Tag: adoption

This paper intends to determine the factors influencing the adoption of Management Information Systems (MIS) as well as the effects such systems have had on the technical efficiency of agribusiness firms in Cameron. 183 MIS users and 300 non-users were sampled through a multistage sampling procedure. An Ordered Logit model was employed to show that the user’s level of satisfaction, the purchase price of equipment and technological performance all have a positive effect on MIS adoption. Conversely, fear of change in firm management, access to government regulations, and complexity of MIS equipment discourage the adoption of MIS. The Cobb-Douglas stochastic production function meanwhile revealed that ICT expense, firm size and number of customers were positively significant for the revenue of MIS users. For MIS non-users, ICT expense, firm size and quantity purchased also had a positive significance for revenue. However, the average technical efficiencies were 0.96 and 0.55 for MIS users and non-users, respectively, meaning that MIS users were far more technically efficient than MIS nonusers. Also, the Tobit regression model on MIS users revealed that MIS improved the technical efficiency of agribusiness firms adopting them. This study therefore recommends that agribusiness firms in Cameroon invest in MIS; moreover, they ...

Micro-insurance can be an effective approach to smoothening income in adverse times and potentially a way to contribute to the financial inclusion of vulnerable populations. However, direct sales to individual smallholders remains a challenging task without an easily scalable solution. The current research seeks to find the determinants of adoption of a stand-alone coffee index-based insurance product in Uganda marketed by a farmer cooperative, and elicited preferences for improving the design and delivery model. A stratified household survey was conducted among 614 farmers, of which 40% adopted insurance and 62% were member of a farmer cooperative. In odds ratio terms, adopters perceived themselves to be 3.09 times more likely to receive a pay-out than non-adopters (P<0.01), and those having better access to extension services were 2.47 times more likely to adopt a policy (P<0.01). Yet farmers perceiving the design as complex were approximately half as likely to adopt (P<0.05). Farmers preferred the option of premium payments proceeds on delivery, mobile premium payments and delivering insurance through cooperatives/associations. Deepening insurance uptake among coffee farmers will therefore require a strong focus on communication and information sharing facilitated by cooperatives/associations (e.g. farmer cooperates, village and saving associations, or women’s associations).

Linking insurance with credit is a promising approach towards overcoming the main difficulties of scaling up crop insurance in Africa. The current research revealed that credit-linked crop insurance adopters in Mali were on average larger households than non-adopters, were living more often from subsistence agriculture, were less patient and less likely to produce maize, while operating on smaller farms. However, propensity score matching revealed that changes in terms of production decisions or wellbeing were limited compared to credit-users. To achieve scaling, linking crop insurance with credit should not only be beneficial for banks to limit their exposure (on a mandatory basis), but should become beneficial as well for smallholders (in terms of better access to credit, lower interest rates or less required collateral).

In Africa, there have been successes in cassava research in terms of the development of production technologies, particularly improved varieties with high yield potential. The study addresses the question of whether and to what extent adoption of improved cassava varieties has led to rural poverty reduction in four African countries, namely Tanzania, Democratic Republic of Congo, Sierra Leone and Zambia. Data for the study come from a household survey conducted in the above-mentioned countries through a multinational-CGIAR support to agricultural research for development of strategic crops (SARD-SC) project in Africa. Given the observational nature of the data, a parametric approach (endogenous switching regression model) is applied. The results indicate that the model detects selectivity bias. Accounting for the bias, we find that adoption of cassava technology has resulted in an approximately 10 percentage point reduction in the poverty rate. Given an adoption rate of 34 per cent and a 10 percentage point reduction in the poverty rate, an estimated 24,309 households (equivalent to 194,469 individuals) have managed to move out of poverty in these four countries as a result of adoption of the technology. We also find that adoption of the technology has benefitted non-poor and female-headed households, relative to ...

The improvement of agricultural productivity using technology is an important avenue for increasing output, reducing poverty and tackling land degradation. However, there is disagreement about which type of technology is most appropriate for smallholders. While some promote the need for natural resource management practices and low external input, others advocate the need for input intensifi cation. This study has examined the nature of the relationship that exists between the two broad categories by using fertiliser and certifi ed seed as input-intensive technologies and manure and soil conservation as natural resource management practices. Alongside this, the paper has also identifi ed the factors that facilitate and impede the probability of those technologies being adopted.