Drivers of small scale farmers participation in agricultural land rental markets in Kenya

Abstract

The study used a sample size of 386 small-scale farmers to jointly determine the drivers of small-scale farmers’ rental market participation in Kenya. The results of a bivariate probit model show that renting in participants were young, more educated and owned relatively small farms while renting out participants were relatively old, less educated and owned large pieces of land. Transaction costs, access to extension services and ownership to oxen were the main determinants of land rental market participation. To heighten land equalization, policies that enhance reinvestment in agricultural assets, access to extension services and reduce transaction cost are important.