Impact Of Agricultural Market Reforms On Smallholder Farmers In ...

Impact Of Agricultural Market Reforms On Smallholder Farmers In ... Impact Of Agricultural Market Reforms On Smallholder Farmers In ...

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villageois, (GV)) was needed as these groups handle 90 percent of input distribution in Benin and all of the cotton marketing. Accordingly, an additional survey of 189 GVs was designed and launched there during the period June to December 1999. Data collection in all surveys were implemented by the collaborating institutions, LARES in Benin and APRU in Malawi. In Malawi, the interviews were conducted by a team of eight enumerators, under the supervision of Mr. Richard Kachule of APRU. In Benin, the survey team was comprised of 10 enumerators supervised by Dr. Bio Goura Soulé. Data entry was also conducted in both countries by some of the senior enumerators who had participated in the surveys. Data cleaning was done jointly between IFPRI and all its collaborators. More details about the survey methodologies, sampling, questionnaire design, and data collection are presented in the appropriate chapters of this report. Following survey data collection and cleaning, analysis of survey data was conducted at IFPRI. Descriptive statistics from each of the surveys were generated and tabulated. This report’s findings are based on the interpretation of these descriptive statistics. Regression analysis was also used to understand the factors that influence four key variables in the smallholder farm sector. First, a Heckman two-stage regression analysis was used to identify the factors that affect the decision to use fertilizer and the amount of fertilizer used. Second, regression analysis was conducted to examine the determinants of marketed surplus, defined as the percentage of the value of crop production that is marketed. Third, regression analysis was used to examine the factors associated with poverty. And finally, an ordered probit regression analysis was used to determine the characteristics of households that consider themselves better or worse off compared to several years ago (1992 in Benin and 1995 in Malawi). 1.3 Organization of the report The report consists of two volumes. Volume 1, the present volume, presents the results of the surveys of farmers, farmer organizations, and villages. Volume 2 focuses on the results of the trader and market surveys. Volume 1 is organized in six chapters. After this introductory chapter, Chapter 2 provides background on the Republic of Benin, focusing on the evolution of policy affecting agriculture, the performance of the sector in the reform period (since 1990), and a review of previous research on the agricultural economy of Benin. Chapter 3 describes the backgrounds and evolution of policy in 3

Malawi, focusing on the reforms that have been implemented since the mid-1980s. Chapter 4 describes the results of the three Benin surveys: the farmer survey, the community survey, and the survey of groupements villageois. Chapter 5 presents the results of the surveys of farmers and communities in Malawi. Chapter 6 summarizes the results from both countries, draws some conclusions about the impact of the reforms on small farmers, and derives a number of policy implications for Benin and Malawi. 4

villageois, (GV)) was needed as these groups handle 90 percent of input distribution in Benin and<br />

all of the cotton marketing. Accordingly, an additional survey of 189 GVs was designed and<br />

launched there during the period June to December 1999.<br />

Data collection in all surveys were implemented by the collaborating institutions, LARES in Benin<br />

and APRU in Malawi. <strong>In</strong> Malawi, the interviews were conducted by a team of eight enumerators,<br />

under the supervision of Mr. Richard Kachule of APRU. <strong>In</strong> Benin, the survey team was comprised<br />

of 10 enumerators supervised by Dr. Bio Goura Soulé. Data entry was also conducted in both<br />

countries by some of the senior enumerators who had participated in the surveys. Data cleaning<br />

was done jointly between IFPRI and all its collaborators. More details about the survey<br />

methodologies, sampling, questionnaire design, and data collection are presented in the appropriate<br />

chapters of this report.<br />

Following survey data collection and cleaning, analysis of survey data was conducted at IFPRI.<br />

Descriptive statistics from each of the surveys were generated and tabulated. This report’s findings<br />

are based on the interpretation of these descriptive statistics. Regression analysis was also used to<br />

understand the factors that influence four key variables in the smallholder farm sector. First, a<br />

Heckman two-stage regression analysis was used to identify the factors that affect the decision to<br />

use fertilizer and the amount of fertilizer used. Second, regression analysis was conducted to<br />

examine the determinants of marketed surplus, defined as the percentage of the value of crop<br />

production that is marketed. Third, regression analysis was used to examine the factors associated<br />

with poverty. And finally, an ordered probit regression analysis was used to determine the<br />

characteristics of households that consider themselves better or worse off compared to several years<br />

ago (1992 in Benin and 1995 in Malawi).<br />

1.3 Organization of the report<br />

The report consists of two volumes. Volume 1, the present volume, presents the results of the<br />

surveys of farmers, farmer organizations, and villages. Volume 2 focuses on the results of the<br />

trader and market surveys.<br />

Volume 1 is organized in six chapters. After this introductory chapter, Chapter 2 provides<br />

background on the Republic of Benin, focusing on the evolution of policy affecting agriculture, the<br />

performance of the sector in the reform period (since 1990), and a review of previous research on<br />

the agricultural economy of Benin. Chapter 3 describes the backgrounds and evolution of policy in<br />

3

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