Welfare impacts of smallholder farmers’ participation in multiple output markets: empirical evidence from Tanzania

A relatively large body of literature has documented the welfare effects of smallholder farmers’ participation in single-commodity output markets. However, limited empirical evidence is available when smallholder farmers participate in multiple-commodities output markets. We tried to fill this gap i...

Descripción completa

Detalles Bibliográficos
Autores principales: Manda, J., Azzarri, Carlo, Feleke, S., Kotu, Bekele Hundie, Claessens, Lieven, Bekunda, Mateete A.
Formato: Journal Article
Lenguaje:Inglés
Publicado: Public Library of Science 2021
Materias:
Acceso en línea:https://hdl.handle.net/10568/113990
_version_ 1855531043930505216
author Manda, J.
Azzarri, Carlo
Feleke, S.
Kotu, Bekele Hundie
Claessens, Lieven
Bekunda, Mateete A.
author_browse Azzarri, Carlo
Bekunda, Mateete A.
Claessens, Lieven
Feleke, S.
Kotu, Bekele Hundie
Manda, J.
author_facet Manda, J.
Azzarri, Carlo
Feleke, S.
Kotu, Bekele Hundie
Claessens, Lieven
Bekunda, Mateete A.
author_sort Manda, J.
collection Repository of Agricultural Research Outputs (CGSpace)
description A relatively large body of literature has documented the welfare effects of smallholder farmers’ participation in single-commodity output markets. However, limited empirical evidence is available when smallholder farmers participate in multiple-commodities output markets. We tried to fill this gap in the literature by estimating the impacts of smallholder farmers’ contemporaneous participation in both maize and legume markets vis-à-vis in only maize or legume markets using household-level data from Tanzania. Applying a multinomial endogenous switching regression model that allows controlling for observed and unobserved heterogeneity associated with market participation in single-commodity and multiple-commodity markets, results showed that smallholder farmers’ participation in both single–and multiple–commodity markets was positively and significantly associated with household income and food security. Moreover, the greatest benefits were obtained when farmers participated in multiple-commodity markets, suggesting the importance of policies promoting diversification in crop income sources to increase welfare and food security. Our findings also signal the complementary–rather than substitute–nature of accessing multiple-commodity markets for enhancing household livelihoods under a specialization strategy. Finally, important policy implications are suggested, from promoting and supporting public infrastructure investments to expanding road networks to reduce transportation costs, especially in remote communities, to enhance smallholder farmer access to profitable maize and legume markets in Tanzania.
format Journal Article
id CGSpace113990
institution CGIAR Consortium
language Inglés
publishDate 2021
publishDateRange 2021
publishDateSort 2021
publisher Public Library of Science
publisherStr Public Library of Science
record_format dspace
spelling CGSpace1139902025-11-12T06:50:34Z Welfare impacts of smallholder farmers’ participation in multiple output markets: empirical evidence from Tanzania Manda, J. Azzarri, Carlo Feleke, S. Kotu, Bekele Hundie Claessens, Lieven Bekunda, Mateete A. tanzania legumes farmers households welfare maize household income smallholders markets food security subsaharan africa pigeon peas A relatively large body of literature has documented the welfare effects of smallholder farmers’ participation in single-commodity output markets. However, limited empirical evidence is available when smallholder farmers participate in multiple-commodities output markets. We tried to fill this gap in the literature by estimating the impacts of smallholder farmers’ contemporaneous participation in both maize and legume markets vis-à-vis in only maize or legume markets using household-level data from Tanzania. Applying a multinomial endogenous switching regression model that allows controlling for observed and unobserved heterogeneity associated with market participation in single-commodity and multiple-commodity markets, results showed that smallholder farmers’ participation in both single–and multiple–commodity markets was positively and significantly associated with household income and food security. Moreover, the greatest benefits were obtained when farmers participated in multiple-commodity markets, suggesting the importance of policies promoting diversification in crop income sources to increase welfare and food security. Our findings also signal the complementary–rather than substitute–nature of accessing multiple-commodity markets for enhancing household livelihoods under a specialization strategy. Finally, important policy implications are suggested, from promoting and supporting public infrastructure investments to expanding road networks to reduce transportation costs, especially in remote communities, to enhance smallholder farmer access to profitable maize and legume markets in Tanzania. 2021-05-06 2021-06-17T11:33:59Z 2021-06-17T11:33:59Z Journal Article https://hdl.handle.net/10568/113990 en Open Access application/pdf Public Library of Science Manda, J., Azzarri, C., Feleke, S., Kotu, B., Claessens, L. & Bekunda, M. (2021). Welfare impacts of smallholder farmers’ participation in multiple output markets: empirical evidence from Tanzania. Plos one, 16(5), e0250848: 1-20.
spellingShingle tanzania
legumes
farmers
households
welfare
maize
household income
smallholders
markets
food security
subsaharan africa
pigeon peas
Manda, J.
Azzarri, Carlo
Feleke, S.
Kotu, Bekele Hundie
Claessens, Lieven
Bekunda, Mateete A.
Welfare impacts of smallholder farmers’ participation in multiple output markets: empirical evidence from Tanzania
title Welfare impacts of smallholder farmers’ participation in multiple output markets: empirical evidence from Tanzania
title_full Welfare impacts of smallholder farmers’ participation in multiple output markets: empirical evidence from Tanzania
title_fullStr Welfare impacts of smallholder farmers’ participation in multiple output markets: empirical evidence from Tanzania
title_full_unstemmed Welfare impacts of smallholder farmers’ participation in multiple output markets: empirical evidence from Tanzania
title_short Welfare impacts of smallholder farmers’ participation in multiple output markets: empirical evidence from Tanzania
title_sort welfare impacts of smallholder farmers participation in multiple output markets empirical evidence from tanzania
topic tanzania
legumes
farmers
households
welfare
maize
household income
smallholders
markets
food security
subsaharan africa
pigeon peas
url https://hdl.handle.net/10568/113990
work_keys_str_mv AT mandaj welfareimpactsofsmallholderfarmersparticipationinmultipleoutputmarketsempiricalevidencefromtanzania
AT azzarricarlo welfareimpactsofsmallholderfarmersparticipationinmultipleoutputmarketsempiricalevidencefromtanzania
AT felekes welfareimpactsofsmallholderfarmersparticipationinmultipleoutputmarketsempiricalevidencefromtanzania
AT kotubekelehundie welfareimpactsofsmallholderfarmersparticipationinmultipleoutputmarketsempiricalevidencefromtanzania
AT claessenslieven welfareimpactsofsmallholderfarmersparticipationinmultipleoutputmarketsempiricalevidencefromtanzania
AT bekundamateetea welfareimpactsofsmallholderfarmersparticipationinmultipleoutputmarketsempiricalevidencefromtanzania