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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oad network, although those citing an increase (12 percent) exceeded those reporting a decrease (2 percent). Improvements were reported in the North and the South, but none of the 18 village leaders in the Center reported improvement (see Table 4.2.2). With regard to changes in road quality, the results are even less positive. Forty-five percent of the villages report a deterioration in road quality, compared to just 27 percent reporting improvements. Complaints about declining road quality were most common in the North and the South (see Table 4.2.3). Transportation equipment The vehicles used for agricultural transportation in rural villages of Bénin include large numbers of bicycles (102 per village on average) and motorbikes (23), and perhaps one car and one pick-up truck. The figures were quite similar in the North and South, but the Center differs in having fewer bicycles and fewer motorbikes, but more cars and push-carts (see Table 4.2.4). The IFPRI-LARES Community Survey reveals that the number of vehicles used for agricultural transport has increased in the vast majority of villages since 1992. A large majority of village leaders (over 80 percent) report increases in the number of bicycles and motorbikes. Furthermore, the percentage reporting greater numbers of cars, pickup trucks, and other forms of transportation is 17-25 percent, compared to very small numbers of villages reporting smaller numbers (see Table 4.2.5). These increases could be linked to economic reforms in a number of ways: the liberalization of imports which made bicycles and motorbikes more available, the increase in agricultural trade as a result of marketing reforms, and/or greater acceptance of the legitimacy of private-sector investment and marketing activities. 4.2.3 Agricultural markets This section examines the proximity of rural villages to different types of agricultural markets, the facilities of those markets, the number of traders, and access to input credit, as well as changes in these variables over time. 107

Current patterns On average, rural villages are 6 kilometers from an assembly market, 15 kilometers from a wholesale market, and 48 kilometers from a consumption market. The distances are greatest in the North and least in the South, particularly for wholesale and consumer markets (see Table 4.2.6). The lower density of agricultural markets in the North both reflects and contributes to the lower degree of market orientation among farmers in the North. Another factor is that cotton, grown mainly in the North and Center, is marketed through the groupement villageois, whereas almost all the marketed output in the south passes through a market place. Most villages have 20 or more assemblers and a similar number of retailers, but just a handful (2 top 7) of wholesalers. Input traders, brokers, and storage traders are rare, with an average of just one or two in each village. The number of traders operating in rural villages tends to be smaller in the North, again reflecting the lower level of agricultural marketing in this region (see Table 4.2.6). Retailers, assemblers, and wholesalers operate 6-9 months of the year, with little variation across regions. The figures for other types of traders are erratic, due to the small number of these traders in each village (see Table 4.2.6). Most assembly markets (63 percent) are located in the same commune as the village. Wholesale markets are often (49 percent) in the same sous-prefecture, but not in the same commune. In contrast, most of the consumption markets are in the same department but not in the same sousprefecture (see Table 4.2.7). Most of these markets are periodic, meaning they are only active or they are more active at regular intervals. The most common pattern is for the markets to have a frequency of four or five days, although a few are daily and others are weekly (see Table 4.2.8). Changes in markets Village leaders were asked to evaluate the change in volume traded at these markets since 1992. The results strongly suggest that the volume of commodities traded at rural markets in Bénin has increased over the last eight years. Over three-quarters of the respondents report an increase in the quantities passing through assembly, wholesale, and consumer markets, and less than 10 percent cite a decrease in trading activity (see Table 4.2.9). This further supports the hypothesis made earlier that the economic reforms have stimulated the growth of agricultural marketing, implying a corresponding increase in the market-orientation of farm households in Bénin. The type of 108

oad network, although those citing an increase (12 percent) exceeded those reporting a decrease (2<br />

percent). Improvements were reported in the North and the South, but none of the 18 village<br />

leaders in the Center reported improvement (see Table 4.2.2).<br />

With regard to changes in road quality, the results are even less positive. Forty-five percent of the<br />

villages report a deterioration in road quality, compared to just 27 percent reporting improvements.<br />

Complaints about declining road quality were most common in the North and the South (see Table<br />

4.2.3).<br />

Transportation equipment<br />

The vehicles used for agricultural transportation in rural villages of Bénin include large<br />

numbers of bicycles (102 per village on average) and motorbikes (23), and perhaps one car and one<br />

pick-up truck. The figures were quite similar in the North and South, but the Center differs in<br />

having fewer bicycles and fewer motorbikes, but more cars and push-carts (see Table 4.2.4).<br />

The IFPRI-LARES Community Survey reveals that the number of vehicles used for agricultural<br />

transport has increased in the vast majority of villages since 1992. A large majority of village<br />

leaders (over 80 percent) report increases in the number of bicycles and motorbikes. Furthermore,<br />

the percentage reporting greater numbers of cars, pickup trucks, and other forms of transportation is<br />

17-25 percent, compared to very small numbers of villages reporting smaller numbers (see Table<br />

4.2.5). These increases could be linked to economic reforms in a number of ways: the liberalization<br />

of imports which made bicycles and motorbikes more available, the increase in agricultural trade as<br />

a result of marketing reforms, and/or greater acceptance of the legitimacy of private-sector<br />

investment and marketing activities.<br />

4.2.3 <strong>Agricultural</strong> markets<br />

This section examines the proximity of rural villages to different types of agricultural markets, the<br />

facilities of those markets, the number of traders, and access to input credit, as well as changes in<br />

these variables over time.<br />

107

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