Functionality of markets and the
economic analysis of sustainable
intensification technologies
Julius Manda
International Institute of Tropical Agriculture (IITA)
Africa RISING ESA Project review and planning meeting
11 – 12 September 2019, Dar es Salaam, Tanzania

Introduction
• Consensus that market access for smallholder farmers lead to increased
adoption of agricultural technologies, income and food security leading
to poverty alleviation.
• Smallholder challenges: Lack of information on prices and
technologies, high transaction costs, collective action, underdeveloped
market infrastructure, and credit constraints.
• Collective action:
 Important in reducing transaction costs, secure access to new
technologies, and improve farmers’ bargaining power.
 linkages across the market chain and connect producers,
processors, and buyers into networks that would be beneficial for
all actors.
• Understanding the factors that determine collective action and market
participation important

Output 4.2: Collective action models and alternative approaches linking farmers to
markets developed and pilot tested
• Activity 4.2.1: Identify and evaluate existing mechanisms that inform farmers
about dynamic market needs
• Sub-activity 4.2.1.1. Examine mechanisms that inform farmers about
dynamic market needs and factors that influence collective action in market
participation
 Objective: To identify existing mechanisms that inform farmers about
dynamic market needs and factors that influence collective action in the
maize and common beans markets.
 Location: Babati, Kongwa and Kiteto districts

Research team & role Deliverables Means of
verification
Timeline SI domains, indicators and
metrics
Julius Manda (IITA):
Research design, data
collection and cleaning,
analysis and report write-
up
Gundula Fischer (IITA):
Gender analysis
Job Kihara & Bright
Jumbo
Existing mechanisms that
inform farmers about the
maize and beans markets
identified
Technical report,
draft manuscript
September
2020
Economic:
• Market participation: %
of produce sold
Social:
• Gender equity: Market
participation by genderDeterminants of maize
and beans collective
marketing, including
gender analyzed.
Technical report,
draft manuscript
September
2020

• Activity 4.2.2: Conduct an analysis of the existing baseline survey data and
supplement them with qualitative surveys from target regions.
• Sub-activity 4.2.2.1. Assess the welfare effects of participating in maize,
groundnuts, and pigeon peas markets in Malawi, Tanzania and Zambia.
 Objective: To examine the determinants, extent and welfare effects of
market participation in maize, groundnuts, and pigeon peas markets in
Malawi, Tanzania and Zambia.
 Location: Malawi, Tanzania and Zambia.

Research team & role Deliverables Mean of
verification
Timeline SI domains,
indicators & metrics
Julius Manda (IITA): Data
cleaning, analysis and draft
manuscript
Beliyou Haile & Carlo Azzarri
(IFPRI): Information on the
Malawi and Tanzania
baseline surveys
Gundula Fischer (IITA):
Gender analysis
Regis Chikowo;
Sieglinde Snapp (MSU) :
Information on the Malawi
panel survey
Munyaradzi (CIMMYT):
SIMLEZA data
Determinants and intensity of
participation in the maize,
groundnuts and pigeon pea
markets analyzed
Survey report
and draft
manuscript
September
2020
Economic:
• Market
participation: %
of produce sold
• Poverty: Per
capita
expenditure
Social:
• Gender equity:
Market
participation by
gender
Human Condition:
• Food security:
Food production
and availability
The extent to which female-
headed and male-headed
households exhibit differential
participation in maize,
groundnut and pigeon pea
markets established
Survey report
and draft
manuscript
September
2020
The effect of selling maize,
groundnut and pigeon pea at
farmgate, local and urban
markets on household food
security, household income,
and poverty estimated
Survey report
and draft
manuscript
September
2020

Output 1: Economic analysis of selected Sustainable Intensification technologies
conducted.
• Activity 1: Conduct an analysis of the economic returns of soil and water
conservation technologies in central Tanzania.
• Sub-activity 1.1 Assess the effect of TR/RTR and Fanya-juu’ terracing on
maize productivity, household income and food security.
 Objective: To estimate the effect of TR/RTR and Fanya-juu’
terracing on maize productivity, net returns, household income and
food security.
 Location: Kongwa and Kiteto districts.

Research team & role Deliverables Means of
verification
Timeline SI domains,
indicators and
metrics
Julius Manda (IITA): Design
data collection tools,
coordinate survey, data
analysis and draft manuscript
Francis Muthoni (IITA): GPS
measurement of plots &
sampling
Gundula Fischer (IITA):
Gender analysis
Lieven Claessens (IITA):
Systems analysis
Elirehema Swai: Information
and data on the SWC
technologies
Socio-economic and community
factors (including gender)
affecting the use and non-use of
tied ridging, residual tied ridging
and Fanya-juu terracing identified
Draft
manuscript
September
2020
Productivity:
• Crop productivity:
maize yield (kg/ha)
Economic:
• Profitability: Net
income ($/ha)
Environmental:
• Pesticide & herbicide
use: Amount of
pesticide and
herbicides used
Social:
• Gender equity:
Management control
by gender
Human condition:
• Food security: Food
production and
months of food
insecurity
The economic benefits of
conventional tied ridging and
residual tied ridging established
Draft
manuscript
September
2020
The effect of tied ridging/residual
tied ridging and Fanya-juu
terracing on maize yields, net
returns, household income, asset
ownership and food security
analyzed
Draft
manuscript
September
2020

• Activity 2: Analyze the factors affecting the joint adoption of sustainable
intensification practices and impact on maize productivity.
• Sub-activity 2.1: Determine the effect of the joint adoption of improved
maize varieties and maize-legume intercropping on maize productivity and
crop incomes in Malawi.
 Objective: To examine the effect of the joint adoption of improved maize
varieties and maize-legume intercropping on maize productivity and net
incomes in Malawi.
 Location: Dedza, Mangochi and Ntcheu districts.

Research team & role Deliverables Means of
verification
Timeline SI domains,
indicators and
metrics
Julius Manda (IITA): Data
cleaning, analysis, draft
manuscript
Regis Chikowo;
Sieglinde Snapp (MSU):
Data and details on the
panel survey
Determinants of the joint
adoption of improved maize
varieties and legume-maize
intercropping analyzed
Survey report
and draft
manuscript
September
2020
Productivity:
• Crop productivity:
maize yield (kg/ha)
Economic:
• Profitability: Net
income ($/ha)
Environmental:
• Pesticide & herbicide
use: Amount of
pesticide and
herbicides used
Social:
• Collection action:
Participation in
collection action
Human condition:
• Food security: Food
production
The yield and income effects of
the joint adoption improved
maize and intercropping
examined
Survey report
and draft
manuscript
September
2020
The land productivity and plot
size inverse hypothesis tested
Survey report
and draft
manuscript
September
2020

Moving forward as you prepare your workplans:
• Profitability analysis: Gross margin analysis is good for enterprise selection,
but we can go further:
 Cost-benefit analysis
 Marginal analysis (breakeven analysis): Breakeven yield and price
 Other indicators : Returns to labour and input use intensity
• Early adoption : Adoption constraints, dis-adoption and opportunities.
• Early impacts: Ex-post and ex-ante impacts.
 Ex-ante impacts with plot/field and household data.

Africa Research in Sustainable Intensification for the Next Generation
africa-rising.net
This presentation is licensed for use under the Creative Commons Attribution 4.0 International Licence.
Thank You