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

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Households in every expenditure category were, on average, positive about the changes in their economic situation since 1992. The strongest positive responses, however, were obtained from the poorest three household categories and the least positive response from the richest expenditure category. For example, 50-59 percent of the households in the lower three expenditure categories said their economic conditions had improved, compared to just 44 percent among households in the highest expenditure category (see Table 4.1.179). Reasons for perceived changes in well-being In order to assess the reasons for these views, respondents who reported a change in their economic condition were asked to identify the main factor causing this change. The main reasons cited by those seeing an improvement in their economic condition were increases in crop prices (27 percent), changes in the price or availability of food (25 percent), and increases in off-farm income (20 percent) (see Table 4.1.180). The reasons cited by those who experienced deterioration in their economic condition were problems of household health (21 percent), poor weather (20 percent), and declining soil fertility (15 percent). It is worth noting that the three most important reasons given for improved economic conditions are factors that are probably linked to the economic reform program. On the other hand, the reasons given for declining economic conditions are random factors generally unconnected with economic policy. Thus, these results indicate that the evaluation of economic reforms by rural households is more positive than would be indicated by their perceived change in household wellbeing. Regression analysis of perceived changes in well-being We use regression analysis to explore the factors associated with the perceived change in household well-being. Because the dependent variable is a qualitative variable representing “better”, “same”, and “worse”, an ordered probit analysis is used 23 . A positive coefficient means 23 An ordered probit regression analysis is used when the dependent variable takes three or more values and represents a discrete variable with a natural ordering. Unlike linear regression, the dependent variable is discrete, such as the responses to a multiple-choice question, rather than continuous, such as income. Unlike a standard probit, the dependent variable takes more than two values. And unlike a multinominal logit, the dependent variable has a natural order. 103
that higher values of the independent variable is associated with more positive assessment of changes in household well-being. Households with a lower per capita expenditure were more likely to see improvements in household welfare since 1992. Since cotton growing and location are already controlled, this means that even among cotton growers (and non-cotton growers) and even within each department, poor households are more likely to report improved conditions than non-poor households. Households that have had contact with an extension agent and those that own a television also appear to be more likely to see improved economic conditions for their household. These variables may reflect greater awareness of the economic reforms and how the reforms might have influenced their own households. In addition, contact with an extension agent may contribute to positive attitudes toward the government and its attempts to improve rural living conditions. Households living far from the sous-prefecture center are less likely to report improvements in household well-being. The size of this effect is quite small, however: if a farm is located 120 km from the center (the maximum in the sample) rather than 18 km (the mean), the probability of seeing improved well-being falls by less than 2 percentage points. Finally, residents in Atacora and Borgou were significantly more likely to report improved economic conditions. For example, living in Atacora increases the probability of reporting improved welfare by 33 percentage points. This result may suggest that the cotton revenue has boosted general economic conditions in these departments, leading both cotton growers and non-cotton growers to see gains. It is somewhat surprising that cotton growers are no more likely to report improved living wellbeing than non-cotton growers. It should be noted, however, that the statistical significance is only slightly below the 5 percent threshold usually considered acceptable. Furthermore, alternative regression models indicate that the cotton variable is highly significant when the departmental variables are excluded. In other words, either growing cotton or living in a cotton-growing department is associated with reports of improved well-being, but within each department cotton growers give similar responses to non-cotton growers. 104
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IMPACT OF AGRICULTURAL MARKET REFOR
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TABLE OF CONTENTS CHAPTER 1 - INTRO
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5.1.10 Expenditure patterns .......
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CHAPTER 1 - INTRODUCTION 1.1 Backgr
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villageois, (GV)) was needed as the
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CHAPTER 2: POLICY BACKGROUND FOR BE
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2.3 Evolution of Economic Policy 2.
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Under pressure from the World Bank
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anking system has been restored to
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Fertilizer can be imported outside
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particularly urban wage-earners. On
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Soulé (1996) describes the evoluti
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led to a more sustainable agricultu
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Table 2.4 - Gross farm revenue from
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Malawi’s economy is heavily depen
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the reduction of its operations in
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crops is also difficult because tob
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Table 3.1 CROP 1982/83 1983/84 1984
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CHAPTER 4: RESULTS OF THE BÉNIN SM
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where W v is the weight for a house
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heads. This suggests that some of t
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And school attendance is much highe
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Crop production is the main activit
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(33 percent). Livestock income is m
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Somewhat surprisingly, the relation
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It is no more common among richer h
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production, and women actually spen
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Seed use by crop Although only 18 p
Page 60 and 61: Looking at the results by departmen
Page 62 and 63: Ouémé presents an unusual case: j
Page 64 and 65: Market prices have significant effe
Page 66 and 67: policies of SONAPRA to discourage
Page 68 and 69: crops are responsible for this incr
Page 70 and 71: Respondents were asked whether the
Page 72 and 73: Female-headed households, not surpr
Page 74 and 75: households are not considered credi
Page 76 and 77: In almost every category of agricul
Page 78 and 79: This discussion implies that farms
Page 80 and 81: eturns per hectare and labor-intens
Page 82 and 83: farm household and tends to be smal
Page 84 and 85: Surprisingly, the value of sales as
Page 86 and 87: Finally, proximity to an all-season
Page 88 and 89: Changes in crop marketing In this s
Page 90 and 91: Poor households are more likely to
Page 92 and 93: it is clear that virtually all grow
Page 94 and 95: production to total expenditure is
Page 96 and 97: a significant number of household (
Page 98 and 99: non-food spending. These are follow
Page 100 and 101: Larger farms are associated with hi
Page 102 and 103: This would not be surprising in lig
Page 104 and 105: Female-headed households appear to
Page 106 and 107: poorest expenditure category to jus
Page 108 and 109: headed household were more likely t
Page 112 and 113: An important result of this analysi
Page 114 and 115: oad network, although those citing
Page 116 and 117: questions posed by the IFPRI-LARES
Page 118 and 119: With regard to cotton marketing, al
Page 120 and 121: Village leaders were asked to ident
Page 122 and 123: Marketing patterns Village leaders
Page 124 and 125: 4.3: Results of the Bénin Survey o
Page 126 and 127: 4.3.2 Survey methods At the time of
Page 128 and 129: officers have CM2 certificates. Thi
Page 130 and 131: Suppliers The GV representatives we
Page 132 and 133: Cotton area per GV ranges from 145
Page 134 and 135: The largest cost items are schools
Page 136 and 137: members and 10 percent of the membe
Page 138 and 139: Table 4.1.1-Description of sample o
Page 140 and 141: Table 4.1.7-Age, education, and lit
Page 142 and 143: Table 4.1.13-Ethnic background of h
Page 144 and 145: Table 4.1.19-Importance of each sou
Page 146 and 147: Table 4.1.25-Number of plots and ar
Page 148 and 149: Table 4.1.31-Land tenure by expendi
Page 150 and 151: Table 4.1.37-Change in labor alloca
Page 152 and 153: Table 4.1.42-Seed use by sex of hea
Page 154 and 155: Table 4.1.47-Perceived change in av
Page 156 and 157: Table 4.1.54-Share of producers of
Page 158 and 159: Table 4.1.59-Fertilizer use by farm
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Table 4.1.64-Characteristics of fer
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Table 4.1.69-Change in fertilizer a
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Table 4.1.75-Allocation of labor by
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Table 4.1.82-Allocation of labor by
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Table 4.1.89-Change in credit avail
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Table 4.1.94-Percent of households
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Table 4.1.102-Area allocation by cr
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Table 4.1.106-Area allocation by cr
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Table 4.1.110-Marketed share of out
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Table 4.1.114-Marketed share of out
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Table 4.1.117-Regression for market
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Table 4.1.120-Change in the type of
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Table 4.1.128-Perceived change in r
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Table 4.1.135-Main reason for stori
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Table 4.1.140-Summary of food expen
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Table 4.1.144-Food consumption by e
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Table 4.1.149-Results of regression
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Table 4.1.152-Value of household as
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Table 4.1.156-Value of household as
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Table 4.1.160-Housing characteristi
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Table 4.1.162-Housing characteristi
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Table 4.1.165-Main source of water
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Table 4.1.170-Source of information
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Table 4.1.176-Source of information
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Table 4.1.181-Regression for percei
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Table 4.2.5-Change in number of veh
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Table 4.2.12-Availability and sourc
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Table 4.2.21-Number of GFs per vill
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Table 4.2.30-Percentage of villages
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Table 4.2.34-Distribution of villag
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Table 4.3.1-Distribution of GVs by
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Table 4.3.9-Number of each type of
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Table 4.3.12-Percentage of secretar
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Table 4.3.19-Distribution of GVs by
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Table 4.3.24-Percentage of inputs s
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Table 4.3.32-Average value of curre
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Table 4.3.40-Percentage of GVs in w
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CHAPTER 5 - RESULTS FROM THE MALAWI
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The weights are used to calculate a
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On average, around 20 percent of th
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agricultural work. Other less commo
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5.1.4 Time allocation In Malawi, as
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attributed it to the fact that fert
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insignificant. The coefficient on t
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As in the results from the previous
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most important sources of input on
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applied for credit compared to 20 p
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less than 1 mt per ha which are fai
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5.1.9 Agricultural marketing Market
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Households that belong to a club al
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most important contractors are the
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indicates that the extent of povert
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wheat, and fruits and nuts, a highe
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Surprisingly, the education of the
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Housing characteristics The overwhe
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It was also important to find out w
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Surprisingly, tobacco growers are m
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Over three-quarter of the EPAs repo
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The changes in the number and types
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5.2.11 Storage Facilities On averag
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Table 5.2 - Household characteristi
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Table 5.7 - Percentage of household
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Table 5.12 - Farm labor use and all
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Table 5.15 - Determinants of the de
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Table 5.17 - Sources of fertilizer
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Table 5.22 - Access and use of cred
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Table 5.25 - Percent of households
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Table 5.34 - Crop disposal by type
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Table 5.38 - Determinants of Market
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Table 5.42 - Summary of expenditure
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Table 5.45 - Food consumption by so
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Table 5.51 - Food consumption by ex
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Table 5.56 - Determinants of per ca
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Table 5.59 Percent of households ow
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Table 5.62 - Characteristics of the
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Table 5.68 - Determinants of percei
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Table 5.71 - Average yields per cro
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Table 5.77 - Changes in the availab
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Figure 5.1 Distribution of househol
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Figure 5.7 - Percentage of Househol
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CHAPTER 6 - SUMMARY, CONCLUSIONS AN
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Fertilizer Half of the far
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Regression analysis indicates that
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Among those seeing improvement, the
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Agricultural markets Three quart
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The economic reforms have boosted p
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department. The farms with very lit
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Strengthen the extension service by
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The most time-consuming agricultura
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Most common means of transport to t
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Small farmers in Malawi are mainly
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households have less assets and les
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Place more serious efforts to impro
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REFERENCES Ahoyo Adjovi, N.R. and F
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Impact Of Agricultural Market Reforms On Smallholder Farmers In ...

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