Impacts of agricultural value chain development in a mountainous region: evidence from Nepal

This analysis investigates the potential mechanism and the practical significance of the impacts of agricultural value chain development in a geographically challenging rural area of a developing country. We use data from a carefully designed primary survey administered in the hill and mountainous r...

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Main Authors: Kafle, Kashi, Songsermsawas, T., Winters, P.
Format: Informe técnico
Language:Inglés
Published: International Fund for Agricultural Development 2021
Subjects:
Online Access:https://hdl.handle.net/10568/113701
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author Kafle, Kashi
Songsermsawas, T.
Winters, P.
author_browse Kafle, Kashi
Songsermsawas, T.
Winters, P.
author_facet Kafle, Kashi
Songsermsawas, T.
Winters, P.
author_sort Kafle, Kashi
collection Repository of Agricultural Research Outputs (CGSpace)
description This analysis investigates the potential mechanism and the practical significance of the impacts of agricultural value chain development in a geographically challenging rural area of a developing country. We use data from a carefully designed primary survey administered in the hill and mountainous region in Western Nepal. Using the inverse probability weighted regression adjustment method, we show that linking small-scale producers with regional and local traders can help increase agricultural income. We unpack the potential mechanism of the impact pathway and show that the increase in agricultural income is a consequence of higher agricultural revenues, owing to a higher volume of sales at lower prices. We argue that value chain intervention in rural areas, where land is not fully exploited, can lead to acreage expansion or crop switching, which eventually results in higher supply at lower output prices. The positive impact on household income is practically significant in that it translated into improved food security, dietary diversity and household resilience. These findings are robust to various specifications. Targeted value chain interventions that strengthen and stabilize small-scale producers’ access to markets can contribute to rural poverty reduction via an increase in agricultural income.
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spelling CGSpace1137012024-01-08T18:54:14Z Impacts of agricultural value chain development in a mountainous region: evidence from Nepal Kafle, Kashi Songsermsawas, T. Winters, P. agricultural value chains farm income small scale systems smallholders market access household income food security dietary diversity resilience rural poverty commodities agricultural prices price indices food insecurity livestock highlands villages minority groups women econometric models This analysis investigates the potential mechanism and the practical significance of the impacts of agricultural value chain development in a geographically challenging rural area of a developing country. We use data from a carefully designed primary survey administered in the hill and mountainous region in Western Nepal. Using the inverse probability weighted regression adjustment method, we show that linking small-scale producers with regional and local traders can help increase agricultural income. We unpack the potential mechanism of the impact pathway and show that the increase in agricultural income is a consequence of higher agricultural revenues, owing to a higher volume of sales at lower prices. We argue that value chain intervention in rural areas, where land is not fully exploited, can lead to acreage expansion or crop switching, which eventually results in higher supply at lower output prices. The positive impact on household income is practically significant in that it translated into improved food security, dietary diversity and household resilience. These findings are robust to various specifications. Targeted value chain interventions that strengthen and stabilize small-scale producers’ access to markets can contribute to rural poverty reduction via an increase in agricultural income. 2021-05-01 2021-05-12T10:14:51Z 2021-05-12T10:14:51Z Report https://hdl.handle.net/10568/113701 en Open Access International Fund for Agricultural Development Kafle, Kashi; Songsermsawas, T.; Winters, P. 2021. Impacts of agricultural value chain development in a mountainous region: evidence from Nepal. Rome, Italy: International Fund for Agricultural Development (IFAD). 33p. (IFAD Research Series 65)
spellingShingle agricultural value chains
farm income
small scale systems
smallholders
market access
household income
food security
dietary diversity
resilience
rural poverty
commodities
agricultural prices
price indices
food insecurity
livestock
highlands
villages
minority groups
women
econometric models
Kafle, Kashi
Songsermsawas, T.
Winters, P.
Impacts of agricultural value chain development in a mountainous region: evidence from Nepal
title Impacts of agricultural value chain development in a mountainous region: evidence from Nepal
title_full Impacts of agricultural value chain development in a mountainous region: evidence from Nepal
title_fullStr Impacts of agricultural value chain development in a mountainous region: evidence from Nepal
title_full_unstemmed Impacts of agricultural value chain development in a mountainous region: evidence from Nepal
title_short Impacts of agricultural value chain development in a mountainous region: evidence from Nepal
title_sort impacts of agricultural value chain development in a mountainous region evidence from nepal
topic agricultural value chains
farm income
small scale systems
smallholders
market access
household income
food security
dietary diversity
resilience
rural poverty
commodities
agricultural prices
price indices
food insecurity
livestock
highlands
villages
minority groups
women
econometric models
url https://hdl.handle.net/10568/113701
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AT songsermsawast impactsofagriculturalvaluechaindevelopmentinamountainousregionevidencefromnepal
AT wintersp impactsofagriculturalvaluechaindevelopmentinamountainousregionevidencefromnepal