Pub Date : 2021-07-04DOI: 10.17306/J.JARD.2021.01379
A. Ocholi, V. N. Ayilla, Monica Udeh
The study examined the effect of marketing intermediaries on onion prices in Benue state, Nigeria. A multistage sampling method was employed to select 150 onion sellers in the study area. Primary data were collected using a structured questionnaire administered to respondents. Data collected were analysed using descriptive statistics, marketing efficiency and Gini coefficient. The study revealed that the majority (66.7%) of the respondents were female, 46.7% were married with an average age of 38 and an average income of ₦96684.00. The result also showed e marketing efficiency of 5.19 indicating that the product was efficient in the study area and Gini coefficient of 0.29 indicating that onion marketing is perfectly competitive. Transportation and storage facilities constituted the greatest challenge faced by onion sellers in the study area. Based on the findings of the study, it was recommended that the sellers should form cooperatives to promote bulk purchase which will, in turn, reduce transportation charges as well as enable them to achieve the benefits from economies of scale.
{"title":"Effect of Marketing Intermediaries on Pricing of Onions in Benue State, Nigeria","authors":"A. Ocholi, V. N. Ayilla, Monica Udeh","doi":"10.17306/J.JARD.2021.01379","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01379","url":null,"abstract":"The study examined the effect of marketing intermediaries on onion prices in Benue state, Nigeria. A multistage sampling method was employed to select 150 onion sellers in the study area. Primary data were collected using a structured questionnaire administered to respondents. Data collected were analysed using descriptive statistics, marketing efficiency and Gini coefficient. The study revealed that the majority (66.7%) of the respondents were female, 46.7% were married with an average age of 38 and an average income of ₦96684.00. The result also showed e marketing efficiency of 5.19 indicating that the product was efficient in the study area and Gini coefficient of 0.29 indicating that onion marketing is perfectly competitive. Transportation and storage facilities constituted the greatest challenge faced by onion sellers in the study area. Based on the findings of the study, it was recommended that the sellers should form cooperatives to promote bulk purchase which will, in turn, reduce transportation charges as well as enable them to achieve the benefits from economies of scale.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":" ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-07-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44773671","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-07-04DOI: 10.17306/J.JARD.2021.01374
T. Melembe
This paper investigated factors influencing value addition agricultural choices of smallholder farming agribusinesses in the Gauteng Province, South Africa, using the Ordinary Least Squares regression model. The study used randomly sampled data collected from 102 smallholder farmers by the National Agricultural Marketing Council and the Gauteng Department of Agriculture and Rural Development. Four types of value addition were identified, namely postharvest, food preservation, milling, and post-slaughter. The results revealed that the number of people in the household, permanent workers, and access to training influences smallholder farmers’ choice of post-harvest, food preservation, and post-slaughter value addition. Besides, milling value addition is influenced by the size of the farm, grain, and livestock production, together with access to information and training. These results call for government intervention in promoting agro-processing and value addition activities to encourage farmer participation, income generation, and poverty alleviation, thus improving the farmers’ livelihoods.
{"title":"Value added choice Factors influencing value-added agricultural choice within smallholder farming agribusinesses of Gauteng Province in South Africa","authors":"T. Melembe","doi":"10.17306/J.JARD.2021.01374","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01374","url":null,"abstract":"This paper investigated factors influencing value addition agricultural choices of smallholder farming agribusinesses in the Gauteng Province, South Africa, using the Ordinary Least Squares regression model. The study used randomly sampled data collected from 102 smallholder farmers by the National Agricultural Marketing Council and the Gauteng Department of Agriculture and Rural Development. Four types of value addition were identified, namely postharvest, food preservation, milling, and post-slaughter. The results revealed that the number of people in the household, permanent workers, and access to training influences smallholder farmers’ choice of post-harvest, food preservation, and post-slaughter value addition. Besides, milling value addition is influenced by the size of the farm, grain, and livestock production, together with access to information and training. These results call for government intervention in promoting agro-processing and value addition activities to encourage farmer participation, income generation, and poverty alleviation, thus improving the farmers’ livelihoods.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":" ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-07-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47821693","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-07-04DOI: 10.17306/J.JARD.2021.01404
S. Agbagwa, I. Agbugba, P. Maponya
The study was centred on the comparative analysis of plantain and banana marketing in the Port Harcourt Metropolis, Rivers State, Nigeria. A structured questionnaire was used to collect data from 126 plantain and banana marketers whom were selected using a simple random sampling technique from seven purposively-selected markets in the study area. The data were analysed using descriptive statistics, a gross margin model, and the t-test. The findings showed that plantain and banana marketers were 100% female, that is only females were identified in the trade; 51.6% and 56.3% of these plantain and banana marketers had mean ages of 40.8 years and 59.5 years respectively; in addition, the majority of the marketers were married (73.0% and 65.1% respectively). Furthermore, they earned a monthly profit of ₦55,370.42 and ₦47,654.74 respectively, which indicates that both businesses are profitable. Further, the plantain and banana trade shared similar marketing channels, the number of which was four, with the most dominant channel being the one composed of the producer, rural assembler, wholesaler, retailer, and the consumer. The t-test analysis demonstrated that the difference in profit by plantain and banana marketers was statistically significant at the p-value of < 0.05. Unemployed youths in Rivers State should be trained by well-meaning organisations so that they can take up the marketing of plantains/bananas as a means of earning a living due to their profitability.
{"title":"Comparative Analysis of Plantation and Banana Marketing in Port Harcourt City Metropolis, Rivers State, Nigeria.","authors":"S. Agbagwa, I. Agbugba, P. Maponya","doi":"10.17306/J.JARD.2021.01404","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01404","url":null,"abstract":"The study was centred on the comparative analysis of plantain and banana marketing in the Port Harcourt Metropolis, Rivers State, Nigeria. A structured questionnaire was used to collect data from 126 plantain and banana marketers whom were selected using a simple random sampling technique from seven purposively-selected markets in the study area. The data were analysed using descriptive statistics, a gross margin model, and the t-test. The findings showed that plantain and banana marketers were 100% female, that is only females were identified in the trade; 51.6% and 56.3% of these plantain and banana marketers had mean ages of 40.8 years and 59.5 years respectively; in addition, the majority of the marketers were married (73.0% and 65.1% respectively). Furthermore, they earned a monthly profit of ₦55,370.42 and ₦47,654.74 respectively, which indicates that both businesses are profitable. Further, the plantain and banana trade shared similar marketing channels, the number of which was four, with the most dominant channel being the one composed of the producer, rural assembler, wholesaler, retailer, and the consumer. The t-test analysis demonstrated that the difference in profit by plantain and banana marketers was statistically significant at the p-value of < 0.05. Unemployed youths in Rivers State should be trained by well-meaning organisations so that they can take up the marketing of plantains/bananas as a means of earning a living due to their profitability.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":" ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-07-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"49575606","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-07-04DOI: 10.17306/J.JARD.2021.01362
Gomolemo Ngwako, Mary Mthenge, E. Gido, K. Kgosikoma
Goat farming is a major livelihood activity for most smallholder farmers in Botswana. To ensure sustainable livelihoods for these farmers, a shift from the prevalent traditional and subsistence system to a more market-oriented one is considered necessary. Market participation is widely viewed as an effective means of addressing poverty which is particularly rampant in most rural areas of Botswana and other developing countries. Little evidence is however available on the link between market participation and household welfare, especially among livestock and, in particular, small stock farmers. This paper evaluates the effect of market participation on household welfare among smallholder goat farmers. Estimating an endogenous switching regression model, the results show a positive and significant effect of market participation on household income for both participant and non-participant farmers. This effect was found to be more pronounced among the non-participants had they decided to sell. The results suggest that goat farmers should be encouraged to engage in market participation other than their traditional ways of keeping goats. This implies that existing policies and programs that increase market participation and encourage market-oriented farming should be revised in order to provide efficient and sustainable support. Furthermore, the study recommends that information on goat markets should reach rural areas where most farmers reside and are unable to access technology.
{"title":"Effect of market participation on household welfare among smallholder goat farmers in Botswana","authors":"Gomolemo Ngwako, Mary Mthenge, E. Gido, K. Kgosikoma","doi":"10.17306/J.JARD.2021.01362","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01362","url":null,"abstract":"Goat farming is a major livelihood activity for most smallholder farmers in Botswana. To ensure sustainable livelihoods for these farmers, a shift from the prevalent traditional and subsistence system to a more market-oriented one is considered necessary. Market participation is widely viewed as an effective means of addressing poverty which is particularly rampant in most rural areas of Botswana and other developing countries. Little evidence is however available on the link between market participation and household welfare, especially among livestock and, in particular, small stock farmers. This paper evaluates the effect of market participation on household welfare among smallholder goat farmers. Estimating an endogenous switching regression model, the results show a positive and significant effect of market participation on household income for both participant and non-participant farmers. This effect was found to be more pronounced among the non-participants had they decided to sell. The results suggest that goat farmers should be encouraged to engage in market participation other than their traditional ways of keeping goats. This implies that existing policies and programs that increase market participation and encourage market-oriented farming should be revised in order to provide efficient and sustainable support. Furthermore, the study recommends that information on goat markets should reach rural areas where most farmers reside and are unable to access technology.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":" ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-07-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44031008","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-07-04DOI: 10.17306/J.JARD.2021.01396
Z. Shikur
This study aims to supplement the literature on the factors affecting wheat producer productivity and profitability by focusing on the role of governance structures and asymmetric information – an issue that is rarely discussed in developing countries. The study thoroughly explores the effect of governance structures and asymmetric information to model a hypothesis for Ethiopia. The study area enables an exemplary case study as it is one of the top wheat-producing areas in both Ethiopia and all of Africa. The study area has also been registered as a wheat belt region in Sub-Saharan Africa. This study used personal interviews to collect primary data from actors. Mixed sampling techniques (i.e., random, census, and purposive) were used to select sampling units. Multiple linear regression models were used to analyse the data. The results show that governance structures, Farm-gate transactions, and asymmetric information have a significant effect on wheat productivity and profitability. Asymmetric information significantly reduces the profit and yield of wheat producers. The study implies that the government should apply a policy related to institutional arrangements to enhance productivity and profitability in wheat supply chains.
{"title":"Governance structures in wheat supply chains and their impacts on productivity and profitability of wheat producers in Ethiopia","authors":"Z. Shikur","doi":"10.17306/J.JARD.2021.01396","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01396","url":null,"abstract":"This study aims to supplement the literature on the factors affecting wheat producer productivity and profitability by focusing on the role of governance structures and asymmetric information – an issue that is rarely discussed in developing countries. The study thoroughly explores the effect of governance structures and asymmetric information to model a hypothesis for Ethiopia. The study area enables an exemplary case study as it is one of the top wheat-producing areas in both Ethiopia and all of Africa. The study area has also been registered as a wheat belt region in Sub-Saharan Africa. This study used personal interviews to collect primary data from actors. Mixed sampling techniques (i.e., random, census, and purposive) were used to select sampling units. Multiple linear regression models were used to analyse the data. The results show that governance structures, Farm-gate transactions, and asymmetric information have a significant effect on wheat productivity and profitability. Asymmetric information significantly reduces the profit and yield of wheat producers. The study implies that the government should apply a policy related to institutional arrangements to enhance productivity and profitability in wheat supply chains.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":" ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-07-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42947838","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-07-04DOI: 10.17306/J.JARD.2021.01389
S. Salau
Public relations (PR) are often ignored in agricultural marketing, and organizations with imperfect utilization of PR are usually badly managed, ineffective and generate high labor turnover. Therefore, this study identified the different types of adopted PR strategies, described the structure of the cocoa market, estimated the marketing margin, identified factors affecting PR strategies and outlined the major challenges hindering the use of PR among certified and non-certified cocoa marketers. A combination of purposive and random sampling techniques was used to select 120 respondents for the study. The analytical tools used to achieve the research objectives are descriptive statistics, Likert-scale, Herfindahl Index, marketing efficiency model, marketing margin and multiple regression analysis. The result revealed that the most frequently used PR strategy was phone calls. The Herfindahl Index values of 0.19 and 0.12 suggested that the structure of cocoa markets among certified and non-certified marketers was moderately concentrated and non-concentrated respectively. Moreover, the higher efficiency (122.6%) and marketing margin (18.44%) values for certified cocoa marketers revealed that they are more productive than non-certified marketers. Age, marketing margin, cost of spoilt cocoa beans and household size are important variables explaining the adoption of PR strategies among certified cocoa marketers. On the other hand, marketing margin, cost of spoilt cocoa beans and household size are important variables influencing the adoption of PR strategies among non-certified marketers. The most important factors hindering cocoa marketing are high costs of transportation among certified cocoa marketers, and commission among non-certified cocoa marketers. We recommend the use of mobile phone and training of marketers on the use of PR strategies and modern cocoa processing techniques. The challenges of erratic network performance, high airtime tariff and input subsidies should be addressed by the government to reduce wastage in the industry.
{"title":"AN Assessment of public relations among certified and non-certified cocoa marketers in Ondo State, Nigeria","authors":"S. Salau","doi":"10.17306/J.JARD.2021.01389","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01389","url":null,"abstract":"Public relations (PR) are often ignored in agricultural marketing, and organizations with imperfect utilization of PR are usually badly managed, ineffective and generate high labor turnover. Therefore, this study identified the different types of adopted PR strategies, described the structure of the cocoa market, estimated the marketing margin, identified factors affecting PR strategies and outlined the major challenges hindering the use of PR among certified and non-certified cocoa marketers. A combination of purposive and random sampling techniques was used to select 120 respondents for the study. The analytical tools used to achieve the research objectives are descriptive statistics, Likert-scale, Herfindahl Index, marketing efficiency model, marketing margin and multiple regression analysis. The result revealed that the most frequently used PR strategy was phone calls. The Herfindahl Index values of 0.19 and 0.12 suggested that the structure of cocoa markets among certified and non-certified marketers was moderately concentrated and non-concentrated respectively. Moreover, the higher efficiency (122.6%) and marketing margin (18.44%) values for certified cocoa marketers revealed that they are more productive than non-certified marketers. Age, marketing margin, cost of spoilt cocoa beans and household size are important variables explaining the adoption of PR strategies among certified cocoa marketers. On the other hand, marketing margin, cost of spoilt cocoa beans and household size are important variables influencing the adoption of PR strategies among non-certified marketers. The most important factors hindering cocoa marketing are high costs of transportation among certified cocoa marketers, and commission among non-certified cocoa marketers. We recommend the use of mobile phone and training of marketers on the use of PR strategies and modern cocoa processing techniques. The challenges of erratic network performance, high airtime tariff and input subsidies should be addressed by the government to reduce wastage in the industry.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":" ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-07-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"49552326","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-07-04DOI: 10.17306/J.JARD.2021.01402
Y. Nontu
The participation of rural households in home garden production, which is a premise of income and food security, is very low. Therefore, this study investigated factors influencing rural households’ participation in home gardens from Ingquza Hill Local Municipality, South Africa. This is against a background where literature and development circles suggest that household home gardens can significantly improve food security and household income. Despite the fact that home gardens are a source of income and food security, rural households’ participation is claimed to be very low, suggesting several factors worth explaining. The study used cross-sectional survey data from rural communities of the Eastern Cape Province, South Africa (n = 200), to estimate participation drivers. The initial sample was stratified into two groups; home gardeners and non-home gardeners. For home gardening participants, a census was carried out due to their limited numbers. For non-participants, convenience and purposive sampling was used focusing on households with similar socioeconomic characteristics and close to participants for pairing purposes. Using stratified purposive convenience sampling, two homogeneous mutually exclusive strata were created (stratum “A”; “HGs participants”: n = 87 and stratum “B”; “HGs non-participants”: n = 113) for an independent analysis. Binary logistic regression analysis was used to analyze the data. Regression results revealed that home garden participation was influenced by gender, education, household income, extension services, access to arable land, and credit access. This paper concluded that education, household income, access to extension services, and access to arable land were the major factors capable of positively influencing household participation in home gardening. In contrast, gender and access to credit were negatively associated with household participation in home gardening. Therefore, the paper calls for government policies and intervention programs targeting home gardening to improve rural household participation in home gardens.
{"title":"Determinants of home gardening participation among rural households: evidence from ingquza hill local municipality, South Africa.","authors":"Y. Nontu","doi":"10.17306/J.JARD.2021.01402","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01402","url":null,"abstract":"The participation of rural households in home garden production, which is a premise of income and food security, is very low. Therefore, this study investigated factors influencing rural households’ participation in home gardens from Ingquza Hill Local Municipality, South Africa. This is against a background where literature and development circles suggest that household home gardens can significantly improve food security and household income. Despite the fact that home gardens are a source of income and food security, rural households’ participation is claimed to be very low, suggesting several factors worth explaining. The study used cross-sectional survey data from rural communities of the Eastern Cape Province, South Africa (n = 200), to estimate participation drivers. The initial sample was stratified into two groups; home gardeners and non-home gardeners. For home gardening participants, a census was carried out due to their limited numbers. For non-participants, convenience and purposive sampling was used focusing on households with similar socioeconomic characteristics and close to participants for pairing purposes. Using stratified purposive convenience sampling, two homogeneous mutually exclusive strata were created (stratum “A”; “HGs participants”: n = 87 and stratum “B”; “HGs non-participants”: n = 113) for an independent analysis. Binary logistic regression analysis was used to analyze the data. Regression results revealed that home garden participation was influenced by gender, education, household income, extension services, access to arable land, and credit access. This paper concluded that education, household income, access to extension services, and access to arable land were the major factors capable of positively influencing household participation in home gardening. In contrast, gender and access to credit were negatively associated with household participation in home gardening. Therefore, the paper calls for government policies and intervention programs targeting home gardening to improve rural household participation in home gardens.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":" ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-07-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44256309","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-07-01DOI: 10.17306/J.JARD.2021.01386
N. S. Molepo
The purpose of the study is to analyse the long-run and short-run dynamic relations amongst total employment (lnEMPGt), export output (EXPOt) and import output (IMPOt) from 1990 to 2018, by applying a time-series analysis. The study adopts the secondary data for total employment from the Citrus Growers Association of South Africa, while both export and import output were sourced from the Global Trade Atlas. The multivariate cointegration approach is adopted in the study to identify any causal relationships amongst the concerned variables. The chosen optimum lag selection criterion was the Akaike Information Criterion (AIC) due to its association dependence on the log-likelihood ratio. The third lag was selected for the entire analysis. The results from the cointegration test and the Vector Error Correction Model (VECM) suggest a positive long-run effect between total employment and export output, while import output is negatively associated with total employment. The adjustment term of lnEMPGt, EXPOt and IMPOt suggests that the previous year’s errors are corrected for the current year at a convergence speed of 0.002, 1.11 and 25.37 percentage points, respectively. The results of the Granger causality test show that there are bidirectional causality effects between export output and total employment in the long run, while there are no causality effects between import output and total employment. The overall conclusion is that export outputs positively impact employment, while import outputs impact it negatively in the South African orange industry.
{"title":"Impact of international trade on employment in orange industry of South Africa","authors":"N. S. Molepo","doi":"10.17306/J.JARD.2021.01386","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01386","url":null,"abstract":"The purpose of the study is to analyse the long-run and short-run dynamic relations amongst total employment (lnEMPGt), export output (EXPOt) and import output (IMPOt) from 1990 to 2018, by applying a time-series analysis. The study adopts the secondary data for total employment from the Citrus Growers Association of South Africa, while both export and import output were sourced from the Global Trade Atlas. The multivariate cointegration approach is adopted in the study to identify any causal relationships amongst the concerned variables. The chosen optimum lag selection criterion was the Akaike Information Criterion (AIC) due to its association dependence on the log-likelihood ratio. The third lag was selected for the entire analysis. The results from the cointegration test and the Vector Error Correction Model (VECM) suggest a positive long-run effect between total employment and export output, while import output is negatively associated with total employment. The adjustment term of lnEMPGt, EXPOt and IMPOt suggests that the previous year’s errors are corrected for the current year at a convergence speed of 0.002, 1.11 and 25.37 percentage points, respectively. The results of the Granger causality test show that there are bidirectional causality effects between export output and total employment in the long run, while there are no causality effects between import output and total employment. The overall conclusion is that export outputs positively impact employment, while import outputs impact it negatively in the South African orange industry.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":" ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"49592695","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-04-02DOI: 10.17306/J.JARD.2021.01381
O. Alabi, A. Oladele, M. Usman
This study focuses on determinants of the agricultural loan decision-making process of rice (Oryza sativa) farmers in Abuja, Nigeria, using the Heckman two-stage model and factor analysis. This study was designed specifically to achieve the following objectives: determine the socio-economic profiles or characteristics of rice farmers, analyze the costs and returns of rice production, evaluate factors influencing rice farmers’ decision to obtain an agricultural loan, evaluate socio-economic factors influencing the amount of the agricultural loan, and determine the constraints or problems facing rice farmers. A multi-stage sampling design was employed. A total sample of one hundred (100) rice farmers was included, and primary data were utilized. Data were obtained through the use of a well-structured and well-designed questionnaire. Statistical and econometric tools used in analyzing data included descriptive statistics, gross margin analysis, financial analysis, the Heckman two-stage model, and principal component analysis. The results show that 63% of rice farmers were between the age of 31–50 years. The mean age was 41.90 years. About 65% of rice farmers were male, and 54% of them were married. Also, 93% of rice farmers had formal education and were literate. The household sizes were large, with an average of six persons per household. An average of 71,550 nairas was the loan amount granted to rice farmers by financial institutions. The average farm size amounted to 1.49 hectares. Factors influencing the decision of rice farmers to obtain agricultural loan included age (P < 0.01), marital status (P < 0.05), household size (P < 0.10), educational level (P < 0.05), farm size (P < 0.05), farm and non-farm income (P < 0.10), farm experience (P < 0.05), collateral property (P < 0.05), extension services (P < 0.10), and awareness of loan or credit facilities (P < 0.05). Rice production was profitable with a net farm income of 744,300 nairas. The gross margin ratio of 0.95 means that 95 kobos covered profits, taxes, expenses, interest, and depreciation for every naira invested in rice production activities. Socio-economic factors statistically and significantly influencing the amount of agricultural loan obtained by rice farmers included (P < 0.05) sex (P < 0.01), household size (P < 0.05) and educational level (P < 0.01). The constraints facing rice farmers in obtaining the agricultural loan and production activities included lack of collateral property, lack of fertilizer input, poor-quality feeder roads, lack of credit facilities, inadequate labor input, and complicated and costly administrative procedures to obtain a loan. It is recommended that agricultural loans be made available to rice farmers in sufficient amounts and at low-interest rates. Also, farm inputs, fertilizer inputs, improved seeds, and chemicals should be made available to rice farmers.
{"title":"DETERMINANTS OF AGRICULTURAL LOAN DECISION MAKING PROCESS FOR RICE (ORYZA SATIVA) FARMERS IN ABUJA, NIGERIA. APPLICATIONS OF HECKMAN TWO-STAGE MODEL AND FACTOR ANALYSIS","authors":"O. Alabi, A. Oladele, M. Usman","doi":"10.17306/J.JARD.2021.01381","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01381","url":null,"abstract":"This study focuses on determinants of the agricultural loan decision-making process of rice (Oryza sativa) farmers in Abuja, Nigeria, using the Heckman two-stage model and factor analysis. This study was designed specifically to achieve the following objectives: determine the socio-economic profiles or characteristics of rice farmers, analyze the costs and returns of rice production, evaluate factors influencing rice farmers’ decision to obtain an agricultural loan, evaluate socio-economic factors influencing the amount of the agricultural loan, and determine the constraints or problems facing rice farmers. A multi-stage sampling design was employed. A total sample of one hundred (100) rice farmers was included, and primary data were utilized. Data were obtained through the use of a well-structured and well-designed questionnaire. Statistical and econometric tools used in analyzing data included descriptive statistics, gross margin analysis, financial analysis, the Heckman two-stage model, and principal component analysis. The results show that 63% of rice farmers were between the age of 31–50 years. The mean age was 41.90 years. About 65% of rice farmers were male, and 54% of them were married. Also, 93% of rice farmers had formal education and were literate. The household sizes were large, with an average of six persons per household. An average of 71,550 nairas was the loan amount granted to rice farmers by financial institutions. The average farm size amounted to 1.49 hectares. Factors influencing the decision of rice farmers to obtain agricultural loan included age (P < 0.01), marital status (P < 0.05), household size (P < 0.10), educational level (P < 0.05), farm size (P < 0.05), farm and non-farm income (P < 0.10), farm experience (P < 0.05), collateral property (P < 0.05), extension services (P < 0.10), and awareness of loan or credit facilities (P < 0.05). Rice production was profitable with a net farm income of 744,300 nairas. The gross margin ratio of 0.95 means that 95 kobos covered profits, taxes, expenses, interest, and depreciation for every naira invested in rice production activities. Socio-economic factors statistically and significantly influencing the amount of agricultural loan obtained by rice farmers included (P < 0.05) sex (P < 0.01), household size (P < 0.05) and educational level (P < 0.01). The constraints facing rice farmers in obtaining the agricultural loan and production activities included lack of collateral property, lack of fertilizer input, poor-quality feeder roads, lack of credit facilities, inadequate labor input, and complicated and costly administrative procedures to obtain a loan. It is recommended that agricultural loans be made available to rice farmers in sufficient amounts and at low-interest rates. Also, farm inputs, fertilizer inputs, improved seeds, and chemicals should be made available to rice farmers.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":"59 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-04-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41379762","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-04-02DOI: 10.17306/J.JARD.2021.01390
O. O. Olugbire, S. Olorunfemi, Olarewaju Titilope
Prior to the year 1970, agriculture was the main source of livelihood and backbone of the Nigerian economy until the discovery of oil drastically decelerated its potential to sustainably maintain food security and generate significant export earnings. Despite its sudden fall in productivity, agriculture still remains the main sector providing the highest employment (70% of the population) for the populace. To tackle these problems, many policies were formulated (from 1960 to 2015) to resuscitate the sector but to no availdue to failure in tailoring suitable policies to engage small-scale farmers and address other socio-economic problems. This paper constitutes an in-depth review of agricultural production and food security in Nigeria with relative importance attributed to local food supply and small-scale farmers. The article analyzes several documents of the Nigerian Government and international organizations, such as the Food and Agricultural Organization, the National Bureau of Statistics (NBS), Department of Agriculture and Rural Development and a number of peer-reviewed journals across various disciplines to provide a balanced interdisciplinary review. The paper concludes that food insecurity is at its peak in Nigeria and urgent attention is required in the agricultural sector to compensate for the unstable food balance in the country. There is a need for the Government to take strong measures against the food deficit situation and to support the development of the primary agriculture sector. The paper proposes viable policies that could involve smallholders, aid transformation and positively restructure the agricultural sector.
{"title":"CONTRIBUTION OF SMALL-SCALE FARMING AND LOCAL FOOD SUPPLY TO SUSTAINABLE PRODUCTION AND FOOD SECURITY IN NIGERIA – A REVIEW","authors":"O. O. Olugbire, S. Olorunfemi, Olarewaju Titilope","doi":"10.17306/J.JARD.2021.01390","DOIUrl":"https://doi.org/10.17306/J.JARD.2021.01390","url":null,"abstract":"Prior to the year 1970, agriculture was the main source of livelihood and backbone of the Nigerian economy until the discovery of oil drastically decelerated its potential to sustainably maintain food security and generate significant export earnings. Despite its sudden fall in productivity, agriculture still remains the main sector providing the highest employment (70% of the population) for the populace. To tackle these problems, many policies were formulated (from 1960 to 2015) to resuscitate the sector but to no availdue to failure in tailoring suitable policies to engage small-scale farmers and address other socio-economic problems. This paper constitutes an in-depth review of agricultural production and food security in Nigeria with relative importance attributed to local food supply and small-scale farmers. The article analyzes several documents of the Nigerian Government and international organizations, such as the Food and Agricultural Organization, the National Bureau of Statistics (NBS), Department of Agriculture and Rural Development and a number of peer-reviewed journals across various disciplines to provide a balanced interdisciplinary review. The paper concludes that food insecurity is at its peak in Nigeria and urgent attention is required in the agricultural sector to compensate for the unstable food balance in the country. There is a need for the Government to take strong measures against the food deficit situation and to support the development of the primary agriculture sector. The paper proposes viable policies that could involve smallholders, aid transformation and positively restructure the agricultural sector.","PeriodicalId":30385,"journal":{"name":"Journal of Agribusiness and Rural Development","volume":" ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2021-04-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45122854","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
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