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Application of Multinomial Logistic to Smallholder Farmers' Market Participation in Northern Ghana

Author : Salisu Mustapha
Publisher :
Page : 8 pages
File Size : 49,60 MB
Release : 2017
Category :
ISBN :

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The contribution of agriculture to the development of a country cannot be over emphasized, likewise the role played by smallholder farmers in the production of food in developing countries such as Ghana. Hence, the research examined the factors that affect market participation of smallholder farmers in Ghana. The Ghana Living Standard Survey data as published by the Ghana Statistical Service was employed and analyzed with the application of multinomial logistic regression model. Analysis of the data in the Northern part of Ghana indicate a very low market participation relative to the national average figure of 36% which itself is considered to be low at the international level. The results further show that, out of the total food crops produced (cereals), maize takes the highest whilst millet is the lowest cereal produced in Ghana. The results also revealed that only 24.2% of the total output of cereals produced in the study area is sold. The multinomial logistic results show that being a female farmer, having access to credit, increase in farm size and household size were factors that discourage subsistence farming and encourage market-oriented farming. The study recommends the promotion of small scale farmer participation in marketing of their produce through improving access to credit, land reallocation and promotion of female farmers' commercial participation.

Effect of Buyer Type on Market Participation of Smallholder Farmers in Northern Ghana

Author : Agness Mzyece
Publisher :
Page : pages
File Size : 26,73 MB
Release : 2016
Category :
ISBN :

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Transaction costs, one of the most significant barriers to market participation, may vary by buyer type. Depending on who a farmer sells their produce to, they may alter their potential transaction costs consequently influencing their market participation. This study examines the effect of buyer type on smallholder market participation in Northern Ghana where poverty is still endemic and often exacerbated by fewer opportunities for commercialization such as limited access to markets. The analysis is based on data from the agriculture production survey conducted in 2013 and 2014 and the Population based Survey conducted in 2012 in northern Ghana. Analysis is performed using the Double Hurdle approach to control for self-selection bias, ensure more flexibility on the variables affecting the decision to sell and how much to sell as well as to provide unconditional effects of the variables on market participation. The results reveal greater market participation of cash crop producing farmers than those producing a lower value food crop - Maize. The results also show that farmers selling to aggregator-type middlemen and other buyers have a propensity to sell more. The aggregators and 'other buyers' buy in bulky, offer lower prices and are associated with lower transport, loading and offloading costs than consumers. Farm output, access to information and price also have a significant positive impact on intensity of market participation. These findings support policy initiatives such as supporting aggregator-type middlemen, increasing the provision of information, promotion of cash crops as well as supporting more interventions focusing on increasing production and yields.

Commercialization of Smallholders

Author : Berhanu Gebremedhin
Publisher : ILRI (aka ILCA and ILRAD)
Page : 30 pages
File Size : 31,94 MB
Release : 2010-01-01
Category :
ISBN :

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The literature on commercial transformation of smallholders makes little distinction between market orientation (production decision based on market signals) and market participation (sale of output). This paper analyzes the determinants of market orientation and market participation in Ethiopia separately and examines if market orientation translates into market participation. Empirical results show that market orientation translates strongly into market participation. The key implication of this study is that policy, technological, organizational and institutional interventions aimed at promoting commercial transformation of subsistence agriculture should follow two-pronged approach: improving market orientation of smallholders at production level, and facilitating market entry and participation of households in output and input markets. Focusing on either may not be as effective in achieving the transformation.

Farming Systems and Poverty

Author : John A. Dixon
Publisher : Food & Agriculture Org.
Page : 424 pages
File Size : 35,15 MB
Release : 2001
Category : Business & Economics
ISBN : 9789251046272

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A joint FAO and World Bank study which shows how the farming systems approach can be used to identify priorities for the reduction of hunger and poverty in the main farming systems of the six major developing regions of the world.

Agricultural Commercialization, Economic Development, and Nutrition

Author : Joachim Von Braun
Publisher : International Food Policy Research Insitute
Page : 444 pages
File Size : 33,34 MB
Release : 1994
Category : Business & Economics
ISBN :

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Subsistence production: a sign of market failure. Commercialization cannot be left to the market. Household effects of commercialization. Nutrition effects of commercialization. Policy action needed.

Unlocking markets to smallholders

Author : Herman D. van Schalkwyk
Publisher : Springer Science & Business Media
Page : 263 pages
File Size : 39,9 MB
Release : 2012-03-10
Category : Science
ISBN : 9086861687

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This book assesses the institutional, technical and market constraints as well as opportunities for smallholders, notably, emerging farmers in disadvantaged areas such as the former homelands of South Africa. Emerging farmers are previously disadvantaged black people who started or will start their business with the support of special government programs. Public support programs have been developed as part of the Black Economic Empowerment strategy of the South African government. These programs aim to improve the performance of emerging farmers. This requires, first and foremost, upgrading the emerging farmers skills by providing access to knowledge about agricultural and entrepreneurial practices. To become or to remain good farmers they also need access to suitable agricultural land and sufficient water for irrigation and for feeding their cattle. Finally, for emerging farmers to be engaged in viable farming operations, various factors need to be in place such as marketing and service institutions to give credit for agricultural inputs and investments; input markets for farm machinery, farm implements, fertilizers and quality seeds; and accessible output markets for their end products. This book develops a policy framework and potential institutional responses to unlock the relevant markets for smallholders.

Market Institutions in Sub-Saharan Africa

Author : Marcel Fafchamps
Publisher : MIT Press
Page : 543 pages
File Size : 37,96 MB
Release : 2003-12-05
Category : Business & Economics
ISBN : 0262262703

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An analysis of recent data on the economic behavior of market institutions in sub-Saharan Africa, with implications for future research and current policy. In Market Institutions in Sub-Saharan Africa, Marcel Fafchamps synthesizes the results of recent surveys of indigenous market institutions in twelve countries, including Benin, Ghana, Kenya, Madagascar, Malawi, and Zimbabwe, and presents findings about economics exchange in Africa that have implications both for future research and current policy. Employing empirical data as well as theoretical models that clarify the data, Fafchamps takes as his unifying principle the difficulties of contract enforcement. Arguing that in an unpredictable world contracts are not always likely to be respected, he shows that contract agreements in sub-Saharan Africa are affected by the absence of large hierarchies (both corporate and governmental) and as a result must depend to a greater degree than in more developed economies on social networks and personal trust. Fafchamps considers policy recommendations as they apply to countries in three different stages of development: countries with undeveloped market institutions, like Ghana; countries at an intermediate stage, like Kenya; and countries with developed market institutions, like Zimbabwe. Market Institutions in Sub-Saharan Africa caps ten years of personal research by the author. Fafchamps, in collaboration with such institutions as the Africa Division of the World Bank and the International Food Policy Research Institute, participated in the surveys of manufacturing firms and agricultural traders that provide the empirical basis for the book. The result is a work that makes a significant contribution to research on the continuing economic stagnation of many countries in sub-Saharan Africa and is also largely accessible to researchers in other fields and policy professionals.

Expanding Market Participation Among Smallholder Livestock Producers

Author : Garth John Holloway
Publisher : ILRI (aka ILCA and ILRAD)
Page : 92 pages
File Size : 43,55 MB
Release : 2002-01-01
Category : Animal industry
ISBN : 9789291461318

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This compendium reproduces results from several, independent research projects undertaken at the Livestock Policy Analysis Programme (LPAP) of the International Livestock Research Institute (ILRI), Addis Ababa, Ethiopia. This reproduction brings together separate pieces of research that relate to the same goals, namely, market expansion, food security, poverty alleviation and hunger prevention. It is to showcase the power of Markov chain Monte Carlo (MCMC) methods, particularly Gibbs sampling, in providing direct answers to policy questions. It is hoped that the empirical research showcased in this compendium will spur other researchers to apply MCMC methods and the Bayesian paradigm to the heterogeneous research projects and policy questions that employed research encounters in less developed regions.