Strengthening producer organizations to increase market access of smallholder farmers in Uganda

Smallholder agriculture in Sub-Saharan Africa is largely exposed to pervasive market failures, translating into missed opportunities and sub-optimal economic behavior. These failures can partly be traced to the importance of economies of scale in procuring inputs and marketing produce, where smallho...

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Detalles Bibliográficos
Autores principales: Hill, Ruth Vargas, Maruyama, Eduardo, Olapade, Markus, Frölich, Markus
Formato: Journal Article
Lenguaje:Inglés
Publicado: Cambridge University Press 2021
Materias:
Acceso en línea:https://hdl.handle.net/10568/142271
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author Hill, Ruth Vargas
Maruyama, Eduardo
Olapade, Markus
Frölich, Markus
author_browse Frölich, Markus
Hill, Ruth Vargas
Maruyama, Eduardo
Olapade, Markus
author_facet Hill, Ruth Vargas
Maruyama, Eduardo
Olapade, Markus
Frölich, Markus
author_sort Hill, Ruth Vargas
collection Repository of Agricultural Research Outputs (CGSpace)
description Smallholder agriculture in Sub-Saharan Africa is largely exposed to pervasive market failures, translating into missed opportunities and sub-optimal economic behavior. These failures can partly be traced to the importance of economies of scale in procuring inputs and marketing produce, where smallholders face disproportionately high transaction costs. Producer organizations could help to lessen transaction costs; however, only a few farmers in Uganda sell through them. We introduce two interventions aimed at promoting marketing via producer organizations: cash on delivery, and information on sales, and analyze their impacts in an RCT design: We find that providing cash on delivery increases the probability that a member chooses to sell through the group, and hence the volumes bulked by each group. This increase in volumes appears to have enabled groups to secure higher prices for their produce. No significant effect could be found for providing information on sales.
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language Inglés
publishDate 2021
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spelling CGSpace1422712025-12-08T10:11:39Z Strengthening producer organizations to increase market access of smallholder farmers in Uganda Hill, Ruth Vargas Maruyama, Eduardo Olapade, Markus Frölich, Markus constraints agriculture smallholders market access producer organizations information cash flow Smallholder agriculture in Sub-Saharan Africa is largely exposed to pervasive market failures, translating into missed opportunities and sub-optimal economic behavior. These failures can partly be traced to the importance of economies of scale in procuring inputs and marketing produce, where smallholders face disproportionately high transaction costs. Producer organizations could help to lessen transaction costs; however, only a few farmers in Uganda sell through them. We introduce two interventions aimed at promoting marketing via producer organizations: cash on delivery, and information on sales, and analyze their impacts in an RCT design: We find that providing cash on delivery increases the probability that a member chooses to sell through the group, and hence the volumes bulked by each group. This increase in volumes appears to have enabled groups to secure higher prices for their produce. No significant effect could be found for providing information on sales. 2021-12-30 2024-05-22T12:10:15Z 2024-05-22T12:10:15Z Journal Article https://hdl.handle.net/10568/142271 en Open Access Cambridge University Press Hill, Ruth Vargas; Maruyama, Eduardo; Olapade, Markus; and Frölich, Markus. 2021. Strengthening producer organizations to increase market access of smallholder farmers in Uganda. Agricultural and Resource Economics Review 50(3): 436-464. https://doi.org/10.1017/age.2021.19
spellingShingle constraints
agriculture
smallholders
market access
producer organizations
information
cash flow
Hill, Ruth Vargas
Maruyama, Eduardo
Olapade, Markus
Frölich, Markus
Strengthening producer organizations to increase market access of smallholder farmers in Uganda
title Strengthening producer organizations to increase market access of smallholder farmers in Uganda
title_full Strengthening producer organizations to increase market access of smallholder farmers in Uganda
title_fullStr Strengthening producer organizations to increase market access of smallholder farmers in Uganda
title_full_unstemmed Strengthening producer organizations to increase market access of smallholder farmers in Uganda
title_short Strengthening producer organizations to increase market access of smallholder farmers in Uganda
title_sort strengthening producer organizations to increase market access of smallholder farmers in uganda
topic constraints
agriculture
smallholders
market access
producer organizations
information
cash flow
url https://hdl.handle.net/10568/142271
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