Transaction Costs of Market Participation

Marketing agricultural produce is crucial for alleviating poverty, increasing income, and ensuring food security. In Rwanda, wheat is an essential cash crop that sustains the livelihoods of many smallholder farmers. Despite government efforts to boost wheat production to meet rising national demand, smallholder farmers' market participation remains limited, with a low market share. Research on the causes of low market participation by smallholder wheat producers in Rwanda remains scarce. This study examines the determinants of market participation and its effect on profit margins among smallholder wheat farmers in Rwanda. A sample of 149 farmers from Nyamagabe District was selected using a multistage sampling approach. A double-hurdle model was used to analyze determinants of market participation, and propensity score matching (PSM) evaluated the effects of market participation on profit margins. The findings revealed that 62.4% of farmers participated in the wheat market, with 29% using formal marketing channels. The double-hurdle model identified land size, access to market information, wheat quantity, total production cost, access to a road network, and access to credit as key determinants of market participation. Additionally, market information, wheat quantity, access to roads, and credit were also positively associated with the intensity of market participation. The PSM results indicated that market participants, particularly those using formal marketing channels achieved higher profit margins. The study recommends that strategies to enhance market participation and profitability for wheat farmers should focus on boosting wheat productivity and improving access to institutional support. Leveraging digital platforms for market information can help reduce transaction costs and improve market access, ultimately fostering community prosperity.

In Ethiopia, agricultural output commercialization plays a crucial role in maintaining the share of the sector in the economic growth of the country. This study was designed to analyze determinants of potato market participation among smallholder farmers in the Mida Kegn district of West Shoa Zone. A stage sampling procedure was employed to select 150 sample respondents randomly from the district. To accomplish the study, data were accessed from both primary and secondary data sources. Primary data were accessed through a structured questionnaire. The descriptive result indicated that 38% and 62% of sample households were categorized as non-participant and participant farmers in the potato output market, respectively. Moreover, the result shows that about 54.46% of potato produce was supplied to the market from total produce. The result of the doublehurdle model analysis showed that experience and land allocated for potatoes influenced potato commercialization positively, whereas family size, dependency ratio, and distance to all-weather roads were affected negatively. Consequently, the study suggests that all concerned bodies should focus on facilitating farmers to

The study examined the factors that influence choice of market outlet among smallholder poultry farmers in Oyo state, Nigeria. Primary data were collected using structured questionnaires. A multistage sampling technique was used to select 200 poultry farmers from two Agricultural Development Zones in Oyo state Nigeria. Multinomial logit results showed that household size, contractual agreement, road condition and total number of birds on the farm influenced the choice of local market outlet while years of formal education, years of poultry farming experience, price information and access to extension officers influenced the choice of urban market outlet. The study recommends that extension officers should provide market information to the poultry farmers regularly to enhance smallholder farmers’ commercialization

This study focused on the analysis of factors influencing market participation decisions and the intensity of participation among smallholder maize farmers in Kaduna State, Nigeria. Primary data were collected from 600 randomly selected maize farmers in 2017. Result showed that April and December are the months which farmers sell large quantities of maize. Proportional transaction costs including individual farmer characteristics, private assets, public assets influenced the probability and intensity of market participation at various significant levels. Level of education and ownership of assets are critical in determining the intensity of market participation in the study area. The study concludes that variable transaction costs constitute one of the major binding constraints to maize market participation and commercialisation. The results suggest that policies aimed at developing rural infrastructure, improved access to assets, human and capital development and market information...

This study examines barriers to market participation and agricultural sales among Latino/a immigrant farmers in the Midwest, drawing on data from 124 households in Missouri and Michigan during 2018. Guided by Bourdieu's concepts of habitus and field, as well as acculturation, the research employs participatory methods, including interviews and focus groups, to gain insights into the institutional connections between Latino/a farmers and service providers' awareness of Latino/a farmers. These findings inform the development of a survey for data collection. Utilizing a Heckman Sample Selection model, the study analyzes market entry and sales barriers. Results indicate that increased agricultural investment and relevant training significantly enhance the likelihood of market participation. Conversely, Anglo and Spanish acculturation significantly decrease this probability. Variables such as acreage, employees, hired labor, income, and work hours significantly contribute to agricultural sales, while Anglo acculturation and farmers’ perception of the community environment significantly decrease sales. The diverse sample spans states, farming types, and operations. These findings deepen the understanding of the challenges faced by Latino/a immigrant farmers in entering markets and selling agricultural products. They carry important implications for policy and program development to enhance their success in the agricultural sector.

This study was aimed at analyzing the determinants of smallholder‟s wheat commercialization in
the Dera District of the South Gondar zone with specific objectives of identifying the level of
commercialization, analyzing factors determining the farmer‟s wheat commercialization decision
and analyzing major determinant of volume of wheat marketed/commercialized/ in the study
area. The data was obtained from secondary sources. Descriptive statistics mean, frequency,
standard deviation, t-test and chi-square statistics were used to analyze the data that was obtained
from secondary sources. The descriptive analysis of the level of commercialization of sample
respondents showed that in 2022, 219 (59%) households were non-commercialized wheat and
151(41%) were commercialized wheat. Furthermore, Heckman‟s two-step estimation
econometric model was used. The first stage of the probit model indicated that social capital,
land cultivation, irrigation use, improved livestock breading, frequency of extension content,
number of oxen held, market distance, annual off and non-income, and annual total gross income
have a positive and negative relationship with wheat commercialization. The second-stage
Heckman selection estimation of intensity of wheat commercialization described as sex of the
household heads, years of schooling, land cultivation, irrigation use, improved livestock
breading, frequency of extension content, credit access, annual off and non-income, and annual
total gross income significantly affect the intensity of wheat commercialization positive and
negative.

he place of information in addressing market access and participation limitation, which hinders farmer's welfare and poverty reduction efforts in many developing countries, cannot be overemphasized. This study therefore examined the use of mobile phone in the marketing of food crops among farming households in rural south east, Nigeria. A multi stage sampling procedures was used in the selection of location and 180 farming households sampled for this study, from which data were collected. The data were analyzed using probit regression model and Z-statistic procedure. Result of the analysis showed that knowledge of the GSM technology, quantity of crops produced, farm size, perceived need for information, distance to markets and income were major determinants of mobile phone use among the respondents. The result of the Z-test statistics also showed that among the selected socioeconomic characteristics, educational attainment and age of the respondents had significant differences between users and non-users of mobile phones. The study calls for enlightenment campaign in order to sensitize the rural people on the importance of GSM technology in the transaction of their businesses, improvement in the services provided by the mobile phone service centers/ providers among other things.

This study examined the determinants of market participation among smallholder staple farmers in Oyo state. Multistage sampling technique was employed to select 356 respondents. In the first stage, 40 villages were selected in the 4 zones according to the presence of food crops farmers. In the second stage, households were randomly selected based on whether they participate or not in cassava and yam production. Two percent of the registered farmers were proportionately selected based on the number of staple food farmers. Analytical technique employed included descriptive statistics and Ordered probit. Descriptive statistics was used to describe the quantitative data while Ordered probit model was used to analyse the factors influencing the market participation of cassava and yam farmers in the study area. The results showed that the mean age of the respondents was 46years, their mean household size was 5 and 11 years of formal education. The mean years of experience was 19 years. The coefficients of age, gender and market information were statistically significant for net buyers, autarkic and net sellers of cassava. Similarly, for net buyers of yam, age, gender, household size, years spent in school and contract marketing, were statistically significant. Also, for autarkic and net sellers of yam, coefficients of age, gender, marital status, household size, years spent in school and contract marketing were statistically significant. It was concluded that the coefficients of age and gender significantly influenced a net buyer, autarkic and a net seller of cassava and yam respectively and recommended policy-makers to address the problem of market participation and level of participation among food crop farmers.

Ec co on no om mi ic c R Re es se ea ar rc ch h G Gu ua ar rd di ia an n-V Vo ol l.. 7 7((1 1))2 20 01 17 7 S Se em mi i-a an nn nu ua al l O On nl li in ne e J Jo ou ur rn na al l, , w ww ww w. .e ec cr rg g. .r ro o I IS SS SN N: : 2 22 24 47 7-8 85 53 31 1, , I IS SS SN N-L L: : 2 22 24 47 7-8 85 53 31 1 Econ Res Guard 7(1): 2-23 E Ec co on n R Re es s G Gu ua ar rd d 2 2 2 20 01 17 7 Abstract Limited empirical studies on agricultural commercialization effect at household level are not conclusive because of the difficulty in setting up a convincing empirical causal relationship. In addition, their outcomes are heavily specific to location and policy environment, which makes almost any generalization impossible. This paper contributes to this literature by investigating the potential welfare impact of smallholder farmers' participation in the cereals market in Guinea. Fitting an Endogenous Switching Model to the national household survey data, results show that the participati...

Participation in commercial agriculture holds key prospects for unravelling pertinent opportunities necessary for providing better incomes and sustainable livelihoods for small-scale farmers. Therefore, market participation has the potential to increase farmers’ rural incomes and employment opportunities, especially if farmers concentrate on production and marketing of indigenous crops requiring low inputs such as African indigenous leafy vegetables (AILV). This study examined factors that influenced smallholders’ market participation behaviour. Data was obtained through a household survey using structured questionnaires administered to 254 respondents picked for the study through a multistage sampling procedure. An ordered probit model was used to determine factors influencing smallholders’ market participation as either net buyers, net sellers or autarchies. Findings revealed that marketing experience, land ownership, households’ food self-sufficiency, contractual marketing, acces...

A fundamental concern of agricultural development is the efficient marketing of goods and services. This paper examines the determinants of market participation and marketing channel choice decisions by small scale sorghum farmers using a case comprising 380 households from five Wards in the mid Zambezi Valley of Zimbabwe. Mixed data collection approaches including a questionnaire, observations and focus group discussions were used. Secondary data triangulated and validated farmers' responses. A double hurdle based on probit and multinomial logit regression models was applied to the two decision making stages. Ninety six percent of the sampled farmers participated in some market as influenced by payment time, number of buyers in the market, age of principal decision maker and distance to market. Three marketing channels were isolated as local, traders and a combination. The local marketing channel dominates due to its convenience and relatively lower transaction costs. Using the local market option as the referent category, weighted average market price of sorghum, number of buyers in the market, distance to the market, dependency ratio and household income are the most robust determinants of marketing channel selection. Sorghum marketing channel options are limited for small scale farmers in Zimbabwe. Strengthening cooperative based and extension anchored marketing can reduce the risks associated with relating to external traders who usually exploit farmers for price, payment time and quality requirements. Decentralisation of the sorghum markets and promotion of value addition activities in the sorghum value chain is likely to reduce transaction costs and increase the market size.

Orange (Citrus sinensis L.) is a major dietary component globally, responsible for supplying nutrients and phytochemicals of biological and health influence such as minerals, vitamins, fiber, flavonoids, limonoids, and carotenoids and antioxidant. It accounts for more than 50% of the citrus fruits produced world-over. It is a popular fruit in sub-Saharan Africa, though its level of consumption per capita is by global standards very low. In Uganda, orange production is mostly concentrated in eastern and northern parts; mostly grown by small holder farmers who are plagued by a milliard of production and marketing constraints. The objective of this study was to evaluate the effect of institutional, infrastructural and socio-economic factors on smallholder access to orange markets in Uganda. The study was conducted in Kaberamaido, Kumi and Soroti Districts in eastern Uganda, using cross sectional data, during 2011-2012. Probit model results showed that the key institutional factor that ...

Participation in agricultural markets could be the main weapon against hunger to lift millions of poor farmers out of poverty traps. Unfortunately, most of the potential beneficiaries are constrained by several factors in their quest to participate in the yam market. This study, thus, clarified the underpinning drivers of market participation among small-scale farmers in yam belt of West Africa. Using a multistage random sample of 1400 households, the study tests the hypothesis that factors affecting farmers’ decision to participate are not necessarily the same as those affecting the extent of participation. Non-price constraints played a significant role in determining decisions on market participation. Policies that reduce transactions costs and induce farmers to commercialize could be critical alternatives to policies based on price to promote a marketed surplus and the commercialization of agriculture by yam farmers and thereby alleviate poverty.

Commercialization of agricultural produce through cooperatives that undertake collective marketing can decrease transactions costs for smallholder farmers. This study investigated the factors influencing smallholder bean producers' decision to participate and intensity of participation in collective marketing in Kawambwa, Luwingu and Senga Hill districts of Zambia. A multi-stage sampling design was used to draw 150 smallholder farmers from cooperatives from the three districts. Cross sectional data were collected through semi structured questionnaire and in-depth focused group discussions were also conducted with the three cooperatives. Double hurdle results revealed that the decision to participate in collective marketing was influenced by age, gender, household size, farm size, output price, farm income, hybrid seed, access to market information, ownership of a bicycle, radio and mobile phone. On the other hand, the determinants of intensity of participation in collective marketing were education level of the household head, bean output and distance to the nearest market. To increase smallholder farmers' participation in collective marketing, there is need to focus on policies that enhance access to market information, promotion and adoption of hybrid bean varieties, increased bean production and construction of bulking facilities in rural areas away from main markets. Smallholder farmers who have attained at least primary level education should be targeted as well as encourage youth and women participation.

Transaction costs and other factors have proven to be major constraints to food crops farmers' access to improve market. There is limited empirical evidence that the same is true for non-food crops specifically natural rubber. This study determined the effect of transaction costs and socioeconomic factors on smallholder natural rubber farmers' decisions to sell their produce at the farm-gate to itinerant traders or the alternative markets in Liberia. Cross-sectional data was collected from 200 smallholder natural rubber farmers in Gibi and Kakata districts through multistage sampling. A binary logistic regression model was employed to determine the choice of selling outlets used by farmers. The results indicate that the choice of selling outlets is significantly influenced by transaction costs specified as distance to the nearest market, ownership of transport means, access to market information and time taken to find potential buyers and socioeconomic variables, access to extension services and household size. The study recommends that policy could aim at establishing market support services in the form of market information systems and affordable means of transportation to enhance access to up to date market information on trading partners and prices.

This article determines the effect of transaction costs and socioeconomic factors on smallholder natural rubber farmers' decisions to sell at the farm gate to itinerant traders or in the alternative markets in Liberia. Crosssectional data were collected from 200 smallholder natural rubber farmers through multistage sampling. The results indicate that transaction costs and socioeconomic variables significantly influenced the choice of selling outlets. The study recommends that policy could aim at establishing market support services in the form of market information systems and affordable means of transportation to enhance access to up-to-date market information on trading partners and prices.

As important as smallholders are to food production across in sub-Saharan Africa, smallholders face a lot of challenges in accessing market. This study examined the determinants of market participation among smallholders' rice farmers in a major rice producing Local government area of Ogun State, Nigeria. The result showed that all the sampled farmers participated in the output market with the mean participation put at 89%. The fractional Probit regression showed farm size, formal education, fertilizer application, land ownership through inheritance and cost of transportation as significant determinants of level of output market participation. In order to enhance market participation, the study recommends provision of good transport facilities which is capable of reducing transport cost, removal of bottlenecks preventing access to and use fertilizer as well as provision of farm land in manners similar to inheritance which makes land available at low/zero cost and reduces land fragmentation .

The policies in Ethiopia to advance the commercial orientation of farmers need identification of challenges at farmer level and exhaustive actions to shift the farm sector. Further activities have to be done to change the country's present subsistence-oriented farm production system of different crops. The research has aimed at investigating factors determining the Moringa commercialization in southern Ethiopia. The cross-sectional survey method was used to identify 232 Moringa producing smallholder farmers from Wolaita and Gamo zones. Heckman's two-step sample selection model is adopted to find factors determining the probability of Moringa market participation and the intensity of participation. The study result revealed that the likelihood of the Moringa output market participation is influenced by the variables such as location, access to irrigation, and distance to market. On the other hand family size, per capita income, frequency of extension contact, access to irrigation, access to credit, and distance to market are among significantly influencing factors of the extent of Moringa marketing. Therefore, policy agents should mainly consider these variables on any development activities to improve Moringa marketing. Furthermore, it requires improving extension services and offering immediate practical training on techniques of market-oriented and value-added Moringa production and marketing systems.

This study assesses the extent to which market access determine commercialisation among the smallholder dairy farmers in Zimbabwe. A total of 225 smallholder dairy farming households, randomly selected from 11 milkproducing cooperatives in Zimbabwe were analysed using descriptive statistics and the Tobit, regression model. The empirical results indicated that the proportion of farmers' milk delivered to the market was significantly affected by the mode of transport used to carry the milk from the farmer's homes to the market. The results show that farmers using more efficient though costly transport mechanisms such as a car, tractor, or motorcycle were more likely to get their milk to the market not only on time but also in good condition. Farmers using primitive methods of carrying the milk to the market such as walking on foot, wheelbarrow or bicycle were often only able to deliver once per day though commercial dairy cows are regularly milked more than once per day. The study stresses the need to find locally relevant milk transport mechanisms such as the corporate hiring of vehicles motorcycles or tractors by farmers residing close to each other to promote efficiency and profitability among the smallholder dairy farmers.

The present research empirically determined the effect of IFAD programme on output and input commercialization among rice farmers in Niger State of Nigeria using field survey data elicited from 111 participants and 185 non-participants (90 and 95 non-participants from exposed and control groups respectively) drawn via multi-stage sampling design. The collected data were analyzed using Heckman's model. The empirical finding showed that the programme has no effect on output commercialization due to the poor market outlet as a result of no provision of established off-takers. However, the input support aspect of the programme mandate exerts an effect on the input commercialization among the farmers in the studied area. Furthermore, the poor incentive for extension agents, non-productive large household dominated by weaker people and one-way income traffic affected output commercialization among the rice farmers in the study area. Therefore, based on these, the programme should link the farmers with off-takers so as to sustain the viability of the programme even after its life span. In addition, to tackle poor extension contact, the farmers should effectively and efficiently use their social capital to introduce farmer to farmer extension approach by using private extension service as the technical support unit.

To my loving mother, Mary Ketutury, brothers and sisters, Benard, Jeremia, Rose, Gladys and Beatrice, who have always, give me moral support to study. v ACKNOWLEDGEMENT I wish to acknowledge the entire staff of the Department of Agricultural Economics and Business Management, Egerton University under the leadership of Prof. B.K. Mutai for their sincere and honest support since I enrolled for my studies. Special thanks also go to the department for the additional research funds.

Cassava (Manihot esculenta L.) production and utilisation in Kenya face stiff competition from other major starchy food crops mainly maize, potatoes and wheat. This is due to the cyanide content in cassava which is lethal when roots are mishandled, leading to avoidance of the crop by potential consumers. This has affected the marketing of the crop and its products.The objective of this study was to analyse factors that influence the choice of marketing strategies among agripreneurs in cassava microenterprises in Kenya. A studywas conducted in Migori County (Kuria West, Suna East, Suna West and Uriri Sub-counties) in Kenya, using a semi-structured questionnaire, administered to a sample of 267 cassava micro enterprises. Results showed that the most used marketing strategies were pricing, product promotion, value addition and formation of a marketing alliance mostly in their combination. Multivariate Probit results showed that age, gender, education level, household size, major occupa...

Water scarcity has been appointed as the key-limiting factor for the development of agriculture in the Peninsula of Santa Elena (PSE) in Ecuador. To solve this problem, the Ecuadorian government carried out the construction of one of the biggest irrigation projects. However, after two decades of functioning, less than 30% of its capacity is being used. This article analyzes factors associated to Transaction Costs (CT) that influence land use decisions. The available decisions options are: to invest in agriculture, livestock production or to speculate with its value through land sales. The landowner's decision problem is analyzed through a Heckman's two-stage estimation procedure, which allows differentiating between factors associated to fixed and variable TC. The hypothesis is that factors related to fixed-TC influence the decision to participate (that is, the decision to use the land productively or speculatively, which is modeled in the first stage of Heckman's); while both, factors associated to fixed and variable TC, influence the level of participation (that is, decisions about land allocation to one or each decision option, modeled in the second stage). The results show that access to assets and access to information are among the more influential TC factors, which favor agricultural production instead of land speculation.

Smallholder supply chain participation remains low despite the potential welfare gains that would result from choosing a market-oriented production. Yet, studies on determinants of market participation for commodities with underdeveloped value chains are scanty. Employing a double-hurdle model, this paper examines factors determining households’ participation in cavy marketing among cavy farmers from Sud-Kivu province in the Democratic Republic of Congo. We find that wealthier households participated less in cavy marketing while those producing more cavies were more likely to participate in their marketing. Moreover, smaller households tended to sell more cavies, while households with other livestock sold fewer cavies. The findings underscore the significance of increasing the participation in the cavy supply chains by farmers through the promotion of appropriate husbandry practices that enhance cavy productivity and production and that enable farmers to participate in markets as se...

This involved 10 visits to poultry farms (small, medium, and large) in the Ibadan area where farm managers were interviewed about their production and marketing operations and perceptions of the dynamics of the subsector over the last 15-20 years.

Agricultural market participation in Mozambique has historically been very low. Despite a remarkable increase in pigeon peas production, the factors that influence smallholder participation in pigeon peas markets in Tete Province have remained unknown. The study therefore sought to determine factors that influence smallholder producers' participation in the pigeon peas market using the transaction cost theory. Multi-stage sampling was used to collect data from 73 households through semi-structured questionnaires and logistic and multiple regression models were used to assess factors affecting smallholder participation in the pigeon peas market. Proximity to main market, access to credit, regular attendance of farmer group meetings, trust among group members, age of head of household, household private assets endowment and adequate labour, access to extension services and provision of knowledge on pigeon peas production, and early planting positively influenced smallholders market participation. Time to travel to main market; ratio of active household members; working in other farmers' fields on casual basis; and food security limited smallholders' market participation. The study recommended the implementation of credit access schemes, investment in extension services, setting up of well-equipped village based markets, setting up platforms for regular interaction of producers to build social capital and interventions that enable building of private assets. The increasing importance of pigeon peas merits further research in other locations along the Zambia-Nacala Trade Corridor.

The Cavia porcellus L. systems implemented by small producers in Colombia have been slow to apply the processes of development and incorporation of feeding practices and technology in nutritional support. The objective of this study was to determine the feeding practices and technology in nutritional support implemented and projected in the C. porcellus L. systems by the producers. Four components were evaluated in 404 C. porcellus L.  units and 29 focus groups: demography, identification of the production unit, implemented feeding practices, technology in nutrition and feeding, and the C. porcellus L. producers' perspectives. A Pearson Chi-squared test, a Tukey’s T-test, and a Multiple Linear Regression were used to evaluate the differences between regions using SPSS software version 20. The average area of C. porcellus L. -producing units corresponded to 0.35 ha (Narino) and 0.17 ha (Putumayo). The predominant food base was forage (67%) produced on the farm (83%). There were s...

This paper explores the key factors influencing market participation decisions among smallholder lowland rice growers. Data were collected through purposive sampling technique. A total of 127 rice growers, from 16 lowlands (developed and traditional lowlands), was selected. Descriptive statistics and the probit regression model were used to analyse the data. The statistical analysis revealed significant differences in yields between developed and traditional lowlands rice plots ("lowland development effect"). The regression results showed that farmers' behaviours were not gender neutral; male producers were more likely to take part in the market as compared to their female counterparts, implying a "gender effect". With respect to the effect of membership in farmers' organization, the results indicate that farmers' involvement in an organization, was in general negatively associated to their market participation decisions. However, farmers from lowlands with functional rice producers' organizations were more likely to sell their products in the market. Interestingly, this study also highlighted that lowland rice producers' ability to generate a marketable surplus (at least 20 kg/person/year) positively influence their market participation decision. As hypothesized, the results revealed that farmers who have access to potential buyers of the output (secured market outlets) were less likely to produce rice for self-consumption.

Maize is one of the widely cultivated cereal crops in Ethiopia. Government recognizes importance of maize for economic development and emphasized its production and marketing in the strategies and policies for agricultural transformation. However, maize is mainly subsistent crop with very low marketed proportion. This study was set out to assess commercialization of smallholder maize producers. Crossectional data was collected from randomly selected 184 sample households using structured questionnaires. Statistical tool such as descriptive statistics, Tobit and Double hurdle models were used for data analysis. The result shows the degree of maize commercialization and market orientation was 29.97% and 10%, respectively. Tobit model shows that age, sex, education, family size and fertilizer use had positive while distant to the market had negative effect on smallholder maize producer"s market orientation. Double-hurdle econometric model indicates that age, education, family size, extension contact, oxen and land allocated to maize production had positive effect while distance from market had negative effect on market participation decision., The intensity of maize sale was positively affected by age, education level, perception on lagged market price, number of oxen, membership to cooperative and land allocated to maize. The study indicates that level commercialization was low in the study area. Therefore, the strategies and policies aiming at promoting smallholders commercialization should be focused on improving provision of rural infrastructure, education, agricultural extension service, provision of inputs, institutional arrangement like cooperatives.

This study assessed the effects of non-tariff barriers (NTBs) on market participation for maize smallholder farmers in the major maize producing districts of Mbozi and Momba in Mbeya region located in the Southern Highland of Tanzania. A two-stage stratified sampling was used in selecting 240 smallholder farmers from the selected villages in two districts and interviewed. In estimating the effects of NTBs on market participation and quantity of maize sold by farmers, the two-stage Henchman model was used. Results showed that, NTBs and distance to market had negative effects on the quantity of maize supplied and market participation. This implies that, for every 100% increase in application of NTBs by the government could decrease market participation and sell of maize by 77% from smallholder farmers. However, ownership of assets and amount of harvest were found to increase maize supply and market participation by 68 and 2%, respectively. The study concluded that, application of NTBs...

The market partaking of smallholder farmers in market-oriented production has the perspective to expand profits, upsurge agricultural output and ultimately promote food security. However, the participation of smallholder's irrigators and homestead gardeners in markets in South Africa remains low despite numerous interventions, especially since the dawn of democracy in 1994. However, up-to-date, there is not enough evidence that these attempts had been met successfully. This paper examines factors influencing smallholders' choice to partake in markets and volume sold in the Eastern Cape Province. The study employed survey data of 150 irrigated crop farmers. A random sampling procedure was used in the study areas. The study used a Heckman regression to assess factors impelling market participation and volume sold. Results reveal that market participation and volume sold are influenced by socioeconomic and technical factors. Based on the results, the needed policy change to encourage group marketing and upgrading of roads to enable smooth accessibility of output markets are highlighted.

This study focused on the analysis of factors influencing market participation decisions and the intensity of participation among smallholder maize farmers in Kaduna State, Nigeria. Primary data were collected from 600 randomly selected maize farmers in 2017. Result showed that April and December are the months which farmers sell large quantities of maize. Proportional transaction costs including individual farmer characteristics, private assets, public assets influenced the probability and intensity of market participation at various significant levels. Level of education and ownership of assets are critical in determining the intensity of market participation in the study area. The study concludes that variable transaction costs constitute one of the major binding constraints to maize market participation and commercialisation. The results suggest that policies aimed at developing rural infrastructure, improved access to assets, human and capital development and market information...

This study assesses the agricultural commercialization levels, determinants, and challenges confronting smallholder cassava farmers in Oyo State, Nigeria. This study was conducted in Oyo State, Nigeria using cross-sectional data from 211 smallholder cassava farmers and employing multi-stage sampling procedures. Descriptive statistics, Crop Commercialization Index (CCI), and Ordered Logit Model (OLM) were used to analyze the data collected. The results revealed that 83.9% of the cassava farmers participated in the commercialization of their cassava roots while the remaining farmers were non-participants. The greatest challenge faced by the cassava farmers in the study area was the incessant attacks by the Fulani herdsmen (destroying growing cassava on the farm) while other challenges included cassava cyclical gluts and poor access road. Moreover, OLM revealed that age, farm size, cassava marketing experience and distance to market had significant influence on commercialization levels...

Diverse and quality diets are crucial to sustainable growth and development of under-five children, especially those of rural farming households. This study investigated the dietary diversity, environment, and health-related factors of young children. The study employed the use of cross-sectional survey data from 140 under-five children of cassava farming households in Ogun and Oyo states, SouthWest Nigeria. The study estimated factors influencing dietary diversity of under-five children and assessed children dietary diversity, and the availability of some environment and health-related factors of the farming households. The findings indicated that 98.7% and 97.5% of children consumed grains, with roots and tubers while 36.7% and 36.3% consumed legumes in Ogun and Oyo states respectively. The results also found that 48.6% of children sampled met the minimum cutoff point of 4 food groups with dietary diversity mean score of 3.28. The logit regression analysis indicated that child's age, mothers' age, distance to farm, and food expenditure were among the significant determinants of children dietary diversity. Therefore, this study seeks the collaborative efforts of stakeholders in providing nutrition-sensitive intervention programs for household members, especially mothers and young children in order to promote consumption of diversified diets and enhance healthy living of rural farming households.

Plantains are an important cultivar in Nicaragua, and while the production has increased in recent years, there is a lack of socioeconomic research in this sector. This paper aims to study the factors that determine the farmer's decision on whether to sell or not sell their production. The starting point for this analysis came from a discrete choice framework, with the available information coming from the last national agricultural census. Using a binary logit model, variables related to household and production characteristics were evaluated. The main findings suggest that the farm's geographical location plays a vital role when farmers adopt a market-oriented production. Variables such as gender, access to financial resources, and assistance received show a positive and statistically significant effect. The marginal effects of the age and years of schooling of the head of the household suggest little effect of these factors on farmer's decisions.

Un ni iv ve er rs si it ty y o of f P Pr re et to or ri ia a e et td d, , K Ka at tu un ng gi i E E M M ((2 20 00 07 7)) DECLARATION I declare that the dissertation, which I hereby submit for the degree of Doctor of Philosophy in Agricultural Economics at the University of Pretoria, is my own work and has not previously been submitted by me for a degree at this or any other University. ______________________________ U Un ni iv ve er rs si it ty y o of f P Pr re et to or ri ia a e et td d, , K Ka at tu un ng gi i E E M M ((2 20 00 07 7)) DEDICATION To: Stephen, Davis, Daphine and my parents U Un ni iv ve er rs si it ty y o of f P Pr re et to or ri ia a e et td d, , K Ka at tu un ng gi i E E M M ((2 20 00 07 7)) U Un ni iv ve er rs si it ty y o of f P Pr re et to or ri ia a e et td d, , K Ka at tu un ng gi i E E M M ((2 20 00 07 7)) U Un ni iv ve er rs si it ty y o of f P Pr re et to or ri ia a e et td d, , K Ka at tu un ng gi i E E M M ((2 20 00 07 7))

The study examined the factors that influence choice of market outlet among smallholder poultry farmers in Oyo state, Nigeria. Primary data were collected using structured questionnaires. A multistage sampling technique was used to select 200 poultry farmers from two Agricultural Development Zones in Oyo state Nigeria. Multinomial logit results showed that household size, contractual agreement, road condition and total number of birds on the farm influenced the choice of local market outlet while years of formal education, years of poultry farming experience, price information and access to extension officers influenced the choice of urban market outlet. The study recommends that extension officers should provide market information to the poultry farmers regularly to enhance smallholder farmers' commercialization

The study examined the factors that influence choice of market outlet among smallholder poultry farmers in Oyo state, Nigeria. Primary data were collected using structured questionnaires. A multistage sampling technique was used to select 200 poultry farmers from two Agricultural Development Zones in Oyo state Nigeria. Multinomial logit results showed that household size, contractual agreement, road condition and total number of birds on the farm influenced the choice of local market outlet while years of formal education, years of poultry farming experience, price information and access to extension officers influenced the choice of urban market outlet. The study recommends that extension officers should provide market information to the poultry farmers regularly to enhance smallholder farmers’ commercialization

Participation in agricultural markets could be the main weapon against hunger to lift millions of poor farmers out of poverty traps. Unfortunately, most of the potential beneficiaries are constrained by several factors in their quest to participate in the yam market. This study, thus, clarified the underpinning drivers of market participation among small-scale farmers in yam belt of West Africa. Using a multistage random sample of 1400 households, the study tests the hypothesis that factors affecting farmers' decision to participate are not necessarily the same as those affecting the extent of participation. Non-price constraints played a significant role in determining decisions on market participation. Policies that reduce transactions costs and induce farmers to commercialize could be critical alternatives to policies based on price to promote a marketed surplus and the commercialization of agriculture by yam farmers and thereby alleviate poverty.

Researchers treated seed technology and crop yield as exogenous, thereby generating bias estimates. In practice, seed technology increases yield and it’s stimulated by social capital and other factors. This paper develops a choice model of maize-seed exogenously, then tested and corrected for causality. A multistage sampling procedure was adopted using seven Agricultural Development Programme zones drawn from purposively selected Oyo and Osun states. A block each was randomly selected per zone. Twenty-one cells were randomly selected, then data were collected from 385 respondents using a structured questionnaire: Data were analyzed using Ordinary Least Square and Two-Stage Least Square α 0.05. Durbin score chi2(1) = 6.65 (p= 0.009) and Wu-Haussmann F (1,37) = 6.431 (p = 0.012), showed reverse causality that was resolved by the Two-Stage Least Square model. The Two-Stage Least Square result indicated that education (β=-0.53), seed quantity (β=-0.13), seed price (β=-0.08), negatively ...

This study focused on the analysis of factors influencing market participation decisions and the intensity of participation among smallholder maize farmers in Kaduna State, Nigeria. Primary data were collected from 600 randomly selected maize farmers in 2017. Result showed that April and December are the months which farmers sell large quantities of maize. Proportional transaction costs including individual farmer characteristics, private assets, public assets influenced the probability and intensity of market participation at various significant levels. Level of education and ownership of assets are critical in determining the intensity of market participation in the study area. The study concludes that variable transaction costs constitute one of the major binding constraints to maize market participation and commercialisation. The results suggest that policies aimed at developing rural infrastructure, improved access to assets, human and capital development and market information...

In Mozambique, agricultural production is dominated by smallholder farmers with cultivation on less than two hectare of land and the use of low inputs with production mostly targeted towards own house consumption with very little for agricultural marketing. This study aim to analyze the trends of market participation of maize and cowpea, examine the socioeconomic characteristics of maize and cowpea farmers affecting market participation and determine the effect of the factors influencing the household decision to participate in maize and cowpeas' market. The t-test and chi-square test is used to examine the socioeconomic characteristics of households affecting market participation and the analysis of factors influencing household decisions to participate in the maize and cowpea markets is achieved using the Cragg's Independent Double Hurdle Model which is estimated using probit model for the first stage (participation decision) and truncated normal for the second stage (quan...

The Cavia porcellus L. systems implemented by small producers in Colombia have been slow to apply the processes of development and incorporation of feeding practices and technology in nutritional support. The objective of this study was to determine the feeding practices and technology in nutritional support implemented and projected in the C. porcellus L. systems by the producers. Four components were evaluated in 404 C. porcellus L.  units and 29 focus groups: demography, identification of the production unit, implemented feeding practices, technology in nutrition and feeding, and the C. porcellus L. producers' perspectives. A Pearson Chi-squared test, a Tukey’s T-test, and a Multiple Linear Regression were used to evaluate the differences between regions using SPSS software version 20. The average area of C. porcellus L. -producing units corresponded to 0.35 ha (Narino) and 0.17 ha (Putumayo). The predominant food base was forage (67%) produced on the farm (83%). There were s...

Researchers treated seed technology and crop yield as exogenous, thereby generating bias estimates. In practice, seed technology increases yield and it’s stimulated by social capital and other factors. This paper develops a choice model of maize-seed exogenously, then tested and corrected for causality. A multistage sampling procedure was adopted using seven Agricultural Development Programme zones drawn from purposively selected Oyo and Osun states. A block each was randomly selected per zone. Twenty-one cells were randomly selected, then data were collected from 385 respondents using a structured questionnaire: Data were analyzed using Ordinary Least Square and Two-Stage Least Square α 0.05. Durbin score chi2(1) = 6.65 (p= 0.009) and Wu-Haussmann F (1,37) = 6.431 (p = 0.012), showed reverse causality that was resolved by the Two-Stage Least Square model. The Two-Stage Least Square result indicated that education (β=-0.53), seed quantity (β=-0.13), seed price (β=-0.08), negatively ...

The issue of poverty alleviation for the people of less developed nations of the world has currently assumed the status of a recurring decimal. This is particularly critical for sub-Saharan Africa, because, the region contains a growing share of the world's absolute poor, with most of these found among rural farm households. High variability in crop yield and thus income variability arising from the vagaries of weather makes income diversification important for these households in order to improve their economic status. This paper, based on primary data collected as part of the Collaborative Study of Cassava in Africa, identified factors that drive cash income diversification decisions among rural farm households of Nigeria. Using Heckman's two-stage model, it separates the first discrete decision of whether or not to engage in noncrop income activities from the continuous decision of how much non-crop income is needed by the household. While the level of formal education of...

Transaction cost economics posits that farmers opt to sell in a market that minimizes their costs of participation. Smallholder farmers in Nigeria face the choice of travelling to sell live chicken at the spot market or at the farm-gate. However, little is known of the factors that influence their choice. So far, studies on market choice overlook farmers lived experience in explaining their market decision. To investigate this gap in research, an explanatory sequential mixed methods design comprising a quantitative phase; followed by a qualitative phase is applied for the first time. We use a two-limit Tobit model to obtain quantitative results from a survey of 259 smallholder farmers in the first phase. Results show that: regular/repeat customers, bargaining power, access to extension services, access to credit, distance to the nearest township, stock size, bicycle ownership and price are factors that significantly influence the choice of selling at the farm-gate. In order to explo...

Purpose-Access to suitable production means is required for producers to improve their profitability. As a result, agricultural financing appears to be a critical tool for attaining this goal. Various programs and donors have been attempting for decades to put together initiatives that would make it easier for the most disadvantaged populations, including the primarily agricultural rural world, to access sources of financing. Due to poor performance, the majority of these programs have failed. This study aims to investigate the determinants of credit access and how loans affect rice farm profitability. Methodology-Data for this study were collected from 102 producers living in the two biggest paddy production zones in southern Togo. The treatment effect model was used to examine the data collected through the survey investigation. Findings-Gender, asset type, producer experience, access to credit information, primary occupation, and land ownership status of the producer are all factors in determining rice growers' access to credit. Gender, producer experience, access to credit information, and land ownership status all have a beneficial impact on credit availability. However, asset type and the producer's main occupation have a negative impact. It also demonstrates that whether rice farms have access to loans has little bearing on their profitability. On the other hand, the average treatment impact of credit access is statistically significant. It also shows that the farmer's degree of education, expertise in the field, and lastly, the size of rice field farmed are the most important elements affecting the profitability of rice fields. Conclusion-The findings have policy implications, increasing the channels for disseminating credible information about funding sources, access procedures and the institutions in charge of these funding sources. Integrating the enhancement of farmers' educational levels into rural support initiatives, and the extension of major agricultural landscaping works undertaken by the government to other areas suitable for rice cultivation.

Agricultural commercialization raises farm incomes and improves living standards in African farming populations. Despite its importance, it remains low in Africa. Limited studies in agricultural commercialization have explored different tools for analysis given the agricultural commercialization indicators with zeros and fractions. This paper addresses methodological issue and adds literature on factors affecting agricultural commercialization. Agricultural commercialization is explored in Zhombe North Rural District using 2017/2018 cross-sectional data collected from 165 households. The zeroinflated beta regression model was used to find the drivers of agricultural commercialization. Crop output market participation share served as a proxy for agricultural commercialization. Land size, fertilizer use, use of credit, and certified seed proportion had significant positive effects on agricultural commercialization. In contrast, household head age, food cropping land size, and off-farm employment significantly influenced agricultural commercialization. The results for the model are similar to the results in previous studies using the Tobit model. The study recommends policies that promote the availability and usage of inputs to improve agricultural commercialization in the study area.

Purpose: This paper contributes to the smallholder agriculture commercialisation literature by applying the Theory of Planned Behaviour in a developing country context. The study examines the Influence of Attitude, Subjective norms and Perceived behavioural control on the Commercialisation scaling-up Intent among smallholder village chicken farmers in Northwestern Zambia. Furthermore, the mediating role of commercialisation practices Intention is examined. Design/methodology/approach: Based on a quantitative correlational design, primary sample data were collected using a structured questionnaire from 556 village chicken smallholder farmers from two farming blocks in Northwestern Zambia. The data were analysed using statistical correlation and regression models. Findings: The findings indicate that attitudes, subjective norms, perceived behavioural control as well as commercialisation practices Intention have unique positive significant effects on Commercialisation practices intention (CPI). Further, CPI in turn positively Influences Commercialisation scaling-up intention (CSI). Research limitations/implications: Notwithstanding the research limitations such as the study being cross-sectional and based on one district in Zambia, the findings have important implications. For policymakers and enterprise support institutions, understanding the socio-psychological factors of smallholder farmers are important before introducing any interventions to promote the commercialisation of the village chicken. Additionally, for scaling-up to occur, farmers need to be encouraged to adopt commercialisation practices in management, investment and marketing. This would increase the chances of transitioning from subsistence to commercial farming. Originality: The study is among the first to apply the theory of planned behaviour in the village chicken value chain in the under-researched Zambian context.