Financial profitability of diversified farming systems: A global meta-analysis

Diversified farming systems are promoted as a pathway to more sustainable agricultural production. Yet wide scale adoption may be slow because of uncertainty about the viability of farmer livelihoods on diversified farms and entrenched perceptions that monocultures are key to making farming profitab...

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Autores principales: Sánchez, Andrea C., Kamau, Hannah N., Grazioli, Francesca, Jones , Sarah K.
Formato: Journal Article
Lenguaje:Inglés
Publicado: Elsevier 2022
Materias:
Acceso en línea:https://hdl.handle.net/10568/121946
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author Sánchez, Andrea C.
Kamau, Hannah N.
Grazioli, Francesca
Jones , Sarah K.
author_browse Grazioli, Francesca
Jones , Sarah K.
Kamau, Hannah N.
Sánchez, Andrea C.
author_facet Sánchez, Andrea C.
Kamau, Hannah N.
Grazioli, Francesca
Jones , Sarah K.
author_sort Sánchez, Andrea C.
collection Repository of Agricultural Research Outputs (CGSpace)
description Diversified farming systems are promoted as a pathway to more sustainable agricultural production. Yet wide scale adoption may be slow because of uncertainty about the viability of farmer livelihoods on diversified farms and entrenched perceptions that monocultures are key to making farming profitable. Here, a global meta-analysis of 3192 effect sizes from 119 peer-reviewed articles provides evidence that diversified farming systems are at least as profitable as simplified farming systems. Our study showed that, on average, total costs, gross income and profits (net income, or gross margin) were higher in diversified systems relative to simplified ones, while the benefit-cost ratio was equivalent. These results held in developed and developing countries and across geographic regions. From a subset of 43 articles reporting labour inputs, we found that labour costs increased in diversified farming systems, but so did gross incomes leading to farm profits equivalent to those in simplified systems and dispelling myths that higher labour requirements undermine the viability of diversification. Our global meta-analysis provides compelling evidence that diversified farming systems are not only viable but actually economically preferable to simplified systems in the wide range of contexts represented in this study. Policies, markets, investments, and value chains need to align with this evidence and promote diversified farming systems for the benefit of farmers and rural economies.
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spelling CGSpace1219462025-11-11T17:41:36Z Financial profitability of diversified farming systems: A global meta-analysis Sánchez, Andrea C. Kamau, Hannah N. Grazioli, Francesca Jones , Sarah K. agroecology farming systems economic analysis returns sustainable agriculture agroecología sistemas de explotación análisis económico Diversified farming systems are promoted as a pathway to more sustainable agricultural production. Yet wide scale adoption may be slow because of uncertainty about the viability of farmer livelihoods on diversified farms and entrenched perceptions that monocultures are key to making farming profitable. Here, a global meta-analysis of 3192 effect sizes from 119 peer-reviewed articles provides evidence that diversified farming systems are at least as profitable as simplified farming systems. Our study showed that, on average, total costs, gross income and profits (net income, or gross margin) were higher in diversified systems relative to simplified ones, while the benefit-cost ratio was equivalent. These results held in developed and developing countries and across geographic regions. From a subset of 43 articles reporting labour inputs, we found that labour costs increased in diversified farming systems, but so did gross incomes leading to farm profits equivalent to those in simplified systems and dispelling myths that higher labour requirements undermine the viability of diversification. Our global meta-analysis provides compelling evidence that diversified farming systems are not only viable but actually economically preferable to simplified systems in the wide range of contexts represented in this study. Policies, markets, investments, and value chains need to align with this evidence and promote diversified farming systems for the benefit of farmers and rural economies. 2022-11 2022-09-27T09:50:35Z 2022-09-27T09:50:35Z Journal Article https://hdl.handle.net/10568/121946 en Open Access application/pdf Elsevier Sanchez, A.C.; Kamau, H.N.; Grazioli, F.; Jones , S.K. (2022) Financial profitability of diversified farming systems: A global meta-analysis. Ecological Economics 201: 107595 12 p. ISSN: 0921-8009
spellingShingle agroecology
farming systems
economic analysis
returns
sustainable agriculture
agroecología
sistemas de explotación
análisis económico
Sánchez, Andrea C.
Kamau, Hannah N.
Grazioli, Francesca
Jones , Sarah K.
Financial profitability of diversified farming systems: A global meta-analysis
title Financial profitability of diversified farming systems: A global meta-analysis
title_full Financial profitability of diversified farming systems: A global meta-analysis
title_fullStr Financial profitability of diversified farming systems: A global meta-analysis
title_full_unstemmed Financial profitability of diversified farming systems: A global meta-analysis
title_short Financial profitability of diversified farming systems: A global meta-analysis
title_sort financial profitability of diversified farming systems a global meta analysis
topic agroecology
farming systems
economic analysis
returns
sustainable agriculture
agroecología
sistemas de explotación
análisis económico
url https://hdl.handle.net/10568/121946
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