This document analyzes the resource use efficiency of smallholder mixed crop-livestock farmers in central Ethiopia. It finds that on average, farmers are 26% technically inefficient, 32% allocatively inefficient, and 50% economically inefficient in their production of major crops like teff, wheat, and chickpeas. A regression analysis finds that livestock ownership and off-farm work reduce inefficiency, while large family size and association membership increase inefficiency. The study suggests improving integrated livestock and crop systems, promoting off-farm activities, and reforming farmers' associations to boost efficiency.
Optimum combination of farm enterprises among smallholder farmers in umuahia ...Alexander Decker
The document presents the results of a study that used linear programming to determine the optimal combination of farm enterprises for smallholder farmers in Umuahia Agricultural Zone, Abia State, Nigeria. A sample of 30 farmers was used to develop a model that maximized gross margin subject to resource constraints. The optimal plan included one crop enterprise, two crop mixtures, and two livestock enterprises. Sensitivity analysis found that increasing land by 25% increased gross margin by 13.48%, while increasing labor by 25% increased gross margin by 3.04%. The study recommends adopting more land and labor-saving technologies to improve farm production.
A model application to assess resource use efficiency for maize production in...Alexander Decker
This document summarizes a study that assessed resource use efficiency for maize production in soils in
northcentral Nigeria. Soil and socioeconomic data were collected from 90 farmers in 3 communities. Soil
properties varied within locations but soil types were similar. Regression analysis found a quadratic model best fit
the data, with yield increasing based on optimal levels of inputs. Returns to scale were decreasing for all inputs
except fertilizer. The study concluded more efficient use of inputs could increase production profits and
recommended educating farmers on innovative technologies for sustainable land management and crop
production.
— The low productivity of the Ethiopian diary sector has been explained by the genetic potentials and management practices. Milk production and consumption largely rely on the indigenous cows. To enhance the contribution of dairy to household food security, nutrition and income, adoption of improved dairy breeds together with the component practices is indispensable. To study the adoption of the dairy technologies and the factors stimulating the choices, a cross-sectional household survey was conducted in the central and eastern Ethiopia. Results declare that the rate of adoption of improved breeds, artificial insemination and improved forage remained to be limited. The uptake of concentrate feeding is found to be relatively better. As the joint multivariate probit estimation confirmed, there is complementarity and interdependence in the uptake of improved breeds, artificial insemination, concentrate feeds and improved forages. Utilization of forage lagged behind to complement adoption of improved cows. Tobit model determination confirmed that the same factors are affecting the adoption decisions. The factors responsible for the joint adoptions, the number of cows owned and intensity of adoption include education status, household wealth, access to markets and district centers, contacts with extension and gender roles. Both the joint and individual analyses highlighted the need for strategies that could overcome the constraints and ensure better uptake of the technologies.
A meta-regression analysis of frontier efficiency estimates from AfricaKeuler Hissa
by Kolawole OGUNDARI
Selected Paper prepared for presentation at the Agricultural & Applied Economics Association’s 2014 AAEA Annual Meeting, Minneapolis, Minnesota, 27-29 June 2014
An analysis of technical efficiency of rice farmers in ahero irrigation schem...Alexander Decker
This document analyzes the technical efficiency of rice farmers in Ahero Irrigation Scheme, Kenya. It begins with background on rice production and consumption trends in Kenya. Rice consumption has been increasing at 12% annually compared to 4% for wheat and 1% for maize. However, production has not kept pace with demand, resulting in a large import deficit. The study estimates a stochastic Cobb-Douglas production function to determine technical efficiency and its determinants. It finds the technical efficiency of rice farmers is 0.82. Gender, farming experience, income level, and distance to market significantly influence technical efficiency. The study recommends policies to improve input affordability and farm incomes, as well as transport infrastructure, to increase efficiency of rice
The economic impact of agricultural development on poverty reduction and welf...Caroline Chenqi Zhou
This study employs quantitative and qualitative methods to identify the relationship between agricultural development, poverty reduction, and income inequality. Building upon the World Bank’s Enabling the Business of Agriculture study (2016) and data from the World Development Indicators (2015) for the years 2000 to 2014, we test two hypotheses. The first pertains to agricultural development and poverty reduction to assess to what extent agricultural development reduces poverty. The second, in a similar fashion, addresses the relationship between agricultural development and income inequality. To supplement our quantitative analysis of these questions, we include a case study of agricultural development, agricultural policy reforms, and their impact in Vietnam and Tanzania. We find evidence that agricultural development reduces poverty.
Technical Efficiency of Smallholder Sorghum Producers in West Hararghe Zone, ...Premier Publishers
This study was aimed at analyzing the technical efficiency of sorghum producing smallholder farmers in Chiro district. It was based on cross-sectional data of 130 sample sorghum producing households randomly selected. The estimated results of the Cobb-Douglas frontier model with inefficiency variables shows that the mean technical efficiency of the farmers in the production of sorghum is 78 percent. This implies that sorghum producers can reduce current level of input application by 22 percent given the existing technological level. The discrepancy ratio γ, which measures the relative deviation of output from the frontier level due to inefficiency, was about 84.6% and while the remaining 15.4% variation in output, was due to the effect of random noise. The estimated stochastic production frontier (SPF) model also indicates that Organic fertilizer, DAP fertilizer, Area, Labor and seed are significant determinants of sorghum production level. The estimated SPF model together with the inefficiency parameters shows that age, Frequency of extension contact, Household size, Slope, Fertility of soil and Livestock holding significantly determine the efficiency level of the farmers in sorghum production in the study area. Hence, emphasis should be given to improve the efficiency level of those less efficient farmers by adopting and using practices of relatively efficient farmers in the area so that they can be able to operate at the frontier. Beside this, a strategy of the government needs to be directed towards the above-mentioned determinants.
Lecturers’ Perception on Agriculture Mechanization in Rivers State, NigeriaAI Publications
The study investigated lecturers’ perception on agricultural mechanization in Rivers state, Nigeria. A descriptive survey design was adopted, four research questions which sought the information regarding benefits, awareness, challenges and solutions guided the study. Population of the study comprises 360 lecturers from three tertiary institutions in Rivers state. Data collection was achieved using a questionnaire comprising 32 items and rated on a five point likert scale. Mean was used for data analysis. For results, regarding benefits, the respondents agreed that agricultural mechanization boosts food production but disagree that it boosts employment of labour. For awareness, lecturers were generally aware of mechanization in agriculture. For challenges, they perceived lack of skills to use mechanized farm equipment as one challenge to mechanization. They perceived that favourable government policies could enhance agricultural mechanization. The study recommend that awareness on agricultural mechanization should be created and government set up agricultural machinery industries for developing and hiring out mechanized farm tools at subsidized rates to farmers.
Optimum combination of farm enterprises among smallholder farmers in umuahia ...Alexander Decker
The document presents the results of a study that used linear programming to determine the optimal combination of farm enterprises for smallholder farmers in Umuahia Agricultural Zone, Abia State, Nigeria. A sample of 30 farmers was used to develop a model that maximized gross margin subject to resource constraints. The optimal plan included one crop enterprise, two crop mixtures, and two livestock enterprises. Sensitivity analysis found that increasing land by 25% increased gross margin by 13.48%, while increasing labor by 25% increased gross margin by 3.04%. The study recommends adopting more land and labor-saving technologies to improve farm production.
A model application to assess resource use efficiency for maize production in...Alexander Decker
This document summarizes a study that assessed resource use efficiency for maize production in soils in
northcentral Nigeria. Soil and socioeconomic data were collected from 90 farmers in 3 communities. Soil
properties varied within locations but soil types were similar. Regression analysis found a quadratic model best fit
the data, with yield increasing based on optimal levels of inputs. Returns to scale were decreasing for all inputs
except fertilizer. The study concluded more efficient use of inputs could increase production profits and
recommended educating farmers on innovative technologies for sustainable land management and crop
production.
— The low productivity of the Ethiopian diary sector has been explained by the genetic potentials and management practices. Milk production and consumption largely rely on the indigenous cows. To enhance the contribution of dairy to household food security, nutrition and income, adoption of improved dairy breeds together with the component practices is indispensable. To study the adoption of the dairy technologies and the factors stimulating the choices, a cross-sectional household survey was conducted in the central and eastern Ethiopia. Results declare that the rate of adoption of improved breeds, artificial insemination and improved forage remained to be limited. The uptake of concentrate feeding is found to be relatively better. As the joint multivariate probit estimation confirmed, there is complementarity and interdependence in the uptake of improved breeds, artificial insemination, concentrate feeds and improved forages. Utilization of forage lagged behind to complement adoption of improved cows. Tobit model determination confirmed that the same factors are affecting the adoption decisions. The factors responsible for the joint adoptions, the number of cows owned and intensity of adoption include education status, household wealth, access to markets and district centers, contacts with extension and gender roles. Both the joint and individual analyses highlighted the need for strategies that could overcome the constraints and ensure better uptake of the technologies.
A meta-regression analysis of frontier efficiency estimates from AfricaKeuler Hissa
by Kolawole OGUNDARI
Selected Paper prepared for presentation at the Agricultural & Applied Economics Association’s 2014 AAEA Annual Meeting, Minneapolis, Minnesota, 27-29 June 2014
An analysis of technical efficiency of rice farmers in ahero irrigation schem...Alexander Decker
This document analyzes the technical efficiency of rice farmers in Ahero Irrigation Scheme, Kenya. It begins with background on rice production and consumption trends in Kenya. Rice consumption has been increasing at 12% annually compared to 4% for wheat and 1% for maize. However, production has not kept pace with demand, resulting in a large import deficit. The study estimates a stochastic Cobb-Douglas production function to determine technical efficiency and its determinants. It finds the technical efficiency of rice farmers is 0.82. Gender, farming experience, income level, and distance to market significantly influence technical efficiency. The study recommends policies to improve input affordability and farm incomes, as well as transport infrastructure, to increase efficiency of rice
The economic impact of agricultural development on poverty reduction and welf...Caroline Chenqi Zhou
This study employs quantitative and qualitative methods to identify the relationship between agricultural development, poverty reduction, and income inequality. Building upon the World Bank’s Enabling the Business of Agriculture study (2016) and data from the World Development Indicators (2015) for the years 2000 to 2014, we test two hypotheses. The first pertains to agricultural development and poverty reduction to assess to what extent agricultural development reduces poverty. The second, in a similar fashion, addresses the relationship between agricultural development and income inequality. To supplement our quantitative analysis of these questions, we include a case study of agricultural development, agricultural policy reforms, and their impact in Vietnam and Tanzania. We find evidence that agricultural development reduces poverty.
Technical Efficiency of Smallholder Sorghum Producers in West Hararghe Zone, ...Premier Publishers
This study was aimed at analyzing the technical efficiency of sorghum producing smallholder farmers in Chiro district. It was based on cross-sectional data of 130 sample sorghum producing households randomly selected. The estimated results of the Cobb-Douglas frontier model with inefficiency variables shows that the mean technical efficiency of the farmers in the production of sorghum is 78 percent. This implies that sorghum producers can reduce current level of input application by 22 percent given the existing technological level. The discrepancy ratio γ, which measures the relative deviation of output from the frontier level due to inefficiency, was about 84.6% and while the remaining 15.4% variation in output, was due to the effect of random noise. The estimated stochastic production frontier (SPF) model also indicates that Organic fertilizer, DAP fertilizer, Area, Labor and seed are significant determinants of sorghum production level. The estimated SPF model together with the inefficiency parameters shows that age, Frequency of extension contact, Household size, Slope, Fertility of soil and Livestock holding significantly determine the efficiency level of the farmers in sorghum production in the study area. Hence, emphasis should be given to improve the efficiency level of those less efficient farmers by adopting and using practices of relatively efficient farmers in the area so that they can be able to operate at the frontier. Beside this, a strategy of the government needs to be directed towards the above-mentioned determinants.
Lecturers’ Perception on Agriculture Mechanization in Rivers State, NigeriaAI Publications
The study investigated lecturers’ perception on agricultural mechanization in Rivers state, Nigeria. A descriptive survey design was adopted, four research questions which sought the information regarding benefits, awareness, challenges and solutions guided the study. Population of the study comprises 360 lecturers from three tertiary institutions in Rivers state. Data collection was achieved using a questionnaire comprising 32 items and rated on a five point likert scale. Mean was used for data analysis. For results, regarding benefits, the respondents agreed that agricultural mechanization boosts food production but disagree that it boosts employment of labour. For awareness, lecturers were generally aware of mechanization in agriculture. For challenges, they perceived lack of skills to use mechanized farm equipment as one challenge to mechanization. They perceived that favourable government policies could enhance agricultural mechanization. The study recommend that awareness on agricultural mechanization should be created and government set up agricultural machinery industries for developing and hiring out mechanized farm tools at subsidized rates to farmers.
This document analyzes the embedded energy of on-farm losses and energy flow for maize production in Nigeria. The total energy input for maize production was estimated at 9,502 MJ/ha, with fertilizer accounting for 58% of energy use. The total energy output was 33,510 MJ/ha. The embedded energy in on-farm maize losses for 2000-2012 was estimated at 6,816 MJ, with losses highest in 2012 at 1,995 MJ. Improving efficiency could help reduce energy losses from wasted maize.
Status of Agricultural Food Sector: Basis for A Proposed Continuity PlanIJAEMSJORNAL
This study described the status of agriculture in the province of Nueva Ecija. It determined the current situation of the farming business in Nueva Ecija in terms of agricultural land use, its statistical profile on agriculture, crops grown by cities and municipalities and the presence of support agencies in maintaining the continuous development of farming and other forms of agriculture therein. Based on its agriculture profile, land, mostly irrigated shares the biggest portion in terms of its usage for food production. Rice, corn, onion and tomatoes are the major crops being grown in cities and municipalities. Findings revealed that rice and corn share the biggest in domestic consumption. For support agencies, bank and business agencies are found in support for farmers while the government mostly provides seminars. It was also revealed that other seeds for crops are introduced as a farmer’s option and lesser in choosing for an investment in their income. As their contingency plan, farmers opt to sell and engage in driving rather than farming during lean months. Pest attacks constitute the main problem encountered by farmers, while seeding management is a priority. The above findings point to certain sustainability that requires improvement and a continuity plan to match up with the continuous supply of goods from the farms to the demands of an increasing population for its consumption.
Review on Consumer Preference of Milk and Milk Product in EthiopiaAI Publications
The aim of this review was to assesses consumer preferences and its determinates towards milk and milk product in Ethiopia. To do this review secondary data such as books, journals, and domestic and foreign published articles were used. According to different past studies result fresh milk, traditional butter, butter milk, cottage cheese, whey and ghee were the common products which consumed frequently in almost all part of the country. Fresh milk was the most preferable product in the country as compared to others due to high fat content, availability, taste and lower price. The review indicates that better educated household head, higher income households, younger and female household head and people who agree with “unpacked and unprocessed milk is not healthy” consume more packed and processed /pasteurized / milk than do others. Generally, consumer preference towards milk and milk product were significantly dependent on demographic, socioeconomic and psychological characteristics of household as well as market mixed variables includes product characteristics, pricing strategies, packaging, Promotion and place factors. thus, it is recommended that, milk producing and processing companies need to design better pricing, promotion and advertising strategies for different milk product consumption to attract consumers.
Technical efficiency in agriculture in ghana analyses of determining factorsAlexander Decker
This document summarizes a journal article that estimates technical efficiency in Ghana's agricultural sector from 1976-2007 and investigates factors that influence the estimated efficiencies. The study finds decreasing returns to scale and that land is negatively related to output while fertilizer and machinery are positively related. The estimated level of inefficiency is 21% with decreasing returns to scale. No hypothesized variables for explaining technical efficiency were found to be statistically significant. The study calls for decreasing land use relative to other inputs to improve efficiency.
Agricultural transformation in Africa? Assessing the evidence in Ethiopia essp2
This document summarizes evidence on agricultural transformation in Ethiopia over the past decade. It finds that agricultural output and productivity have grown rapidly, with crop output 127% higher in 2013/14 than 2003/04. Labor and total factor productivity were initially the largest contributors to growth, but modern inputs like fertilizer, improved seeds, and extension services have become increasingly important drivers in recent years, together accounting for over 40% of growth from 2009-2014. The intensification of agriculture was supported by factors like improved agricultural extension, growing connectivity to markets, and rising education levels, which facilitated greater adoption of modern farm technologies and practices.
Economic Analysis of Chickpea Production in Damot Gale District, Southern Eth...Premier Publishers
The study examined determinants, resource use efficiency and profitability of smallholder chickpea production in Damot Gale district. The study employed multistage sampling to collect relevant primary data and used secondary data to substantiate the findings. A total of 146 producers selected from two administrative kebeles. Both qualitative and quantitative data were used for the study. Descriptive statistics, production function, resource use efficiency index and budgetary technique were the analytical methods employed in the study. The finding revealed that output of chickpea was influenced by plot size, fertilizer, pesticide, oxen days, level of education of the producer and the type of chickpea seed used positively and significantly. Resource use efficiency index of plot size (4.1), seed (1.3), pesticide (15.7) and oxen power (2.8) indicated the resources were underutilized while labor (-0.5) was the only over utilized resource. The study revealed the production is profitable even with resource use inefficiency. The average net revenue obtained by the typical chickpea producer was 20,377.87 birrs/ha with benefit cost ratio of 2.7. Shortage of land, pest and disease, high price of fertilizer, grain price fluctuation, high prices of improved seed and sudden drought were among important constraints of chickpea production in the study area. Thus, concerned bodies should work on policy relevant significant variables to improve the productivity, resource use efficiency and profitability of the production.
- The document analyzes the allocative and technical efficiencies of resources used in cocoyam production among small-scale farmers in Nigeria.
- Results of the allocative efficiency analysis showed that farm size, fertilizer, herbicide, and seeds were underutilized, while labor was overutilized.
- The technical efficiency analysis used a stochastic frontier production function model to estimate the production frontier and efficiency levels. It found room for improving efficient use of resources like land, fertilizer, herbicide, and seeds among cocoyam farmers.
THE CONTRIBUTION OF AGRICULTURAL SECTOR IN THE ACHIEVEMENT OF MDGS TARGET AND...Hermanto .
This study analyzes the contribution of the agricultural sector on the reduction of poverty by using a model IndoTerm (Indonesia The Enormous Regional Model). It is Regional Computable General Equilibrium model in particularly for provinces in Indonesia
Dairy Production System in Lowland Areas of Gambella, EthiopiaAI Publications
The objective of this study was to identify and assessing the different types of dairy cattle production systems, management practices, marketing and its constraints that exist in the Itang district. A total of 120 households were selected from four kebeles using simple random selection method after identifying the dairy owner from the community using purposive sampling method. Descriptive statistics, one way ANOVA, chi-square and ranking were analysed using SPSS statistical package. The majority of producers (63.3%) in the pastoral system produced milk for home consumption, while the majority of mixed crop–livestock producers (40.0%) produced milk for selling purpose. In the mixed crop–livestock system, mostly cereal crop based grazing is the major feed resource but these feed resources were managed in a traditional ways. Almost all respondents in the mixed crop-livestock system (96.5%) and pastoral system (100%) did not supplement their lactating cow with additional feeds. More than 400 cattle herds from 2-3 villages graze together between 10 am to 4 pm daily. The majority of households (68.3%) in the mixed crop–livestock system kept their cattle separately in barn, while other 8.3% of the households did the same in pastoral areas. Constraints for dairy development in the area are diseased condition, thieves, lack of veterinary services, lack of credit, feed and feeding and poor extension services. It can be concluded dairy cattle production in the mixed crop-livestock system was economical and based on mixed agriculture (crops plus livestock) with some fishing activity, mining and wild food collection.
Nature, scope and significance of Agricultural Production EconomicsRAVI SAHU
Agricultural production economics is concerned with the productivity and efficient use of farm resources like land, labor, capital and management. It deals with factor-product, factor-factor and product-product relationships. The scope of agricultural production economics includes the economics of agricultural production, problems in the agricultural sector and remedies, agricultural credit, marketing, demand and supply of farm goods, agricultural policies and programs, and taxes on farm productivity. Agricultural production economics is significant as it applies economic theories to address agricultural issues and provides insights into the relationships between crop and animal production systems.
The Role of Agriculture in Hunger and Poverty ReductionShenggen Fan
Agricultural growth is crucial for reducing hunger and poverty according to the director of IFPRI. Agricultural research is key to addressing challenges like population growth, climate change, and food price volatility. Agricultural innovation has led to major successes in reducing hunger in places like Asia and Africa. The new CGIAR structure and consortium research programs are well positioned to contribute to global food security and poverty reduction through agricultural research. Country strategy support programs help build policymaking capacity in individual countries.
Analysis of Rural Households Food Security Status in Dibatie District, Wester...Premier Publishers
This study examines the rural household’s food security status and its determinants in the Dibatie district of Bebishangul Gumuz region. The simple random sampling technique was used to select respondents with proportionate sample size based on the number of households that exists in sampled kebele administrations. The data were collected using structured questionnaires and key informants interviews. Both descriptive statistics and econometric model (binary logit model) were used to analyze this data at household levels. Food Security Index is used to measure the food security status of sample households based on average kcal/day/adult equivalent. The results of this study revealed that households of 59.4% were found food secure and 46.6% food insecure. The mean calorie intake of all sampled households was 2431.68kcal/day/equivalent. Furthermore, estimated a binary logit model results show that the variables such as education level of household head, utilization of formal credit, cultivated land size, access to training, farm experience, household size and distance to nearest market were found significant influence on households’ food security status in the study area. However, the remaining variables were not found significant effect on households’ food security status. Finally, the study suggests that any interventions designed to promote farmers to increase food security status at household level in the study area are welcome.
Determinants of Agricultural Innovations Adoption among Cooperative and Non C...ijtsrd
This study examined the determinants of agricultural innovations adoption among cooperative and non cooperative farmers in Imo State, Nigeria. The research design used in this study is descriptive survey research design. The area of study was Imo State, and data were gotten from the three zones, namely, Orlu, Owerri and Okigwe. Data were generated from a total population of 1184 registered cooperatives and non cooperative farmers. Using Taro Yamane formula, a total of 464 respondents were selected from both cooperative and non cooperative farmers. Questionnaire was the instrument of data collection. Descriptive statistics and one way Analysis of Variance ANOVA were employed to address the research questions and to test the promulgated hypothesis. The findings revealed that important determinant of adoption include educational level, annual income, farm experience, frequency of contact, cooperative membership, price of the produce, type of media used, government policy, availability of success stories, frequency of training, attitude to novel ideas, household size, extent of livelihood diversification, availability of markets and parents occupation. Determinants of agricultural innovation adoption were also the same for cooperative and non cooperative farmers. Based on the findings made in the study, the study recommends that cooperative extension services need to be revolutionalized and given adequate attention. This can be achieved by developing new framework for cooperative extension and forging a common ground for both cooperative and agricultural extension work. Apart from recruitment and deployment of competent and well motivated staff, there is the need for provision of work gadget and work tools that are in tune with technological changes. Supervision and retraining of extension staff should also become a priority. Michael, Maureen Chinenye | Ojiagu, Nkechi Cordelia | Umebali, E. Emmanuel "Determinants of Agricultural Innovations Adoption among Cooperative and Non-Cooperative Farmers in Imo State, Nigeria" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-4 | Issue-3 , April 2020, URL: https://www.ijtsrd.com/papers/ijtsrd30329.pdf Paper Url :https://www.ijtsrd.com/engineering/agricultural-engineering/30329/determinants-of-agricultural-innovations-adoption-among-cooperative-and-noncooperative-farmers-in-imo-state-nigeria/michael-maureen-chinenye
Efficiency and Yield Gap Analysis in Potato Production: The Case of Potato Fa...Premier Publishers
This document analyzes potato production efficiency, yield gaps, and responsiveness to inputs among potato farmers in central Ethiopia. A survey of 196 farmers found the average technical efficiency was 62.6% and actual yield gap was 15.2 tons/ha. Eighty-six percent of yield variation was due to technical inefficiency, accounting for a 13.07 ton/ha yield gap. Efforts to improve efficiency through better farm management would be more cost-effective than introducing new technologies like varieties to increase production and productivity in the region.
Performance analysis of poultry feed marketers in Delta State, NigeriaAI Publications
This study examined the performance of poultry feed marketers in the Delta State in order to increase investments by potential investors in the enterprise which is economically viable. Delta State has been chosen for the study due to its high concentration of marketers in poultry feed. A sample of 75 poultry feed marketers were randomly selected from the markets in the study area. Data were collected using structured questionnaire and analyzed using descriptive statistics, multiple regression techniques and cost and return analysis. The mean age of marketers was 45years. Majority (57%) were males. About 64% were literate with 12 years of marketing experience. The mean household size was 6 persons. The mean bags sold daily was 3.3. Marketers sell different types of poultry feeds. The most common marketing channel was producer-wholesale-retailer-consumer. The regression results showed that buying price of the poultry feed, cost of transportation, market charges and cost of shop was negatively and significantly associated with profit while selling price, marketing experience and quantity sold showed a positive relationship with profit. The enterprise proved profitable with significant gross margin and marketing efficiency level of N51,181.87 and 81.6% respectively. The major constraints to poultry feed marketing were inadequate credit facility, transportation, insufficient market information and price fluctuation. It is recommended that credit facilities should be provided to the feed marketers to ease purchase of inputs. To further reduce the cost of initial purchase, the government and other agencies should consider subsidizing poultry feed.
Analysis of agricultural subsectors contribution growth rate in the agricultu...inventionjournals
In the current study, we have analyzed the contribution of agricultural sub-sectors growth rate to
the agriculture GDP growth rate of Pakistan by using secondary data from 2001 to 2015. Ordinary Least
Square (OLS) method was applied to estimate the model parameter. For this purpose the study considered a
dependent variable of agriculture GDP growth rate and several independents variables include major, minor
crops, livestock, fishery and forestry. The regression analysis of the data showed a positive and significant
contribution in agriculture GDP growth rate. However, fishery and forestry sub-sectors contribute growth rates
were considered poor as compared with other sub-sectors could be due to less attention paid from the
government. Our study suggests that Government of Pakistan should consider the importance of both
agricultural sub-sectors to increase there’s contribution growth rate towards agriculture GDP growth rate in
Pakistan.
This document summarizes a study on the profitability and production efficiency of small-scale maize production in Niger State, Nigeria. The study found that maize production was profitable, with an average net farm income of 48,109 Naira per hectare. Production costs were 77.9% of total costs, with labor as the largest cost. The production efficiency index of 2.50 indicated that returns exceeded costs by 150%, showing profitability. While profitable, the study recommended increasing farm size and production to enhance profits further. Improving access to farmland, education, credit, and extension services were also suggested to improve profitability of small-scale maize production in the area.
The attempt of local government in achieving food self sufficiencyAlexander Decker
This document summarizes a study on the local government's attempts to achieve food self-sufficiency in the district of Malinau, East Kalimantan. It discusses the agricultural potential and policies in Malinau, how the policies have implications for establishing food self-sufficiency, and proposes a developmental model to better support this goal. Key points analyzed include decentralization of agricultural development, empowering local farmers, diversifying food crops beyond just rice, and increasing households' ability to purchase sufficient nutritious food. The study concludes that changes are needed to agricultural policies and programs to better achieve social goals, improve target systems and outputs, and increase farmer productivity through technology.
This document discusses strategies for building sustainable competitive advantages for single-product businesses, including cost leadership, differentiation, speed, and market focus. It evaluates opportunities for these strategies based on skills, resources, and organizational requirements. Industries are discussed in terms of emerging, maturing, mature/declining, fragmented, and global settings. Grand strategies like diversification, integration, and joint ventures are presented as opportunities to build value. A strategic analysis and choice matrix models different strategies based on competitive position and market growth.
The document discusses various frameworks for conducting internal analysis, including the resource-based view of the firm, value chain analysis, and SWOT analysis. The resource-based view examines a firm's unique bundle of tangible, intangible, and organizational resources. Value chain analysis divides a business into activities to better understand sources of competitive advantage. SWOT analysis assesses a firm's strengths, weaknesses, opportunities, and threats to develop effective strategies.
This document analyzes the embedded energy of on-farm losses and energy flow for maize production in Nigeria. The total energy input for maize production was estimated at 9,502 MJ/ha, with fertilizer accounting for 58% of energy use. The total energy output was 33,510 MJ/ha. The embedded energy in on-farm maize losses for 2000-2012 was estimated at 6,816 MJ, with losses highest in 2012 at 1,995 MJ. Improving efficiency could help reduce energy losses from wasted maize.
Status of Agricultural Food Sector: Basis for A Proposed Continuity PlanIJAEMSJORNAL
This study described the status of agriculture in the province of Nueva Ecija. It determined the current situation of the farming business in Nueva Ecija in terms of agricultural land use, its statistical profile on agriculture, crops grown by cities and municipalities and the presence of support agencies in maintaining the continuous development of farming and other forms of agriculture therein. Based on its agriculture profile, land, mostly irrigated shares the biggest portion in terms of its usage for food production. Rice, corn, onion and tomatoes are the major crops being grown in cities and municipalities. Findings revealed that rice and corn share the biggest in domestic consumption. For support agencies, bank and business agencies are found in support for farmers while the government mostly provides seminars. It was also revealed that other seeds for crops are introduced as a farmer’s option and lesser in choosing for an investment in their income. As their contingency plan, farmers opt to sell and engage in driving rather than farming during lean months. Pest attacks constitute the main problem encountered by farmers, while seeding management is a priority. The above findings point to certain sustainability that requires improvement and a continuity plan to match up with the continuous supply of goods from the farms to the demands of an increasing population for its consumption.
Review on Consumer Preference of Milk and Milk Product in EthiopiaAI Publications
The aim of this review was to assesses consumer preferences and its determinates towards milk and milk product in Ethiopia. To do this review secondary data such as books, journals, and domestic and foreign published articles were used. According to different past studies result fresh milk, traditional butter, butter milk, cottage cheese, whey and ghee were the common products which consumed frequently in almost all part of the country. Fresh milk was the most preferable product in the country as compared to others due to high fat content, availability, taste and lower price. The review indicates that better educated household head, higher income households, younger and female household head and people who agree with “unpacked and unprocessed milk is not healthy” consume more packed and processed /pasteurized / milk than do others. Generally, consumer preference towards milk and milk product were significantly dependent on demographic, socioeconomic and psychological characteristics of household as well as market mixed variables includes product characteristics, pricing strategies, packaging, Promotion and place factors. thus, it is recommended that, milk producing and processing companies need to design better pricing, promotion and advertising strategies for different milk product consumption to attract consumers.
Technical efficiency in agriculture in ghana analyses of determining factorsAlexander Decker
This document summarizes a journal article that estimates technical efficiency in Ghana's agricultural sector from 1976-2007 and investigates factors that influence the estimated efficiencies. The study finds decreasing returns to scale and that land is negatively related to output while fertilizer and machinery are positively related. The estimated level of inefficiency is 21% with decreasing returns to scale. No hypothesized variables for explaining technical efficiency were found to be statistically significant. The study calls for decreasing land use relative to other inputs to improve efficiency.
Agricultural transformation in Africa? Assessing the evidence in Ethiopia essp2
This document summarizes evidence on agricultural transformation in Ethiopia over the past decade. It finds that agricultural output and productivity have grown rapidly, with crop output 127% higher in 2013/14 than 2003/04. Labor and total factor productivity were initially the largest contributors to growth, but modern inputs like fertilizer, improved seeds, and extension services have become increasingly important drivers in recent years, together accounting for over 40% of growth from 2009-2014. The intensification of agriculture was supported by factors like improved agricultural extension, growing connectivity to markets, and rising education levels, which facilitated greater adoption of modern farm technologies and practices.
Economic Analysis of Chickpea Production in Damot Gale District, Southern Eth...Premier Publishers
The study examined determinants, resource use efficiency and profitability of smallholder chickpea production in Damot Gale district. The study employed multistage sampling to collect relevant primary data and used secondary data to substantiate the findings. A total of 146 producers selected from two administrative kebeles. Both qualitative and quantitative data were used for the study. Descriptive statistics, production function, resource use efficiency index and budgetary technique were the analytical methods employed in the study. The finding revealed that output of chickpea was influenced by plot size, fertilizer, pesticide, oxen days, level of education of the producer and the type of chickpea seed used positively and significantly. Resource use efficiency index of plot size (4.1), seed (1.3), pesticide (15.7) and oxen power (2.8) indicated the resources were underutilized while labor (-0.5) was the only over utilized resource. The study revealed the production is profitable even with resource use inefficiency. The average net revenue obtained by the typical chickpea producer was 20,377.87 birrs/ha with benefit cost ratio of 2.7. Shortage of land, pest and disease, high price of fertilizer, grain price fluctuation, high prices of improved seed and sudden drought were among important constraints of chickpea production in the study area. Thus, concerned bodies should work on policy relevant significant variables to improve the productivity, resource use efficiency and profitability of the production.
- The document analyzes the allocative and technical efficiencies of resources used in cocoyam production among small-scale farmers in Nigeria.
- Results of the allocative efficiency analysis showed that farm size, fertilizer, herbicide, and seeds were underutilized, while labor was overutilized.
- The technical efficiency analysis used a stochastic frontier production function model to estimate the production frontier and efficiency levels. It found room for improving efficient use of resources like land, fertilizer, herbicide, and seeds among cocoyam farmers.
THE CONTRIBUTION OF AGRICULTURAL SECTOR IN THE ACHIEVEMENT OF MDGS TARGET AND...Hermanto .
This study analyzes the contribution of the agricultural sector on the reduction of poverty by using a model IndoTerm (Indonesia The Enormous Regional Model). It is Regional Computable General Equilibrium model in particularly for provinces in Indonesia
Dairy Production System in Lowland Areas of Gambella, EthiopiaAI Publications
The objective of this study was to identify and assessing the different types of dairy cattle production systems, management practices, marketing and its constraints that exist in the Itang district. A total of 120 households were selected from four kebeles using simple random selection method after identifying the dairy owner from the community using purposive sampling method. Descriptive statistics, one way ANOVA, chi-square and ranking were analysed using SPSS statistical package. The majority of producers (63.3%) in the pastoral system produced milk for home consumption, while the majority of mixed crop–livestock producers (40.0%) produced milk for selling purpose. In the mixed crop–livestock system, mostly cereal crop based grazing is the major feed resource but these feed resources were managed in a traditional ways. Almost all respondents in the mixed crop-livestock system (96.5%) and pastoral system (100%) did not supplement their lactating cow with additional feeds. More than 400 cattle herds from 2-3 villages graze together between 10 am to 4 pm daily. The majority of households (68.3%) in the mixed crop–livestock system kept their cattle separately in barn, while other 8.3% of the households did the same in pastoral areas. Constraints for dairy development in the area are diseased condition, thieves, lack of veterinary services, lack of credit, feed and feeding and poor extension services. It can be concluded dairy cattle production in the mixed crop-livestock system was economical and based on mixed agriculture (crops plus livestock) with some fishing activity, mining and wild food collection.
Nature, scope and significance of Agricultural Production EconomicsRAVI SAHU
Agricultural production economics is concerned with the productivity and efficient use of farm resources like land, labor, capital and management. It deals with factor-product, factor-factor and product-product relationships. The scope of agricultural production economics includes the economics of agricultural production, problems in the agricultural sector and remedies, agricultural credit, marketing, demand and supply of farm goods, agricultural policies and programs, and taxes on farm productivity. Agricultural production economics is significant as it applies economic theories to address agricultural issues and provides insights into the relationships between crop and animal production systems.
The Role of Agriculture in Hunger and Poverty ReductionShenggen Fan
Agricultural growth is crucial for reducing hunger and poverty according to the director of IFPRI. Agricultural research is key to addressing challenges like population growth, climate change, and food price volatility. Agricultural innovation has led to major successes in reducing hunger in places like Asia and Africa. The new CGIAR structure and consortium research programs are well positioned to contribute to global food security and poverty reduction through agricultural research. Country strategy support programs help build policymaking capacity in individual countries.
Analysis of Rural Households Food Security Status in Dibatie District, Wester...Premier Publishers
This study examines the rural household’s food security status and its determinants in the Dibatie district of Bebishangul Gumuz region. The simple random sampling technique was used to select respondents with proportionate sample size based on the number of households that exists in sampled kebele administrations. The data were collected using structured questionnaires and key informants interviews. Both descriptive statistics and econometric model (binary logit model) were used to analyze this data at household levels. Food Security Index is used to measure the food security status of sample households based on average kcal/day/adult equivalent. The results of this study revealed that households of 59.4% were found food secure and 46.6% food insecure. The mean calorie intake of all sampled households was 2431.68kcal/day/equivalent. Furthermore, estimated a binary logit model results show that the variables such as education level of household head, utilization of formal credit, cultivated land size, access to training, farm experience, household size and distance to nearest market were found significant influence on households’ food security status in the study area. However, the remaining variables were not found significant effect on households’ food security status. Finally, the study suggests that any interventions designed to promote farmers to increase food security status at household level in the study area are welcome.
Determinants of Agricultural Innovations Adoption among Cooperative and Non C...ijtsrd
This study examined the determinants of agricultural innovations adoption among cooperative and non cooperative farmers in Imo State, Nigeria. The research design used in this study is descriptive survey research design. The area of study was Imo State, and data were gotten from the three zones, namely, Orlu, Owerri and Okigwe. Data were generated from a total population of 1184 registered cooperatives and non cooperative farmers. Using Taro Yamane formula, a total of 464 respondents were selected from both cooperative and non cooperative farmers. Questionnaire was the instrument of data collection. Descriptive statistics and one way Analysis of Variance ANOVA were employed to address the research questions and to test the promulgated hypothesis. The findings revealed that important determinant of adoption include educational level, annual income, farm experience, frequency of contact, cooperative membership, price of the produce, type of media used, government policy, availability of success stories, frequency of training, attitude to novel ideas, household size, extent of livelihood diversification, availability of markets and parents occupation. Determinants of agricultural innovation adoption were also the same for cooperative and non cooperative farmers. Based on the findings made in the study, the study recommends that cooperative extension services need to be revolutionalized and given adequate attention. This can be achieved by developing new framework for cooperative extension and forging a common ground for both cooperative and agricultural extension work. Apart from recruitment and deployment of competent and well motivated staff, there is the need for provision of work gadget and work tools that are in tune with technological changes. Supervision and retraining of extension staff should also become a priority. Michael, Maureen Chinenye | Ojiagu, Nkechi Cordelia | Umebali, E. Emmanuel "Determinants of Agricultural Innovations Adoption among Cooperative and Non-Cooperative Farmers in Imo State, Nigeria" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-4 | Issue-3 , April 2020, URL: https://www.ijtsrd.com/papers/ijtsrd30329.pdf Paper Url :https://www.ijtsrd.com/engineering/agricultural-engineering/30329/determinants-of-agricultural-innovations-adoption-among-cooperative-and-noncooperative-farmers-in-imo-state-nigeria/michael-maureen-chinenye
Efficiency and Yield Gap Analysis in Potato Production: The Case of Potato Fa...Premier Publishers
This document analyzes potato production efficiency, yield gaps, and responsiveness to inputs among potato farmers in central Ethiopia. A survey of 196 farmers found the average technical efficiency was 62.6% and actual yield gap was 15.2 tons/ha. Eighty-six percent of yield variation was due to technical inefficiency, accounting for a 13.07 ton/ha yield gap. Efforts to improve efficiency through better farm management would be more cost-effective than introducing new technologies like varieties to increase production and productivity in the region.
Performance analysis of poultry feed marketers in Delta State, NigeriaAI Publications
This study examined the performance of poultry feed marketers in the Delta State in order to increase investments by potential investors in the enterprise which is economically viable. Delta State has been chosen for the study due to its high concentration of marketers in poultry feed. A sample of 75 poultry feed marketers were randomly selected from the markets in the study area. Data were collected using structured questionnaire and analyzed using descriptive statistics, multiple regression techniques and cost and return analysis. The mean age of marketers was 45years. Majority (57%) were males. About 64% were literate with 12 years of marketing experience. The mean household size was 6 persons. The mean bags sold daily was 3.3. Marketers sell different types of poultry feeds. The most common marketing channel was producer-wholesale-retailer-consumer. The regression results showed that buying price of the poultry feed, cost of transportation, market charges and cost of shop was negatively and significantly associated with profit while selling price, marketing experience and quantity sold showed a positive relationship with profit. The enterprise proved profitable with significant gross margin and marketing efficiency level of N51,181.87 and 81.6% respectively. The major constraints to poultry feed marketing were inadequate credit facility, transportation, insufficient market information and price fluctuation. It is recommended that credit facilities should be provided to the feed marketers to ease purchase of inputs. To further reduce the cost of initial purchase, the government and other agencies should consider subsidizing poultry feed.
Analysis of agricultural subsectors contribution growth rate in the agricultu...inventionjournals
In the current study, we have analyzed the contribution of agricultural sub-sectors growth rate to
the agriculture GDP growth rate of Pakistan by using secondary data from 2001 to 2015. Ordinary Least
Square (OLS) method was applied to estimate the model parameter. For this purpose the study considered a
dependent variable of agriculture GDP growth rate and several independents variables include major, minor
crops, livestock, fishery and forestry. The regression analysis of the data showed a positive and significant
contribution in agriculture GDP growth rate. However, fishery and forestry sub-sectors contribute growth rates
were considered poor as compared with other sub-sectors could be due to less attention paid from the
government. Our study suggests that Government of Pakistan should consider the importance of both
agricultural sub-sectors to increase there’s contribution growth rate towards agriculture GDP growth rate in
Pakistan.
This document summarizes a study on the profitability and production efficiency of small-scale maize production in Niger State, Nigeria. The study found that maize production was profitable, with an average net farm income of 48,109 Naira per hectare. Production costs were 77.9% of total costs, with labor as the largest cost. The production efficiency index of 2.50 indicated that returns exceeded costs by 150%, showing profitability. While profitable, the study recommended increasing farm size and production to enhance profits further. Improving access to farmland, education, credit, and extension services were also suggested to improve profitability of small-scale maize production in the area.
The attempt of local government in achieving food self sufficiencyAlexander Decker
This document summarizes a study on the local government's attempts to achieve food self-sufficiency in the district of Malinau, East Kalimantan. It discusses the agricultural potential and policies in Malinau, how the policies have implications for establishing food self-sufficiency, and proposes a developmental model to better support this goal. Key points analyzed include decentralization of agricultural development, empowering local farmers, diversifying food crops beyond just rice, and increasing households' ability to purchase sufficient nutritious food. The study concludes that changes are needed to agricultural policies and programs to better achieve social goals, improve target systems and outputs, and increase farmer productivity through technology.
This document discusses strategies for building sustainable competitive advantages for single-product businesses, including cost leadership, differentiation, speed, and market focus. It evaluates opportunities for these strategies based on skills, resources, and organizational requirements. Industries are discussed in terms of emerging, maturing, mature/declining, fragmented, and global settings. Grand strategies like diversification, integration, and joint ventures are presented as opportunities to build value. A strategic analysis and choice matrix models different strategies based on competitive position and market growth.
The document discusses various frameworks for conducting internal analysis, including the resource-based view of the firm, value chain analysis, and SWOT analysis. The resource-based view examines a firm's unique bundle of tangible, intangible, and organizational resources. Value chain analysis divides a business into activities to better understand sources of competitive advantage. SWOT analysis assesses a firm's strengths, weaknesses, opportunities, and threats to develop effective strategies.
Functional Capability and Resource Analysis PresentationBrandon Thomson
This document outlines a methodology for analyzing a firm's functional capabilities and resources. The methodology involves 6 steps: 1) determining critical success factors, 2) identifying resources, 3) evaluating resources using the VRIO framework, 4) identifying gaps between resources and success factors, 5) diagnosing current strategy, and 6) formulating future strategies. The document then applies this methodology to analyze American Airlines, identifying its key resources, evaluating these using VRIO, diagnosing its current strategy, and proposing rational future strategies.
The document discusses factors in a firm's external environment including remote, industry, and operating environments. It covers economic, social, political, technological, and ecological factors. It also discusses analyzing industries and competitors through examining industry structure, boundaries, competitive forces, and profiles of customers, suppliers, and creditors.
This document discusses strategic control and continuous improvement. It defines strategic control as tracking strategy implementation, detecting changes, and making adjustments. There are four types of strategic control: premise control checks strategy assumptions; strategic surveillance monitors internal/external events; special alert control reconsiders strategy due to unexpected events; and implementation control assesses strategy changes based on incremental actions. Continuous improvement focuses on customer satisfaction, measurement, and process improvement through techniques like total quality management (TQM), six sigma, ISO 9001, and balanced scorecards.
The document discusses various long-term objectives and grand strategies that companies can pursue, including concentrated growth, market development, product development, innovation, and diversification. It also describes the balanced scorecard approach to setting objectives across financial, customer, internal process, and learning/growth perspectives. Generic strategies like cost leadership, differentiation, and focus are discussed along with related organizational requirements and risks.
Short-term objectives translate long-term strategy into specific, measurable goals for functional areas. Functional tactics are the key activities each function undertakes to achieve objectives and strategy. Policies guide employee decisions within boundaries to empower them while ensuring consistency with strategy. Executive compensation plans like stock options, restricted stock, and bonuses motivate executives to maximize shareholder wealth.
The document discusses strategic analysis and choice for multi-business companies. It covers several portfolio approaches including the BCG growth-share matrix, industry attractiveness-business strength matrix, and market life cycle-competitive strength matrix. These approaches analyze a company's businesses across different dimensions to determine priorities and resource allocation. The document also discusses opportunities for value creation across businesses through synergies in areas like sales, distribution, manufacturing and R&D. Lastly, it outlines the role of the corporate parent in strategic analysis and provides questions to consider for diversification success.
This document discusses PMO resource monitoring tools that can generate reports from project schedules to provide visibility into resource allocation and health. Such tools can save time by automating reporting, empower project managers by helping them identify and correct resource issues, and give program managers metrics to monitor overall resource allocation across all projects. The author argues that implementing these PMO resourcing tools can improve quality, reduce issues, and help impress clients by optimizing how resources are managed and scheduled.
This chapter discusses strategic considerations for multinational firms operating globally. It covers reasons why firms globalize, including accessing new markets and resources. It also discusses the complexity of the global environment and control problems that multinationals face. Additionally, it examines strategic orientations like ethnocentric, polycentric and geocentric approaches. The chapter provides examples of how strategic decisions around areas like structure, strategy and personnel practices differ based on a firm's global orientation.
This document summarizes key topics from Chapter 2 of an organizational behavior textbook, including defining a company's mission, formulating and overseeing a mission statement, agency theory, and approaches to social responsibility. It provides examples of mission statements and discusses how social responsibility and ethics relate to developing a company's mission.
Strategic management involves analyzing a company's internal strengths and weaknesses as well as external opportunities and threats. Key steps include formulating a mission and objectives, assessing the environment, identifying strategies, and implementing and evaluating plans. Strategic decisions require top management input and large resources, and can impact the long-term prosperity of a firm. Strategies exist at the corporate, business unit, and functional levels. Formality and the roles of managers in strategic management depend on factors like organization size and culture.
This document summarizes key aspects of organizational structure, leadership, and culture discussed in Chapter 10. It outlines different organizational structures like functional, divisional, matrix, and product teams. It also discusses trends driving structure, strategic leadership, managing culture, and case examples of different structures.
This document discusses tools and techniques for hazard, vulnerability, capacity and risk (HVCR) analysis in community-based disaster risk management. It describes various participatory mapping and assessment tools that can help assess a community's hazards, vulnerabilities and resources in order to understand disaster risks, including transect walks, focus groups, interviews and vulnerability assessments. The aim is to ensure community perspectives are incorporated into the risk assessment and reduction process.
The document classifies natural resources based on their origin, stage of development, and renewability. It provides examples of biotic and abiotic resources classified by origin. Potential and actual resources are classified by stage of development. Renewable resources like sunlight, wind, and hydroelectric power are replenishable, while non-renewable resources like fossil fuels and minerals are not. Examples of renewable energy sources include solar, wind, hydroelectric, and geothermal power. Non-renewable resources discussed are fossil fuels like coal, petroleum, and natural gas formed from ancient organic matter, as well as mineral resources.
Statutory compliances for companies in Indiakborah
The document discusses different types of business entities including sole proprietorships, partnerships, and companies. It explains the key characteristics of each structure such as liability, ease of setup, funding options, and legal compliance requirements. The document also covers common post-incorporation requirements for companies such as obtaining tax registrations, creating budgets and managing payroll.
The document outlines the key elements of an effective marketing plan, including an executive summary, situation analysis, objectives, strategies, tactics, and budget. It provides examples of each element. The executive summary should briefly summarize the circumstances and recommendations. The situation analysis describes the company's current position. The objectives state where the company wants to be. The strategies are how the objectives will be achieved and tactics are specific actions that implement the strategies. The budget covers the costs.
Resources can be classified in several ways, including by origin, exhaustibility, ownership, and development status. Biotic resources come from living things while abiotic resources are non-living. Renewable resources can replenish, like forests, while non-renewables deplete, like fossil fuels. Resources are also grouped by whether they are owned privately, by a community, or nationally. Potential resources have not been used yet, while developed resources have been surveyed and reserves can be accessed with current technology.
Determinants of Adoption of Improved Agricultural Technology and Its Impact o...Premier Publishers
The importance of agricultural technology in enhancing production and productivity can be realized when yield increasing and technologies are widely been used and diffused. Standing from this logical ground, this paper aimed at identifying the factors affecting agricultural technology adoption decision and examining the impact of adoption on household’s income in chiro district west Hararghe zone, Oromia national regional state, Ethiopia. Both primary and secondary data was used; primary data was collected through structured questionnaire administered on 97 randomly selected smallholder farmers and secondary data was collected from published and unpublished document related to this topic. For data analysis purpose both Probit and Ordinary Least Square (OLS) regression models were employed. From the total 97 respondents 80 of them were adopted improved agricultural Technology while the left were not adopted improved agricultural technology in the study area. The regression result revealed that agricultural technology adoption has a positive and significant effect on household income by which adopters are better-offs than non-adopters. The probit regression result revealed that gender of the household head; access to irrigation, credit service; extension service and income of the household head significantly affect adoption of improved agricultural technology in the study area. From these finding researchers recommend that government should encourage small scale irrigation, credit service and extension service in the study area.
Welfare impacts of improved chickpea adoption a pathway for rural development...Tropical Legumes III
This document analyzes the impact of adopting improved chickpea varieties on household welfare in rural Ethiopia using panel data from 2006-2014. It finds that:
1) Adoption of improved chickpea varieties significantly increased over this period, from 30% to almost 80% of households.
2) Adoption of improved chickpea varieties significantly increased household income while also reducing household poverty.
3) The impact of adoption on income was positive and significant for households with landholdings in the three lower quartiles, but not significant for households with the largest landholdings.
Review on Role and Challenges of Agricultural Extension Service on Farm Produ...Premier Publishers
Majority of Ethiopian farmers have been using traditional way of agricultural practices which persist to low productivity. To solve these problems, governmental and non-governmental organizations have made efforts to bring about change through Agricultural extension strategy. But these efforts notwithstanding, the rural population still practices subsistence. The agricultural extension service is one of the institutional support services that has a central role to play in the transformation process, but facing new extension challenge. There were many studies conducted to identify role and challenges of extension service in Ethiopia in different regions, but there is limitation of summarization of current state of understanding. However; governments of developing countries are confronting new extension challenges: on the one hand, there is a need to increase production to provide food for all citizens, raising the income of the rural population and reducing poverty; on the other, hand there is a need to manage the natural resources in a sustainable way with new technologies developed . The mandate of extension services, whether public or private, has always been rural human resources development with an aim to increase food production. The major challenge currently facing agricultural extension service delivery in Ethiopia has its impact on the development of country.
Inclusive Transformation in Ethiopian Crop Agricultureessp2
This document summarizes trends in Ethiopian crop agriculture over the past decades. It notes that crop agriculture makes up a large share of Ethiopia's economy but productivity remains low compared to other countries. Growth has been driven by intensification through increased use of inputs and extension services rather than expansion of land. However, constraints still exist including small farm sizes, degradation of highlands, and lack of irrigation and improved seeds. The document calls for a long-term, integrated strategy to address these challenges through policies like land rental markets, shifting production practices, and expanded rural opportunities.
This document analyzes the technical efficiency of wheat production on commercial farms in Ethiopia. It uses data from 32 commercial farms surveyed in 2010. A stochastic frontier model is used to estimate a Cobb-Douglas production function. The results show inputs like seed, agrochemicals, and tractor hours have a positive impact on output, while area and labor have a negative impact. The average technical efficiency is 82% and inefficiency accounts for 99% of the difference from best practice. Factors found to influence efficiency include farm manager experience, distance to road, farm machinery value, and providing mechanization services. Average age of machinery is the only factor that negatively impacts efficiency.
This document reviews the impact of small-scale irrigation on household food security in Ethiopia. It finds that access to reliable irrigation water enables farmers to intensify cultivation, leading to increased productivity, production, and returns. Irrigated households are able to grow crops more than once a year, ensuring stable production, income, and food consumption to improve food security. However, simply providing irrigation infrastructure is not enough - farmers also need access to roads, markets, credit, training, and information to engage in irrigation and reduce food insecurity. The potential for irrigation in Ethiopia is estimated at 3.7 million hectares, but currently only 853,000 hectares are under small-scale irrigation.
The Brussels Development Briefing n. 59 on “Agroecology for Sustainable Food Systems” organised by CTA, the European Commission/EuropeAid, the ACP Secretariat, CONCORD and IPES-FOOD was held on Wednesday 15 January 2020 (9h00-13h00) at the ACP Secretariat, Avenue Georges Henri 451, 1200 Brussels.
The briefing brought various perspectives and experiences on agroecological systems to support agricultural transformation. Experts presented trends and prospects for agroecological approaches and what it implies for the future of the food systems. Successes and innovative models in agroecology in different parts of the world and the lessons learned for upscaling them were also discussed.
Agriculture in Ethiopia yet bases on small scale farming is experiencing frequent drought. The study examines, does improved wheat seed adoption benefit farmer’s wheat yield or not in Ofla woreda, Tigrai? A primary data sources from a survey of random sample 300 small scale farm households were gathered. Of which 100 were certified wheat seed adoptor farmers and the remaining 200 were non users. In dealing with propensity score matching (PSM) was applied. The average treatment effects on the treated (ATT) result revealed that improved wheat seed adoptor household’s earn 35 to 54 quintal of wheat yield per hectare at a cost of plowing 9,400 Birr larger in a single production year compared to non adoptors earn below 18 quintal at a cost of Birr 7,000. Adoption of certified wheat seed complementary with other packages is more recommendable to enhance wheat yield at small scale level.
This document summarizes a study on the social and economic impacts of agroecological practices. The study used a sustainable livelihoods framework to analyze 37 papers measuring indicators like yield, profitability, labor productivity for practices including crop diversification, nutrient management and water harvesting. Results showed agroecological practices increased yields in 59% of cases and increased both yields and profitability without trade-offs in most cases. However, more research is still needed, as few studies addressed indicators like income stability. In conclusion, evidence suggests agroecology can improve financial capital and human capital for farmers, though more data is needed to reduce uncertainties in the results.
Valuation of soil conservation practices in adwa woreda, ethiopia a conting...Alexander Decker
This document summarizes a study that uses contingent valuation methods to estimate the value that farmers place on soil conservation practices in Adwa Woreda, Ethiopia. 218 farmers were surveyed using a double bounded dichotomous choice format to elicit their willingness to pay for soil conservation. Regression analysis found that age, sex, education level, family size, perceptions, land tenure, livestock ownership, and initial bids were significant factors influencing willingness to pay. The average willingness to pay per household was estimated to be 56.65 person days per year. Aggregated across the study area, the total value of soil conservation was estimated to be 1,373,592 person days per year or approximately 16.5 million Ethiopian Birr. The
INNOVATION THE WAY TO SOLVE AGRICULTURAL PROBLEMS PRESENTED AT SANKARA INSTIT...Gowhar Ahangar
The document discusses several problems facing Indian agriculture including low productivity, impediments to domestic sales and exports, issues with the minimum support price system, unpredictable weather and lack of access to insurance and financing. Potential solutions identified include investing in agricultural research and technology, expanding rural infrastructure and farmer capacity building, developing food processing facilities, modifying government price supports and improving farmers' access to insurance and financing. Overall the document argues for a multifaceted, long term approach addressing infrastructure, education, research and policy to support Indian farmers and ensure national food security.
CIAT conducts agricultural research in Ethiopia in partnership with various Ethiopian and international organizations. Its priorities include integrated soil fertility management, sustainable land management through ecological intensification, and strengthening crop and livestock value chains. Current projects focus on beans, climate-smart agriculture, land degradation mapping, and supporting national priorities like improved crop varieties. Going forward, CIAT aims to better align its work with CGIAR and Ethiopian goals through stronger partnerships, gender mainstreaming, and exploring opportunities in forage and livestock research.
Impact of the Adoption of Improved Varieties of Household Income of Farmers i...BRNSS Publication Hub
In Benin, maize occupies a strategic place in the agricultural sector due to its growing importance in national
consumption and trade with neighboring countries. This study aims to analyze the impact of the adoption of
improved maize varieties on the income and expenditure of maize farmers in the South Atlantic Department
of Benin. The data used were collected from 144 maize growers in the Atlantic Department. Maize farmers
with or without improved varieties were selected randomly. The average treatment effect method with
propensity score matching was used to estimate the impact of the adoption of improved maize varieties
on household income and expenditure. Maize growers using four impact indicators: (i) Netincome; (ii)
school expenses; (iii) health expenditure; and (iv) food expenditures. The results showed that the adoption
of improved maize varieties led to an improvement in annual netincome (a relative effect of 8.78%), health
expenditure (a relative effect of 15.88%), and expenditure on education (a relative effect of 16.08%). On
the other hand, the adoption of improved varieties of maize has no significant influence on the expenditure
invested in the dietof household members. It shows that the adoption of improved varieties of maize by
which has a positive impact on the netincome, health expenditure, and household education expenditure.
Impact of the Adoption of Improved Varieties of Household Income of Farmers i...BRNSS Publication Hub
In Benin, maize occupies a strategic place in the agricultural sector due to its growing importance in national consumption and trade with neighboring countries. This study aims to analyze the impact of the adoption of improved maize varieties on the income and expenditure of maize farmers in the South Atlantic Department of Benin. The data used were collected from 144 maize growers in the Atlantic Department. Maize farmers with or without improved varieties were selected randomly. The average treatment effect method with propensity score matching was used to estimate the impact of the adoption of improved maize varieties on household income and expenditure. Maize growers using four impact indicators: (i) Netincome; (ii) school expenses; (iii) health expenditure; and (iv) food expenditures. The results showed that the adoption of improved maize varieties led to an improvement in annual netincome (a relative effect of 8.78%), health expenditure (a relative effect of 15.88%), and expenditure on education (a relative effect of 16.08%). On the other hand, the adoption of improved varieties of maize has no significant influence on the expenditure invested in the dietof household members. It shows that the adoption of improved varieties of maize by which has a positive impact on the netincome, health expenditure, and household education expenditure.
7.[55 64]impact of input and output market development interventions in ethiopiaAlexander Decker
This study evaluated the impact of input and output market development interventions by the Improving Productivity and Market Success (IPMS) project in Ethiopia. The interventions aimed to improve agricultural markets, increase marketed surplus, and make households more market-oriented. The study used survey data and propensity score matching to compare participant and non-participant households in Alaba and Dale districts. The results showed that the interventions positively impacted institutional changes like increased credit availability and quality of extension services. Participants had significantly higher rates of credit receipt and marketed surplus compared to non-participants. The interventions also increased farmer organization by supporting the establishment of cooperatives. The study concluded that expanding these types of market development interventions could help Ethiopia achieve its growth and poverty
7.[55 64]impact of input and output market development interventions in ethiopiaAlexander Decker
This study evaluated the impact of input and output market development interventions by the Improving Productivity and Market Success (IPMS) project in Ethiopia. The interventions aimed to improve agricultural markets, increase marketed surplus, and make households more market-oriented. The study used survey data and propensity score matching to compare participant and non-participant households in two districts. The results showed that the interventions positively impacted institutional changes like credit availability and farmer organizations. Participants had significantly greater access to credit, extension services, and formal organizations compared to non-participants. The interventions also increased marketed surplus and market orientation among participant households relative to non-participants. Therefore, expanding these types of market development interventions could help Ethiopia achieve agricultural growth and poverty reduction
11.impact of input and output market development interventions in ethiopiaAlexander Decker
This study evaluated the impact of input and output market development interventions by the Improving Productivity and Market Success (IPMS) project in Ethiopia. The interventions aimed to improve agricultural markets, increase marketed surplus, and make households more market-oriented. The study used survey data and propensity score matching to compare participant and non-participant households in Alaba and Dale districts. The results showed that the interventions positively impacted institutional changes like increased credit availability and quality of extension services. Participants had significantly higher rates of credit receipt and marketed surplus compared to non-participants. The interventions also increased farmer organization by supporting the establishment of cooperatives. The study concluded that expanding these types of market development interventions could help Ethiopia achieve its growth and poverty
Agricultural problems in India are diverse and complex with historical and emerging challenges. A document discusses several key issues: low agricultural productivity due to small landholdings and lack of information; impediments to domestic/export sales from food safety/infrastructure issues; exploitation from the minimum support price system and market intermediaries; and lack of access to insurance/finances exacerbating risks from unpredictable weather. Potential solutions proposed include sustainable "green revolutions" in organic farming; expanding agricultural research/technology; building farmer capacity and rural infrastructure; developing food processing; modifying pricing policies; and increasing access to insurance/finances through programs and mobile technologies. Comprehensive investments in research, rural development and farmer skills are emphasized to address India
Information technology in agriculture of bangladesh and other developing coun...Chittagong university
This document discusses using information and communication technologies (ICTs) for agricultural extension in developing countries like Bangladesh. It first provides background on Bangladesh's agriculture sector, which relies heavily on rice production. Traditional agricultural extension programs that aim to increase technology adoption among small-scale farmers have had mixed results. The document then explores how ICTs could help overcome issues like lack of access to information that limit technology adoption. It reviews current ICT-based agricultural extension programs and their potential to improve farmers' knowledge, adoption of new technologies, and welfare. The document concludes by recommending further research on the impact of ICT-based extension in developing countries.
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Abnormalities of hormones and inflammatory cytokines in women affected with p...Alexander Decker
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Analysis of resource use efficiency in smallholder mixed crop livestock agricultural systems
1. Developing Country Studies www.iiste.org
ISSN 2224-607X (Paper) ISSN 2225-0565 (Online)
Vol 2, No.9, 2012
Analysis of Resource Use Efficiency in Smallholder Mixed
Crop-Livestock Agricultural Systems: Empirical Evidence from the
Central Highlands of Ethiopia
Essa C. Mussa1*, Gideon A. Obare2, Ayalneh Bogale3, Franklin P. Simtowe4
1. University of Gondar, Department of Agricultural Economics, Gondar, Ethiopia
2. Egerton University, Department of Agricultural Economics & Business Management, Kenya
3. African Centre for Food Security, University of Kwazulu Natal, Pietermaritzburg, South Africa
4. Alliance for a Green Revolution in Africa (AGRA), Accra, Ghana
*Email of the corresponding author: essachanie@gmail.com
Abstract
The study uses data generated through a survey from rural households in Ethiopian central highland districts to assess
farm-level resource use efficiency in the production of major crops including teff, wheat and chickpea in the mixed
crop-livestock agricultural systems of Ethiopia, under conditions of diminishing land resource and environmental
constraints. Data Envelopment Analysis (DEA) results show that smallholder farmers are resource use inefficient in
the production of major crops with mean technical, allocative and economic efficiency levels of 0.74, 0.68 and 0.50,
respectively. A Tobit model regression results on the determinants of inefficiency reveal that livestock ownership and
participation in off-farm activities are associated with reduced level of resource use inefficiency. Furthermore, large
family size and membership to associations contribute to higher level of resource use inefficiency. The findings
suggest that resource use efficiency would be significantly improved through a better integrated livestock and crop
production systems; expansion and promotion of off-farm activities; and reform of farmer’s associations.
Keywords: Data Envelopment Analysis; Tobit; Resource use efficiency; mixed crop-livestock agriculture; Ethiopia
1. Introduction
Although Ethiopia managed to achieve rapid and consecutive economic growth from 1998 to 2007, the country ranked
157 out of 169 countries in the 2010 United Nations Human Development Index and 80 out of 84 in the Global Hunger
Index (World Food Programme (WFP), 2011)). Moreover, while 38% of rural households in Ethiopia live below
poverty line (World Bank, 2009); chronic food insecurity has been a defining characteristic of the poverty that has
affected millions of Ethiopians of which the vast majority of these poor households live in rural areas that are heavily
dependent on rainfed agriculture (Subbarao & Smith, 2003). This suggests that broad based and sustainable
agricultural development in Ethiopia is critical in mitigating problems of poverty and chronic food insecurity.
In general, the agricultural sector plays a critical and multidimensional role in Ethiopian economy. According to Diao
et al. (2010), 85% of the population in the rural areas derives its livelihood from agriculture; the sector accounts for
more than 40% of national GDP; and it is the source of 90% of the country’s export earnings. This means that the rate
at which agricultural sector attains its growth and sustainability highly determines the country’s macroeconomic
performances such as overall economic growth, employment, food security, poverty reduction and per capita income
growth.
Despite its importance, however, Ethiopian agricultural sector is dominated by subsistence and smallholder-oriented
system (Bishaw, 2009). Particularly, Ethiopian highland agriculture is characterized by high dependency on rainfall,
traditional technology, high population pressure, and severe land degradation combined by low level of productivity
(Medhin & Köhlin, 2008). Notwithstanding the government’s policy to expand crop production for exports, domestic
consumption and universal food security (Ministry of Finance and Economic Development (MoFED), 2006), low
productivity levels in teff (Haile et al., 2004) and chickpea (Shiferaw & Teklewold, 2007) have been reported.
Whereas Ethiopia’s huge potential in wheat production remains unexploited, the country is a net importer of the
commodity (Rashid, 2010). Besides, until 2005, the government of Ethiopia mainly used emergency appeals for food
aid on a near annual basis to tackle poverty and hunger (Gilligan et al., 2008). With time, however, the Ethiopian
government established the New Coalition for Food Security strategy, including the Productive Safety Net Programs
(PSNP) through which it sought to tackle food insecurity (World Bank, 2011).
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However, in order to achieve poverty alleviation objectives among smallholder farmers, productivity and efficiency of
resource use must be improved to increase income, attain better standard of living and reduce environmental
degradation (Ajibefun, 2000). Moreover, Ajibefun & Daramola (2003) also argue that there is a need to increase
growth in all sectors of the economy for such growth is the most efficient means of alleviating poverty and generating
long-term sustainable development, where resources must be used much more efficiently to improve productivity and
income. Thus, resource use efficiency in smallholder agriculture could be the basis for achieving universal food
security and poverty reduction objectives of the country particularly among the rural households in Ethiopia.
Thus, the current study estimates resource use efficiency of smallholder major crop producers in three central highland
districts of Ethiopia under mixed crop-livestock (traditional) agricultural systems. The study covers a relatively larger
population and considers important major crops including chickpea, teff and wheat so as to increase farm household’s
income, reduce poverty and address nutritional and food insecurity problems in the study areas. Moreover, the study
areas are some of the areas where cereal crops and legumes are largely produced whereby resource use efficiency and
productivity improvement can have a substantial impact to improve the lives of many farm households.
The study established that smallholder mixed crop-livestock farmers are resource use inefficient in the production of
chickpea, teff and wheat with mean technical, allocative and economic efficiency levels of 0.74, 0.68 and 0.50,
respectively. Findings on the level of resource use efficiency suggest that had farmers utilized inputs efficiently, they
could have increased current output of the three crops by 26% using existing resources and level of technology and
reduced cost of production by 50% to achieve the potential minimum cost of production relative to efficient farmers
given current output. A Tobit regression model results also reveal that livestock ownership and households’
participation in off-farm activities simultaneously result in significant increases in technical and economic
efficiencies in the production of major crops.
The rest part of the paper is organized as follows. In the next section we discuss the empirical modeling strategies of the
paper including Data Envelopment Analysis (DEA) technique and Tobit regression model. Discussion of results is
presented under section 3. In the last section we forward conclusions and key policy implications for improving
resource use efficiency which is considered critical in reducing rural household poverty and achieve food security in
the study areas.
2. Methodology
2.1 Data Envelopment Analysis (DEA)
The history of efficiency measurement goes back to the influential work of Farrell (1957) who defined a simple
measure of firm efficiency. In the approach, Farrell (1957) proposed that efficiency of any given firm is composed of
its technical and allocative components. According to Farrell, technical efficiency (TE) is associated with the ability of
a firm to produce on the iso-quant frontier while allocative efficiency (AE) refers to the ability of a firm to produce at a
given level of output using the cost-minimizing input ratios. On the other hand, economic efficiency (EE) is the
combination of technical efficiency and allocative efficiency. Thus, it is defined as the capacity of a firm to produce a
predetermined quantity of output at a minimum cost for a given level of technology. For estimation of these
efficiencies a number of methods have been developed. These methods are broadly classified as parametric and
non-parametric Methods.
DEA was first introduced by Charnes et al. (1978) and it has served as the corner stone for all subsequent developments
in the nonparametric approach (Hadi-Vencheh and Matin, 2011). As discussed by several researchers (Coelli et al.,
2005; Headey et al., 2010), DEA has several advantages: it does not require a prior specific functional form for the
production frontier, it can handle multiple outputs and inputs and it is also possible to identify the best practice for
every farm. Furthermore, it also does not require the distributional assumption of the inefficiency term (Coelli et al.,
2005). Regarding its potential disadvantages, the technique is sensitive to extreme observations and a hypothesis
testing using DEA is not possible. Moreover, DEA attributes all deviations from the frontier to inefficiency. However,
despite its weaknesses, in this study DEA is found appropriate and adopted to estimate efficiency of multiple crop
producer farmers.
Suppose there are n homogenous Decision-Making Units (DMUs), in order to produce r number of outputs (
r=1,2,3,…k) s number of inputs are utilized (s=1,2,3,… m,) by each DMU i (i=1,2,3,…n). Assume also that the input
and output vectors of ith DMU are represented by xi and yi, respectively and data for all DMUs be denoted by the input
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matrix (X)m×n and output matrix (Y)k×n. Accounting for financial limitations or imperfect competitive market effects,
the DEA model for variable returns to scale (VRS) which was developed by Banker, Charnes and Cooper (BCC)
(Banker et al., 1984) is used. The model allows for a given change in inputs use to result in a non-proportionate change
in output.
Thus, following Banker et al. (1984), the output maximization process to measure technical efficiency for each DMU
can be expressed as:
Maxi φλ φ
Subject to :
xi − Xλ ≥ 0
− φy i + Yλ ≥ 0
N 1' λ = 1
(1)
λ ≥0
where, in the restriction N1'λ=1, N1' is convexity constraint which is an N×1 vector of ones and λ is an N×1 vector of
weights (constants) which defines the linear combination of the peers of the ith DMU. 1≤ φ ≤ ∞ and φ -1 is the
proportional increase in outputs that could be achieved by the ith DMU with the input quantities held constant and 1/ φ
defines a technical efficiency score which varies between zero and one. If φ =1 then the farm is said to be technically
efficient and if φ < 1 the farm lies below the frontier and is technically inefficient.
Similarly, to estimate economic efficiency (EE), a cost minimizing DEA is specified as:
Min λ , X i*
W i ' X i*
Subject to :
− y i + Yλ ≥ 0
X i* − X λ ≥ 0
N 1' λ = 1 (2)
λ ≥0
where, Wi’ is a transpose vector of input prices for the ith DMU and Xi* is the cost-minimizing vector of input quantities
for the ith farm given the input prices Wi and total output level yi. Economic efficiency is measured as the ratio of
potential minimum cost of production (Wi'Xi*) to the actual cost of production (Wi'Xi) as EE= Wi'Xi*/Wi'Xi. Allocative
efficiency can be estimated as the ratio of economic to technical efficiencies as AE=EE/TE. In order to generate the
technical, economic and allocative efficiency scores DEAP Version 2.1 computer program described in Coelli (1996)
was used.
2.2 Tobit regression model analysis
The Tobit regression model is an econometric model that is employed when the dependent variable is limited or
censored at both sides. The concept was first proposed by Tobin (1958) in the research of the demand for consumer
durables and then it was first used by Goldberger (1964). If the data to be analyzed contain values of the dependent
variable that is truncated or censored, the ordinary least squares (OLS) is no longer applicable to the concept of
estimated regression coefficients. If OLS is directly used it will lead to biased and inconsistent parameter estimation
whereby the Tobit model, that follows the concept of maximum likelihood, becomes a better choice to estimate
regression coefficients (Chu et al., 2010). Thus, Tobit regression model is appropriate for this study based on the
following justification regarding the nature of the dependent variable.
It is assumed that farmers in the current study areas operate under the same policy and institutional environments and
face exogenous variables denoted as Zi and that these conditions determine farmers’ decision to choose set of input
vector x and produce output vector y. In the production process a given farmer is considered to be full efficient if it
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operates along the boundary of the frontier (Y*) which also defines the level of technology in the system. The boundary
of the frontier represents a locus of output points constructed by best practice farms without a room for further
improvement in their production process. In this case the output of efficient firms (Yi) to the potential output along the
frontier is equal (Y*=Yi). Relative efficiency measures, computed as the ratio of actual (realized) to the potential
(frontier) output level (Yi /Y*) (Karagiannis and Tzouvelekas, 2009), of efficient farms will be unity (Yi /Y*=1). On
the other hand, firms which are relatively inefficient operate at points in the interior of frontier and score less than unity
(Yi/Y*<1) but greater than zero. In this case unless the farmer loses his/her crop due to complete crop failure as a result
of pest and diseases infestation or drought, efficiency score will not be zero which is not applicable in the current study
case. Therefore, while the scores are bounded between zero and one (two-limit) with the upper limit set at one, the
distribution is censored at both tails.
Thus, following Amemiya (1985), the two-limit Tobit regression model of the following form was estimated:
k
U i* = β 0 + ∑ β j Z ij + µ i ,
j =1
U i = 1, if U i* ≥ 1
U i = U * , if 0 < U i* < 1
U i = 0, if U i* ≤ 0 (3)
where: i refers to the ith farm in the sample, Ui is inefficiency scores representing technical and economic inefficiency
of the ith farm. Ui* is the latent inefficiency, β j are parameters of interest to be estimated and µ i is random error term
that is independently and normally distributed with mean zero and common variance of δ2 (µi~NI (0, δ2)). Zij are socio
economic, institutional and demographic variables.
2.3 The study area and data
2.3.1 Study area
The study was conducted in three districts, namely Minjar-Shenkora, Gimbichu and Lume-Ejere, which are found in
the central highlands of Ethiopia. In 2007, the districts had a total population of 345,177 persons (CSA, 2007). The
total area of the districts is about 379,754 hectares of which 36.5% is arable (DARDO, 2011). The study areas represent
some of the major cereals and legumes growing areas in the country. The agricultural production system is mixed
crop-livestock (traditional) agricultural system whereby a smallholder farmer practices crops and livestock
productions under the same management. The major crops grown in the central highlands include teff, wheat, barley,
maize, sorghum, chickpeas, lentils, banana and coffee. These crops are produced both for source of cash and for
household consumption. Cattle, goats, sheep, equines and poultry are also important tame animals kept by the
smallholder farmers integrated with crops production. Thus, crops and livestock contribute their share to the farmers'
farm income. Teff, chickpea and wheat are major crops in terms of quantity and area grown in the study areas and they
are the focus of this study (DARDO, 2011).
2.3.2 Sampling techniques and data collection
The data used for this study originate from a baseline survey conducted by the International Crops Research Institute
for the Semi-Arid Tropics (ICRISAT) and Ethiopian Institute of Agricultural Research (EIAR) in 2008. A multi-stage
sampling procedure was used to select districts, kebelesa and farm households. In the first stage, three districts namely
Minjar-Shenkora, Gimbichu and Lume-Ejere were purposively selected from the major legume producing areas based
on the intensity of chickpea production, agro-ecology and accessibility. Then, eight kebeles from each of Gimbichu
and Lume-Ejere and ten kebeles from Minjar-Shenkora were randomly selected. Finally, 700 farm households were
randomly selected (of which 149, 300 and 251 farm households were from Gimbichu, Lume-Ejere and
Minjar-Shenkora districts, respectively). However, for the sake of efficiency analysis and homogeneity among farm
households, 466 households who engage in chickpea, teff and wheat productions were considered for the study.
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Data were collected by trained enumerators from sample households using structured interview schedule. The survey
collected valuable information on several factors including household composition and characteristics, land and
non-land farm assets, household membership in different rural institutions, crop acreage, costs of production, yield
data, and indicators of access to infrastructure and household market participation.
3. Results and discussion
3.1 The DEA results on farm household resource use efficiency levels
In the DEA efficiency estimation procedure three groups of variables (output, input and input costs) are used.
While the outputs considered for the analysis include chickpea, teff and wheat outputs, input variables are land, labor,
teff seed, chickpea seed, wheat seed and chemical fertilizers. Furthermore, input costs, computed by multiplying the
amount of input used by the average market price of the input, for respective farmers are used. Table 1 presents the
summary of input, input cost and output variables used in the efficiency estimation procedure.
Table 1: Descriptive Statistics of variables used for DEA method (N=466)
DEA Variable Description of Variables Unit of Measurement Meana
Output variables
Y1 Output of chickpea kilogram 1,545.78 (1,262.03)
Y2 Output of teff kilogram 1,212.04 (967.48)
Y3 Output of wheat kilogram 1,227.47 (1,071.21)
Input variables
X1 Plot Size hectare 2.18 (1.03)
X2 Labor ( Family and Hired) man-day 961.42 (454.85)
X3 Chickpea seed kilogram 102.68 (95.97)
X4 Teff seed kilogram 84.55 (81.03)
X5 Wheat seed kilogram 81.07 (73.18)
X6 Chemical fertilizer used kilogram 439.70 (314.74)
Input Costs
C1 Cost of Land used ETB 5,738.36 (2,876.30)
C2 Cost of Labor used ETB 19 609.02 (10,135.74)
C3 Cost of chickpea seed ETB 483.50 (485.16)
C4 Cost of teff seed ETB 180.46 (172.82)
C5 Wheat seed ETB 337.45 (306.84)
C6 Cost of fertilizer ETB 1,606.50 (1,217.83)
a
Values in the parentheses are standard deviations.
Source: Authors’ computation, 2011
Considering the output variables the descriptive statistics shows that a typical smallholder farmer produces
1545.78kilogram (kg) of chickpea, 1212.04kg of teff and 1227.47kg of wheat. During the production process about
2.18 hectares of land is allocated for the production of these crops and its average cost is computed as ETBb 5,738.36.
In addition, the mean level of family and hired labor in man-day is about 961.72 with the associated cost of ETB 19
609.02. Furthermore, on average, farmers use 102.68, 84.55 and 81.07kg of chickpea, teff and wheat seed, respectively.
The mean costs of seed are ETB 483.50, 180.46 and 337.45 for chickpea, teff and wheat, respectively. Moreover, a
typical smallholder farmer applies about 439.70kg of chemical fertilizers, while the associated cost is computed to be
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ETB 1606.50. The average cost of production for the three crops is estimated to be ETB 27 955.29 (USD 2,070.76 as of
mid 2009 exchange rate).
The estimated and distribution of technical, allocative and economic efficiency levels using the DEA model are
presented using Table 2. The results show that the mean levels of technical, allocative and economic efficiency
scores are 0.74, 0.68 and 0.50, respectively. The mean score of technical efficiency implies that a smallholder farmer
could increase current output of chickpea, teff and wheat by 26% using existing resources and level of technology. The
result for mean allocative efficiency also suggests that cost of production could be reduced by 32% had farmers used
the right inputs and outputs mix relative to input costs and output prices. On the other hand, the mean level of economic
efficiency indicates that farmers could reduce current average cost of production by 50% to achieve the potential
minimum cost of production relative to the efficient farmers given the current output level. These efficiency results
suggest that there is considerable potential for increasing output and reducing cost of production.
Table 2: Distribution of technical (TE), allocative (AE) and economic efficiency (EE) (N=466)
TE AE EE
Efficiency Categories Freq. Percentage Freq. Percentage Freq. Percentage
E<0.1 0 0 0 0 0 0
0.1≤ E≤ 0.2 0 0 1 0.22 15 3.22
0.2< E ≤ 0.3 6 1.29 8 1.72 50 10.73
0.3< E ≤ 0.4 21 4.51 24 5.15 109 23.39
0.4< E ≤ 0.5 58 12.44 55 11.80 106 22.75
0.5< E ≤ 0.6 66 14.16 86 18.45 68 14.59
0.6< E ≤ 0.7 56 12.02 90 19.31 44 9.44
0.7< E ≤ 0.8 56 12.02 69 14.81 23 4.94
0.8< E ≤0.9 43 9.23 61 13.09 14 3.00
0.9< E≤1.0 160 34.33 72 15.45 37 7.94
Full efficient Farmers 131 28.11 31 6.65 30 6.44
Inefficient Farmers 335 71.89 435 93.35 436 93.56
Mean Scores 0.74 0.68 0.50
Note: E stands for Efficiency,
Source: Authors’ computation, 2011
Furthermore, it is revealed that 28.11%, 6.65% and 6.44% of farmers are fully technically, allocatively and
economically efficient. Finally, using test results from one-sample t-tests it is concluded that, on average, smallholder
farmers are not technically, allocativelly and economically efficient (P<0.001), which means average level of
efficiency scores are significantly different from unity.
3.2 The Tobit model results on the determinants of resource use inefficiency
In order to identify key determinants of resource use inefficiency, technical and economic inefficiency scores are
separately regressed on selected demographic, socio economic and institutional variables. Table 3 presents descriptive
statistics of the variables used in the analysis of resource use inefficiency.
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Table 3: Descriptive statistics of variables for Tobit model (N=466)
Variables Description
Mean Std. D
Continuous Variables
age Age of the household head (year) 47.87 11.88
familysize Family size (number of persons) 6.79 2.13
livestockTLU Household ownership of livestock size in tropical livestock unit 7.81 4.32
wlkdsmnm Walking distance to the nearest main market (Kilometer) 9.89 5.95
Dummy Variables Response Freq. Percent
gender Sex of the household head Female (0) 31 6.65
Male (1) 435 93.35
membership Membership of household in associations Yes (0) 414 88.8
No (1) 52 11.2
creditacc Access to Credit at market interest rate Yes (0) 321 68.9
No (1) 145 31.1
particoffarm Household Participation in nonfarm activities Yes (0) 158 33.90
No (1) 308 66.10
Source: Authors’ computation, 2011
Results reveal that age of household head (age) is on average 47.87 years while the mean level of family size
(familysize) of farmers is 6.79 persons. The study also shows that farmers own an average of 7.81 tropical livestock
unit (TLU) size (livestockTLU). In addition, regarding their access to market and road (wlkdsmnm), households locate
about 9.89 kilometers away from the nearest main market. Furthermore, while about 6.65 percent of households are
female headed (gender), about one third of households participate in various off-farm activities (particoffarm). Finally,
some of the institutional variables such as membership and access to credit show that while 88.8 percent of
households are members of farmer related associations and cooperatives (membership), about two third of the
households have accessed credit (creditacc) at the market interest rate.
The analysis of the determinants of resource use efficiency is important as a basis for informing agricultural policy
on what needs to be done to improve smallholder agricultural productivity (Tchale, 2009) hence reduce resource
wastage and improve farmers’ livelihoods. Table 4 presents the determinants of technical and economic inefficiency
in the production of crops under mixed crop livestock agricultural systems.
Table 4: Results of Tobit regression analysis for sources of resource use inefficiency (N=466)
(Dependent variables: Technical Inefficiency and Economic Inefficiency)
Technical Inefficiency Economic Inefficiency
Independent variables β Std. E. t β Std. E. t
gender 0.072 0.056 1.28 0.070* 0.040 1.75
age 0.002* 0.001 1.83 0.001 0.001 1.28
livestockTLU -0.006* 0.003 -1.70 -0.014*** 0.002 -5.52
familysize 0.001 0.007 0.04 0.011** 0.005 2.29
particoffarm 0.065** 0.030 2.20 0.050** 0.021 2.34
wlkdsmnm 0.002 0.002 1.05 0.002 0.002 1.47
membership -0.078* 0.044 -1.76 -0.042** 0.032 -1.34
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creditacc -0.019 0.030 -0.63 -0.007 0.021 -0.35
Constant 0.029 0.091 0.31 0.355*** 0.066 5.42
Log Likelihood -179.55 14.82
Note: ***, ** and * denote significance at 1%, 5% and 10% sig. level, respectively.
Source: Authors’ computation, 2011
Livestock ownership (measured by Tropical Livestock Unit, TLUc) results in significant reductions of technical (P <
0.1) and economic (P < 0.01) inefficiencies among farm households. This positive effect of livestock ownership on
crop production efficiency, under the smallholder mixed crop-livestock agricultural systems, could be through
improving farmers’ liquidity position, thereby ensuring that farmers are able to respond rapidly to demands for cash
to buy inputs and other factors (Tchale, 2009). However, while successful crop-livestock integration can also be seen
through nutrient use efficiency and nutrient cycling benefits but the whole issue of mutually beneficial integration
must be addressed at the community and regional level involving grazing management, species composition and
matching stocking rate to carrying capacity (FAO, 2010). The result confirms with the findings by Bogale and Bogale
(2005), Tchale (2009) and Hussien (2011) where livestock ownership increases efficiency in crop production.
On the other hand, households’ non participation in off-farm activities positively and significantly increases their
technical and economic inefficiencies (P < 0.05) suggesting that households’ decision to participate in off-farm
activities is associated with increase in technical and economic efficiencies. Similarly, a positive association between
technical efficiency and the farms with the off-farm income is reported by Bojnec and Fertő (2011) from Slovenia.
The spill-over effect of off-farm income on farm technical efficiency might be due to relaxation of surplus of farm
labor and its remaining more efficient use on the farm due to possible investment in more advanced technology,
which in turn provides a higher farm efficiency (Bojnec and Fertő, 2011). Moreover, Tchale (2009) and Hussien
(2011) also established that efficiency increases with an increase in non-farm income.
The study also reveals a negative and significant association between farmers’ belongingness to association
(membership) and their technical (P < 0.1) and economic (P < 0.1) inefficiency levels, implying that farmers who are
members to associations and cooperatives are less likely to benefit from membership to associations. Being a member
in farmers’ association is expected to benefit farmers to share information on farming technologies which tends to
influence the production practices of members through peer learning. However, this finding could be attributed to the
fact that farmers’ cooperatives and associations have less capacity in personnel and technology to shorten the
marketing chain by directly connecting small producers to markets; less capable to coordinate crop production and
marketing activities and facilitating farmer access to production inputs at fair prices. Nevertheless, this result is
consistent with the findings by Binam et al. (2003) who also reported a negative and significant relationship between
membership in a farmers’ association and technical efficiency for coffee farmers in Cote d’Ivoire, Tchale (2009)
from Malawian farmers and Nyagaka et al. (2010) from Kenyan smallholder potato producers found that membership
in a farmers’ association positively and significantly influences technical efficiency.
Among the demographic variables, age of household head (age), significantly and positively contributes to technical
inefficiency (P < 0.1). This implies that as household head gets older and older, technical inefficiency significantly
increases. Perhaps, farmer’s age influences the farm practices directly or indirectly through labor, management and
adoption of new methods of production systems and technology. Young and middle-aged farmers are more willing to
adopt a new technology while older farmers are conservative, risk averse, and, therefore, are less likely to embark on
new technology (Temu, 1999). However, Binam et al. (2003) found that in a study of Coffee Farmers in Cote
d’Ivoire older farmers are more likely to be efficient. The difference in the effect of age on efficiency could be due to
difference in the nature of agriculture which suggests the necessity of tailored interventions to ensure older household
heads to be efficient in agricultural production.
On the other hand, family size (familysize) contributes positively and significantly to economic inefficiency (P < 0.05),
suggesting that larger families are likely to be economically inefficient. Perhaps, this might be due to the fact that labor
allocation for small plot of land of larger families might have caused disguised unemployment which increases the
actual cost of production. Inefficiency in resource use in the rural areas could be reduced through absorbing the excess
labor force to nonfarm sectors without negatively affecting farm output and productivity (Lien et al., 2010). The
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Vol 2, No.9, 2012
finding is consistent with that of Binam et al. (2003) and Coelli et al. (2002) where larger families are found more
inefficient.
Furthermore, gender of the household head (gender) affects economic inefficiency positively and significantly (P <
0.1) implying that male headed households are more likely to be economically inefficient compared to their
female-headed counterpart households. Female-headed households might have superior managerial skills, better
allocate agricultural labor and other physical and financial inputs, or they might be relatively effective in choosing a
crop mix with higher marketed surplus which positively affect their allocative efficiency (Udry, 1996; Chavas et al.,
2003) and hence contributed to increase in their economic efficiency. On the other hand, given female-headed
households have greater access to land rights; the finding suggests that the intra-household allocation of labor and land
rights led to higher level of allocative efficiency in female-headed households which also increased their economic
efficiency levels.
4. Conclusion and policy implications
The study established that smallholder mixed crop-livestock farmers are resource use inefficient in the production of
chickpea, teff and wheat crops with mean technical, allocative and economic efficiency levels of 0.74, 0.68 and 0.50,
respectively. A Tobit regression analysis results reveal that livestock ownership resulted in significant reductions of
technical and economic inefficiencies. This positive effect of livestock ownership on crop production efficiency
could be through improving farmers’ liquidity position, thereby ensuring that farmers are able to respond rapidly to
demands for cash to buy inputs and other factors. It is also established that households’ participation in off-farm
activities associates with increase in technical and economic efficiencies. The study, however, reveals that farmers
who are members to associations and cooperatives are less likely to benefit from their membership. Moreover, while
households who have older heads are found technically more inefficient, male headed households are more likely to be
economically inefficient compared to their female-headed counterpart households. Finally, it is found that households
with large family size are likely to be economically inefficient.
Findings of the study implies that there should be strategies to integrate smallholder livestock and crop productions
and strengthen the linkage so as to further improve the crop production efficiency of mixed crop-livestock farmers in
the central highlands of Ethiopia. Moreover, policies and strategies should also support expansion and promotion of
nationwide off-farm activities which provide off-farm employment and reduce the negative effect of large family
size in crop production efficiency. Furthermore, farmers’ associations should also be re-structured in personnel and
technology in order to ensure member households are benefited from their membership and improve their resource use
efficiency.
Acknowledgments
The authors would like to thank the International Crops Research Institute for the Semi-Arid Tropics (ICRISAT) for
providing the data set to undertake this study.
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Endnotes
a
It is usually named as peasant association and is the lowest administrative unit in the country.
b
ETB is Ethiopian Currency and it is called Birr. In mid 2009 the exchange rate was 1 USD=11.78 Birr
c
A Tropical Livestock Unit (TLU) is a live-weight based measure that is used to convert different livestock classes
into a common unit. In general 1 TLU = 250 kg live-weight. The conversion factors are adjusted for the local tropical
breeds.
40
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