Credit constraints and agricultural technology adoption: Evidence from Nigeria

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Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 28 pages
Book Rating : 4./5 ( download)

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Book Synopsis Credit constraints and agricultural technology adoption: Evidence from Nigeria by : Balana, Bedru

Download or read book Credit constraints and agricultural technology adoption: Evidence from Nigeria written by Balana, Bedru and published by Intl Food Policy Res Inst. This book was released on 2020-08-19 with total page 28 pages. Available in PDF, EPUB and Kindle. Book excerpt: The agricultural sector in Nigeria is characterized by low productivity that is driven by low use of modern agricultural technologies, such as improved seed, chemical fertilizer, agrochemicals, and agricultural machinery. Poor access to credit is claimed to be one of the key barriers to adoption of these technologies. This study examines the nature of credit constraints among smallholder farmers – whether smallholders are credit constrained or not and the extent to which credit constraints emanate from supply-side or demand-side factors. Using multinomial probit and seeming unrelated simultaneous equations econometric models with data from the 2018/19 Living Standards Measurement Study-Integrated Surveys on Agriculture (LSMS-ISA) for Nigeria, the study investigates the factors affecting credit access and the effects of these credit constraints on adoption of four agricultural technologies – inorganic fertilizer, improved seed, agrochemicals, and mechanization. The results show that about 27 percent of survey households were found to be credit constrained – 12.8 percent due to supply-side factors and 14.2 percent due to demand-side factors. Lack of access to information and communication technology, extension services, and insurance coverage are the major demand-side factors negatively affecting smallholder’s access to credit. Registered land tiles and livestock ownership enhance credit access. Credit constraints manifests themselves differentially on the adoption of different agricultural technologies. While adoption of inorganic fertilizer and improved seed are significantly affected by credit constraints from both the supply and the demand-sides; use of agricultural machinery is affected only by demand-side factors, while use of agrochemicals is not affected from either supply or demand-side credit factors. From a policy perspective, our findings indicate that improving credit access via supply-side interventions alone may not necessarily boost use of modern agricultural technologies by smallholder farmers in Nigeria. Demand-side factors, such as access to information, extension services, and insurance cover, should equally be addressed to mitigate the credit constraints faced by smallholders and increase their adoption of modern agricultural technologies and improve their productivity.

Do credit constraints affect agricultural technology adoption? Evidence from Nigeria

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Author :
Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 5 pages
Book Rating : 4./5 ( download)

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Book Synopsis Do credit constraints affect agricultural technology adoption? Evidence from Nigeria by : Balana, Bedru

Download or read book Do credit constraints affect agricultural technology adoption? Evidence from Nigeria written by Balana, Bedru and published by Intl Food Policy Res Inst. This book was released on 2020-09-08 with total page 5 pages. Available in PDF, EPUB and Kindle. Book excerpt: The agricultural sector in Nigeria is characterized by low productivity that is driven in part by low use of modern agricultural technologies. Poor access to credit is seen by many observers to be one of the key barriers to adoption of these technologies. Literature suggests that credit constraints impede individuals from investing in productivity enhancing agricultural technologies and, thus, poor farmers are unable to engage in high-return agricultural activities. Much policy discourse and research literature associates agricultural credit constraints with supply-side factors, such as farmers not having access to credit sources or high costs of borrowing, and, thus, recommend that such supply-side constraints be addressed to improve smallholders’ access to credit. However, demand-side factors, such as borrower’s risk-averse behavior, financial illiteracy, collateral requirements, or perceived high transactions costs, can also play important roles in credit-rationing for smallholder farmers.

Consumption Risk, Technology Adoption, and Poverty Traps

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Author :
Publisher : World Bank Publications
ISBN 13 :
Total Pages : 41 pages
Book Rating : 4./5 ( download)

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Book Synopsis Consumption Risk, Technology Adoption, and Poverty Traps by : Stefan Dercon

Download or read book Consumption Risk, Technology Adoption, and Poverty Traps written by Stefan Dercon and published by World Bank Publications. This book was released on 2007 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt: Much has been written on the determinants of input and technology adoption in agriculture, with issues such as input availability, knowledge and education, risk preferences, profitability, and credit constraints receiving much attention. This paper focuses on a factor that has been less well documented-the differential ability of households to take on risky production technologies for fear of the welfare consequences if shocks result in poor harvests. Building on an explicit model, this is explored in panel data for Ethiopia. Historical rainfall distributions are used to identify the counterfactual consumption risk. Controlling for unobserved household and time-varying village characteristics, it emerges that not just ex-ante credit constraints, but also the possibly low consumption outcomes when harvests fail, discourage the application of fertilizer. The lack of insurance causes inefficiency in production choices.

Consumption Risk, Technology Adoption, and Poverty Traps

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Publisher :
ISBN 13 :
Total Pages : pages
Book Rating : 4.:/5 (931 download)

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Book Synopsis Consumption Risk, Technology Adoption, and Poverty Traps by : Stefan Dercon

Download or read book Consumption Risk, Technology Adoption, and Poverty Traps written by Stefan Dercon and published by . This book was released on 2012 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Much has been written on the determinants of input and technology adoption in agriculture, with issues such as input availability, knowledge and education, risk preferences, profitability, and credit constraints receiving much attention. This paper focuses on a factor that has been less well documented-the differential ability of households to take on risky production technologies for fear of the welfare consequences if shocks result in poor harvests. Building on an explicit model, this is explored in panel data for Ethiopia. Historical rainfall distributions are used to identify the counterfactual consumption risk. Controlling for unobserved household and time-varying village characteristics, it emerges that not just ex-ante credit constraints, but also the possibly low consumption outcomes when harvests fail, discourage the application of fertilizer. The lack of insurance causes inefficiency in production choices.

Consumption Risk, Technology Adoption and Poverty Traps

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Publisher :
ISBN 13 :
Total Pages : 42 pages
Book Rating : 4.:/5 (129 download)

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Book Synopsis Consumption Risk, Technology Adoption and Poverty Traps by : Stefan Dercon

Download or read book Consumption Risk, Technology Adoption and Poverty Traps written by Stefan Dercon and published by . This book was released on 2015 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: Much has been written on the determinants of input and technology adoption in agriculture, with issues such as input availability, knowledge and education, risk preferences, profitability, and credit constraints receiving much attention. This paper focuses on a factor that has been less well documented: the differential ability of households to take on risky production technologies for fear of the welfare consequences if shocks result in poor harvests. Building on an explicit model, this is explored in panel data for Ethiopia. Historical rainfall distributions are used to identify the counterfactual consumption risk. Controlling for unobserved household and time-varying village characteristics, it emerges that not just exante credit constraints, but also the possibly low consumption outcomes when harvests fail, discourage the application of fertiliser. The lack of insurance causes inefficiency in production choices.

The gap between technology awareness and adoption in Sub-Saharan Africa: A literature review for the DeSIRA project

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Author :
Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 10 pages
Book Rating : 4./5 ( download)

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Book Synopsis The gap between technology awareness and adoption in Sub-Saharan Africa: A literature review for the DeSIRA project by : Kazembe, Cynthia

Download or read book The gap between technology awareness and adoption in Sub-Saharan Africa: A literature review for the DeSIRA project written by Kazembe, Cynthia and published by Intl Food Policy Res Inst. This book was released on 2021-03-02 with total page 10 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper reviews different studies on technology adoption in sub-Saharan Africa to understand the determinants of low adoption of improved technologies, with a special focus on Malawi. This will in turn help explain why there is a gap between awareness and adoption of agriculture technologies. As evidenced from the results of the FGDs conducted in Malawi in 2018, despite the visible benefits of the new technologies, farmers often do not adopt or take a long time to adopt them. This creates a gap between awareness of agriculture technologies and their adoption. The existing literature from sub-Saharan Saharan Africa, demonstrates that adoption, as a decision-making process, is affected by farmers’ access to information, their financial and human capital, incentives and external programs, plus farmers’ attitude to risk.

The effects of COVID-19 policies on livelihoods and food security of smallholder farm households in Nigeria: Descriptive results from a phone survey

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Author :
Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 34 pages
Book Rating : 4./5 ( download)

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Book Synopsis The effects of COVID-19 policies on livelihoods and food security of smallholder farm households in Nigeria: Descriptive results from a phone survey by : Balana, Bedru B.

Download or read book The effects of COVID-19 policies on livelihoods and food security of smallholder farm households in Nigeria: Descriptive results from a phone survey written by Balana, Bedru B. and published by Intl Food Policy Res Inst. This book was released on 2020-12-08 with total page 34 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Government’s policy measures such as travel restrictions, lockdowns, and restrictions on economic and social activities, aimed at curbing the spread of COVID-19, had affected the livelihoods and food security of smallholders in Nigeria. Using data collected from sample households from four Nigerian states, this study investigated the effects of COVID-19 pandemic policies on the incomes, employment, and food security situation of smallholder farming households. Results show that 88 percent of the households reported that they lost about 50 percent of their income due to the pandemic. As a result, about 66 percent of respondents reported they reduced food consumption. Travel and movement restrictions caused disruptions in agricultural activities and supply chains, as 29 percent of respondents reported planting fewer crops, 24 percent reduced cropping area, and 24 percent reduced fertilizer application. In terms of household’s food security, results show that COVID-19 significantly worsened the food security situation of many households in Nigeria, especially poorer households. More than 80 percent of respondents worried about not having enough food and 77 percent ate less food than they thought they should. Survey households also reported a significant reduction of consumption of proteins (eggs, meat, and dairy products) and fruits since the pandemic struck. Increases in food prices are felt by most households (85 percent). We suggest three key policy priorities: support vulnerable households to mitigate the impacts of income loss through cash transfer or improved credit access; interventions to improve agricultural inputs supply chains to ease the pandemic’s impact on agricultural production; and support food insecure households through direct food distribution.

Determining Factors and Impacts of Modern Agricultural Technology Adoption in West Wollega

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Publisher : GRIN Verlag
ISBN 13 : 3656744033
Total Pages : 96 pages
Book Rating : 4.6/5 (567 download)

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Book Synopsis Determining Factors and Impacts of Modern Agricultural Technology Adoption in West Wollega by : Merga Challa

Download or read book Determining Factors and Impacts of Modern Agricultural Technology Adoption in West Wollega written by Merga Challa and published by GRIN Verlag. This book was released on 2014-09-16 with total page 96 pages. Available in PDF, EPUB and Kindle. Book excerpt: Master's Thesis from the year 2013 in the subject Agrarian Studies, Wollega University (School of graduate studies), language: English, abstract: This study analyzed factors affecting modern agricultural technology adoption by farmers and the impact of technology adoption decision on the welfare of households in the study area. The data used for the study were obtained from 145 randomly selected sample households in the study area. Binary logit model was employed to analyze the determinants of farmers’ decisions to adopt modern technologies. Moreover, the average effect of adoption on household incomes and expenditure were estimated by using propensity score matching method. The result of the logistic regression showed that household heads’ education level, farm size, credit accessibility, perception of farmers about cost of the inputs and off-farm income positively and significantly affected the farm households’ adoption decision; while family size affected their decision negatively and significantly. The result of the propensity score matching estimation showed that the average income and consumption expenditure of adopters are greater than that of non-adopters. Based on these findings it is recommended that the zonal and the woreda leaders extension agents farm and education experts, policy makers and other development oriented organizations have to plan in such a way that the farm households in the study area will obtain sufficient education, credit accessibilities and also have to train farmers to make them understand the benefits obtained from adopting the new technologies. These bodies have also to arrange policy issues that improve farm labour participation of household members and also to arrange the ways in which farmers obtain means of income outside farming activities.

Postharvest losses and the impact of reusable plastic container technology on profitability: Evidence from tomato traders in Nigeria

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Author :
Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 24 pages
Book Rating : 4./5 ( download)

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Book Synopsis Postharvest losses and the impact of reusable plastic container technology on profitability: Evidence from tomato traders in Nigeria by : Aghadi, Crystal N.

Download or read book Postharvest losses and the impact of reusable plastic container technology on profitability: Evidence from tomato traders in Nigeria written by Aghadi, Crystal N. and published by Intl Food Policy Res Inst. This book was released on 2020-10-09 with total page 24 pages. Available in PDF, EPUB and Kindle. Book excerpt: Postharvest loss is a major challenge in food production and supply chains in developing countries. Using primary data from fresh tomato traders in Lagos, Nigeria, and endogenous switching econometric modelling, this study investigates the effects of reusable plastic containers (RPC) technology on traders’ net profits and the factors determining the adoption of the technology. Results indicate that the trader’s position along the supply chain, income level, seasonality, sales frequency, and technology affordability positively influence their adoption decision. We found that the use of RPC technology significantly increases traders’ net profits. The counterfactual impact analysis indicates that traders who adopted RPC would have earned 7 percent lower net profits had they not used RPC. Conversely, non-adopters would have increased their net profit by 5 percent had they adopted the technology. However, heterogenous treatment effects were observed due to heterogeneities among the adopters.

Does weather risk explain low uptake of agricultural credit?: Evidence from Ethiopia

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Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 29 pages
Book Rating : 4./5 ( download)

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Book Synopsis Does weather risk explain low uptake of agricultural credit?: Evidence from Ethiopia by : Abay, Kibrom A.

Download or read book Does weather risk explain low uptake of agricultural credit?: Evidence from Ethiopia written by Abay, Kibrom A. and published by Intl Food Policy Res Inst. This book was released on 2018-12-12 with total page 29 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Are Smallholder Farmers Credit Constrained?

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Publisher :
ISBN 13 :
Total Pages : 0 pages
Book Rating : 4.:/5 (135 download)

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Book Synopsis Are Smallholder Farmers Credit Constrained? by : Bedru Babulo Balana

Download or read book Are Smallholder Farmers Credit Constrained? written by Bedru Babulo Balana and published by . This book was released on 2020 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Economics of Land Degradation and Improvement – A Global Assessment for Sustainable Development

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Publisher : Springer
ISBN 13 : 3319191683
Total Pages : 686 pages
Book Rating : 4.3/5 (191 download)

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Book Synopsis Economics of Land Degradation and Improvement – A Global Assessment for Sustainable Development by : Ephraim Nkonya

Download or read book Economics of Land Degradation and Improvement – A Global Assessment for Sustainable Development written by Ephraim Nkonya and published by Springer. This book was released on 2015-11-11 with total page 686 pages. Available in PDF, EPUB and Kindle. Book excerpt: This volume deals with land degradation, which is occurring in almost all terrestrial biomes and agro-ecologies, in both low and high income countries and is stretching to about 30% of the total global land area. About three billion people reside in these degraded lands. However, the impact of land degradation is especially severe on livelihoods of the poor who heavily depend on natural resources. The annual global cost of land degradation due to land use and cover change (LUCC) and lower cropland and rangeland productivity is estimated to be about 300 billion USD. Sub-Saharan Africa (SSA) accounts for the largest share (22%) of the total global cost of land degradation. Only about 38% of the cost of land degradation due to LUCC - which accounts for 78% of the US$300 billion loss – is borne by land users and the remaining share (62%) is borne by consumers of ecosystem services off the farm. The results in this volume indicate that reversing land degradation trends makes both economic sense, and has multiple social and environmental benefits. On average, one US dollar investment into restoration of degraded land returns five US dollars. The findings of the country case studies call for increased investments into the rehabilitation and restoration of degraded lands, including through such institutional and policy measures as strengthening community participation for sustainable land management, enhancing government effectiveness and rule of law, improving access to markets and rural services, and securing land tenure. The assessment in this volume has been conducted at a time when there is an elevated interest in private land investments and when global efforts to achieve sustainable development objectives have intensified. In this regard, the results of this volume can contribute significantly to the ongoing policy debate and efforts to design strategies for achieving sustainable development goals and related efforts to address land degradation and halt biodiversity loss.

Building a Resilient and Sustainable Agriculture in Sub-Saharan Africa

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Publisher : Springer
ISBN 13 : 3319762222
Total Pages : 302 pages
Book Rating : 4.3/5 (197 download)

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Book Synopsis Building a Resilient and Sustainable Agriculture in Sub-Saharan Africa by : Abebe Shimeles

Download or read book Building a Resilient and Sustainable Agriculture in Sub-Saharan Africa written by Abebe Shimeles and published by Springer. This book was released on 2018-06-01 with total page 302 pages. Available in PDF, EPUB and Kindle. Book excerpt: What are the challenges and action points for agricultural sustainability in Sub-Saharan Africa? This open access collection of papers offers technical analyses, policy recommendations and an overview of success stories to date. Each carefully selected paper provides valuable insights for improved policy making and defines relevant strategic priorities on Africa’s sustainable transformation process, which is in line with the international development agenda. Although agriculture remains the main source of income for Africa’s population, the sector is rain-fed subjecting it to the vagaries of weather and climate change. This volume demonstrates the rationale of developing a competitive, inclusive and sustainable agribusiness sector for Africa’s food security and structural transformation. From the impact of Bioenergy crop adoption and Drought Index Insurance to Agro-Industrialization, this volume is important reading for individual researchers, academic associations and professional bodies interested in African agricultural development.

World Development Report 2008

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Publisher : World Bank Publications
ISBN 13 : 9780821368091
Total Pages : 384 pages
Book Rating : 4.3/5 (68 download)

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Book Synopsis World Development Report 2008 by : World Bank

Download or read book World Development Report 2008 written by World Bank and published by World Bank Publications. This book was released on 2007-10-15 with total page 384 pages. Available in PDF, EPUB and Kindle. Book excerpt: The world's demand for food is expected to double within the next 50 years, while the natural resources that sustain agriculture will become increasingly scarce, degraded, and vulnerable to the effects of climate change. In many poor countries, agriculture accounts for at least 40 percent of GDP and 80 percent of employment. At the same time, about 70 percent of the world's poor live in rural areas and most depend on agriculture for their livelihoods. 'World Development Report 2008' seeks to assess where, when, and how agriculture can be an effective instrument for economic development, especially development that favors the poor. It examines several broad questions: How has agriculture changed in developing countries in the past 20 years? What are the important new challenges and opportunities for agriculture? Which new sources of agricultural growth can be captured cost effectively in particular in poor countries with large agricultural sectors as in Africa? How can agricultural growth be made more effective for poverty reduction? How can governments facilitate the transition of large populations out of agriculture, without simply transferring the burden of rural poverty to urban areas? How can the natural resource endowment for agriculture be protected? How can agriculture's negative environmental effects be contained? This year's report marks the 30th year the World Bank has been publishing the 'World Development Report'.

Institutional versus noninstitutional credit to agricultural households in India: Evidence on impact from a national farmers’ survey

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Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 36 pages
Book Rating : 4./5 ( download)

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Book Synopsis Institutional versus noninstitutional credit to agricultural households in India: Evidence on impact from a national farmers’ survey by : Kumar, Anjani

Download or read book Institutional versus noninstitutional credit to agricultural households in India: Evidence on impact from a national farmers’ survey written by Kumar, Anjani and published by Intl Food Policy Res Inst. This book was released on 2017-03-02 with total page 36 pages. Available in PDF, EPUB and Kindle. Book excerpt: A goal of agricultural policy in India has been to reduce farmers’ dependence on informal credit. To that end, recent initiatives have been focused explicitly on rural areas and have had a positive impact on the flow of agricultural credit. But despite the significance of these initiatives in enhancing the flow of institutional credit to agriculture, the links between institutional credit and net farm income and consumption expenditures in India are not very well documented. Using a large national farm household–level dataset and instrumental variables two-stage least squares estimation methods, we investigate the impact of institutional farm credit on farm income and farm household consumption expenditures. Our findings show that in India, formal credit is indeed playing a critical role in increasing both the net farm income and per capita monthly household expenditures of Indian farm families. We also find that, in the presence of formal credit, social safety net programs such as the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) may have unintended consequences. In particular, MGNREGA reduces both net farm income and per capita monthly household consumption expenditures. In contrast, in the presence of formal credit, the Public Distribution System may increase both net farm income and per capita monthly household consumption expenditures.

Access to Credit and Its Impact on Welfare in Malawi

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Publisher : Intl Food Policy Res Inst
ISBN 13 : 0896291197
Total Pages : 175 pages
Book Rating : 4.8/5 (962 download)

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Book Synopsis Access to Credit and Its Impact on Welfare in Malawi by : Aliou Diagne

Download or read book Access to Credit and Its Impact on Welfare in Malawi written by Aliou Diagne and published by Intl Food Policy Res Inst. This book was released on 2001 with total page 175 pages. Available in PDF, EPUB and Kindle. Book excerpt: The rural economy and microfinance institutions in Malawi; Survey design and description of the data; Econometric analysis of the impact of access to credit on household welfare; Results of the econometric analysis; Conclusions and implications for policy; Econometric methodology.

Equity and Growth in a Globalizing World

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Publisher : World Bank Publications
ISBN 13 : 9780821381816
Total Pages : 334 pages
Book Rating : 4.3/5 (818 download)

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Book Synopsis Equity and Growth in a Globalizing World by : Ravi Kanbur

Download or read book Equity and Growth in a Globalizing World written by Ravi Kanbur and published by World Bank Publications. This book was released on 2010-05-18 with total page 334 pages. Available in PDF, EPUB and Kindle. Book excerpt: Prepared by the Commission on Growth and Development, this volume brings together and evaluates the state of knowledge on the relationship between poverty, equity, and globalization.