Smallholders, institutional services, and commercial transformation in Ethiopia

Abstract

This article examines the role of institutional services of credit, input supply, and extension in the overall commercial transformation process of smallholder agriculture in Ethiopia. Survey data collected in 2006 from 309 sample households in three districts of Ethiopia are used for the analyses. Tobit regression models are used to measure the effect of access to services on the intensity of inputs use for fertilizer and agrochemicals. A probit model is used to measure these effects on the adoption of improved seeds. Intensity of use of seeds is analyzed using an ordinary least squares model. Logarithmic Cobb-Douglass functions are estimated to analyze the effect of access to services on crop productivity. Heckman's two-stage estimation is used to examine determinants of household market participation and the extents of participation. Results show that access to institutional support services plays a significant role in enhancing smallholder productivity and market orientation. Our results imply that expanding and strengthening the institutional services is critical for the intensification and market orientation of smallholder agriculture in Ethiopia. In particular, appropriate incentives and regulatory systems are urgently needed to encourage the involvement of the private sector in the provision of agricultural services. Copyright (c) 2009 International Association of Agricultural Economists.

Effect of Agricultural Extension Program on Smallholders’ Farm Productivity: Evidence from Three Peasant Associations in the Highlands of Ethiopia

“…In cognizant of these problems, the government of Ethiopia launched a strategy which is known as the Agricultural Development Led Industrialization (ADLI) in 1993 that sets out agriculture as a primary stimulus to generate increased output, employment and income for the people, and as the spring board for the development of the other sectors of the economy (Kassa & Abebaw, 2004;Gebremedhin, Jalata, & Hoekstra, 2009). One of the major components of ADLI is the national extension package program known as Participatory Demonstration and Training Extension System (PADETES).…”

THE EFFECT OF AGRICULTURAL EXTENSION SERVICE ON THE TECHNICAL EFFICIENCY OF TEFF (<i>ERAGROSTISTEF</i>) PRODUCERS

“…In addition age can influence participation negatively or positively. Older farmers are often viewed as less flexible and less willing to engage in a new or innovative activity due to fear of risk whereas young farmers may be more risk averse to implement new technologies on their farm (Gebremedhin et al, 2009). Hence, the influence of age on participation decision is ambiguous.…”

“…The objective of PADETES is to achieve sustainable development in rural areas through increasing farm productivity (yield), reducing poverty, increasing the level of food security, increasing the volume and variety of industrial raw materials (primary products) and producing for the export market (Kassa, 2003;EEA/EEPRI, 2006). The PADETES program has been intended to focus on supply-driven intensification which consists of promotion of improved seeds, fertilizers and on-farm demonstrations of improved farm practices (Kassa, 2008;Gebremedhin et al, 2009;Asfaw et al, 2012).…”

“…In cognizant of these problems, the government of Ethiopia launched a strategy which is known as the Agricultural Development Led Industrialization (ADLI) in 1993 that sets out agriculture as a primary stimulus to Science Publications AJAS generate increased output, employment and income for the people and as the spring board for the development of the other sectors of the economy (Kassa and Abebaw, 2004;Gebremedhin et al, 2009). Following ADLI, one of the major programs formulated by the Ethiopian government is the national extension package program known as Participatory Demonstration and Training Extension System (PADETES).…”

The Impact of Socio-Economic Characteristics on Coffee Farmers’ Marketing Channel Choice: Evidence from Villa Rica, Peru

“…Farmers who are married are generally involved in an organization compared to single farmers who commercialize through the intermediaries as the former are more likely to be under pressure to produce more, not only for family consumption but also for sale (Opara, 2010). In addition, age can be considered as an indicator of experience in farming (Gebremedhin, Jaleta & Hoekstra, 2009) which has relationship with agricultural activities because off-farm work first increases and then decreases with age (Lien, Kumbhakar & Hardaker, 2010). Table 3 shows the results of the logistic model.…”