16% in the same period. Determinants of market participation regimes among smallholder maize producers in kenya geoffrey muricho a1, menale kassie. Determinants of smallholder farmer market participation in. To measure the degree of commercialization of maize crop in the study area. Estimating ntbs costs of maize production and marketing. Smallholders commercialization of maize production in guangua. Nonetheless, maize yields remain low and uptake of new, stresstolerant varieties has been disappointing. Results will confirm whether type of buyer dealt with by the smallholder farmer in selling hisher maize output is significantly related to profitability.
The roles of market access, technology and household resource endowments. Data collection the study used primary survey data which was collected through administering structured questions and physical observations. Multiple regression analysis was employed to test various determinants of quantities of maize sold to private traders. The effects of grain storage technologies on maize. Access to optimal seed is vital for smallholder farmers to achieve high quality crops that give the best yield possible, allowing them to maximize financial and nutritional gains. But can also marginalize them, isolating them from lucrative markets and making them unviable economic units. Smallholder demand for maize hybrids and selective seed subsidies in zambia melinda smale, ekin birol abstract zambian farmers have extensive experience with maize hybrids and input subsidies. Analysis of the marketing behaviour of african indigenous. To identify factors that influence smallholder maize farmers participation decision. Pdf maize is a staple crop in zimbabwe and hence bears important implications for poverty alleviation and food security attainment. However, information gap still exists on the profitability of maize marketing by smallholder farmers to private traders. Issuu is a digital publishing platform that makes it simple to publish magazines, catalogs, newspapers, books, and more online.
The evidence further suggests that smallholder area is not affected. Working with a local agricultural micro nance ngo, i o er randomly selected smallholder maize farmers a loan at harvest, and study whether access. Further, maize crop was chosen because it is regarded as a staple food, animal feed and source of incomes among households in qamata and tyefu area. Smallholder behavioral responses to marketing board. Only about 25 percent of smallholder farmers in zambia sold maize in both seasons, and about 1520 percent of smallholders sold fresh horticulture as well as groundnuts, with 11 percent selling cassava. Transaction costs and smallholder household access to maize.
Alene et al 2008 used a sample selection model of maize marketed supply in kenya by first estimating a probit model of maize market participation and a second stage regression model to explain maize supply among maize selling households. Determinants of commercialization and its effects on farmers welfare. Determinants of market participation regimes among smallholder. Socioeconomic characteristics of smallholder rice production. After production, the majority sell most of the maize then later buy for consumption at higher prices. How does market access affect smallholder behavior. Learnings from maize seed systems for smallholder farmers. The theory of transaction cost has been used to explain farmers decisional behavior under the market failures both at input and output markets for many decades. The data was analysed using the ordered probit model and the study results revealed that storage practices had signi. Extension contact affects commercial behavior of smallholder potato producers positively 17. Estimating ntbs costs of maize production and marketing for. Compared to maleheaded households, femaleheaded households generally use less improved seed, produce less maize, rely more on child and adult female labor for maize production, and have less land. Smallholder demand for maize hybrids and selective seed.
Determinants of smallholder maize supply to private. The objective of this paper is to identify factors influencing the decision to sell maize and the choice of marketing chain by smallholder farmers in swaziland. Farmers can access the market either by selling to a. Cimmyt children sit beside metal silos used for maize storage, kenya. Using data collected from chinas maize farmers, we find that households with debt, in general, sell their maize much earlier than debt. It is claimed that transaction costs are large and a major cause of not selling on the market.
Analysis of profit efficiency among smallholder maize. Results from such a study will be important in understanding significant factors influencing current smallholder maize profitability hence making it easy to offer sound policy. Smallholder maize farmers are often faced with storage challenges. This paper addresses the impacts of liquidity constraints on household postharvest commodity selling behavior. The logistic regression is applied on the smallholders decision either to sell or not to sell maize and the type of supply chain either formal or informal. For more information on these creative commons licenses, visit. Effect of transaction costs on smallholder maize market. This result shows that rice farming in ethiopia, like most agricultural activities, is households engaged in. Smallholder household maize production and marketing behavior. A farmer is said to participate in market if he sells a part of his output in the market. The purpose of this thesis is to bridge the gap between literature on storage as a bank, and on storage as a way to ensure food security. Maize is grown in agroecological zones on about 1,994,8. A diverse number of studies have underpinned the role it can play in improving the economic standing of smallholders, while playing an imperative nutritional role in the diets of many consumers. In uganda, smallholder farmers are the major producers of maize.
Cover photos smallholder farmer prepares maize plot, kenya. The african indigenous leafy vegetables ailv agricultural subsector in kenya has in recent times gained considerable prominence and attention. This article investigates interactions in maize seed value chains in kenya, and decisions made by agrodealers, farmers, and seed companies, to gain a better understanding of how to encourage the uptake of new, stresstolerant varieties. Determinants of smallholder maize supply to private traders. Results are shown to be robust after controlling for rainfall, fertilizer use, tobacco prices, maize prices and after including the lagged dependent variable. Abandonment of conservation agriculture by smallholder farmers in zimbabwe, journal of sustainable development 81. Studies have been done on technical efficiency of maize production tchale and sauer, 2007, labour productivity in maize production kankwamba, 2010. Explaining smallholder maize marketing in southern and.
Understanding smallholder farmer attitudes to commercialization the case of maize in kenya. Smallholder production increases are of a similar size with a larger variation, ranging from 12% to 30%. With a clear understanding of the speciac behaviors interfering with the reduction of postharvest maize loss in tanzania, the next step was to identify the behavioral and contextual. Factors driving the increase in usage by smallholder farmers creameries, the kenya tea development agency, and the national cereals and produce board ncpb. These extant articles on household marketing behavior in developing countries. Overall, zambian smallholder agriculture has become more diversified over the past decade, with maize, cassava, groundnuts, cotton, horticultural crops, and animal products all becoming important sources of cash revenue as well as production for home consumption except, of course, cotton.
Determinants of smallholder farmer market participation in the broiler industry of gauteng province in south africa by jubilee sekwi ncube submitted in partial fulfilment of the requirements for the degree of minst agrar agricultural economics in the faculty of natural and agricultural sciences university of pretoria pretoria south africa. Sustainable intensification and the african smallholder farmer. Hermetic storage technology is an alternative, often pesticidefree method that eliminates 8 obengofori, d. The case of tobacco marketing in malawi wouter zant. Primary data was collected using semi structured questionnaires and a tobit model was used to assess the factors affecting smallholder farmers participation in maize markets. The purpose of this paper is to increase understanding about storage behavior of smallholder maize farmers in northern ghana. This study was devoted to estimate profitability and various determinants of quantities of maize sold to private traders by smallholder farmers in lilongwe district.