Do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting? Evidence from Uganda

Adoption of productivity- and income-enhancing agricultural technologies is conspicuously low in Africa south of the Sahara. Farmers’ beliefs regarding the authenticity of agricultural inputs are important for explaining technology adoption: if farmers do not believe that inputs are genuine, they ar...

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Autores principales: Ashour, Maha, Billings, Lucy, Gilligan, Daniel O., Hoel, Jessica B., Karachiwalla, Naureen
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2016
Materias:
Acceso en línea:https://hdl.handle.net/10568/147466
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author Ashour, Maha
Billings, Lucy
Gilligan, Daniel O.
Hoel, Jessica B.
Karachiwalla, Naureen
author_browse Ashour, Maha
Billings, Lucy
Gilligan, Daniel O.
Hoel, Jessica B.
Karachiwalla, Naureen
author_facet Ashour, Maha
Billings, Lucy
Gilligan, Daniel O.
Hoel, Jessica B.
Karachiwalla, Naureen
author_sort Ashour, Maha
collection Repository of Agricultural Research Outputs (CGSpace)
description Adoption of productivity- and income-enhancing agricultural technologies is conspicuously low in Africa south of the Sahara. Farmers’ beliefs regarding the authenticity of agricultural inputs are important for explaining technology adoption: if farmers do not believe that inputs are genuine, they are unlikely to invest in them. The degree of alignment between beliefs about and actual counterfeiting can help explain both the social costs of the “lemons” problem, and low rates of adoption. This is the first paper to explore whether farmer beliefs regarding counterfeiting align with actual rates of counterfeiting, and we do so across a very large geographic area serving tens of thousands of farmers in Uganda using a more precise measure of counterfeiting than many previous studies. We examine the relationship between beliefs and counterfeiting using quantitative measures of farmer beliefs regarding the authenticity of herbicide in their local market as well as a large random sample of laboratory-tested herbicide samples to measure counterfeiting rates in local markets. We report evidence of considerable counterfeiting of herbicides in local markets, with nearly one in three bottles containing less than 75 percent of the labeled concentration of active ingredient. We find evidence that farmers’ beliefs regarding the extent of counterfeiting of herbicide are significantly associated with measures of the actual prevalence of counterfeiting in local markets. These results indicate that farmers are at least partly informed about the “market for lemons” problem in local input markets. However, the results also suggest that although better informed farmers imply a lower social cost of counterfeiting, the high rate of counterfeiting and the relative accuracy of farmer information contributes to low adoption of agricultural inputs in Africa.
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spelling CGSpace1474662025-11-06T07:23:46Z Do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting? Evidence from Uganda Ashour, Maha Billings, Lucy Gilligan, Daniel O. Hoel, Jessica B. Karachiwalla, Naureen technology adoption seeds maize markets fraud social costs Adoption of productivity- and income-enhancing agricultural technologies is conspicuously low in Africa south of the Sahara. Farmers’ beliefs regarding the authenticity of agricultural inputs are important for explaining technology adoption: if farmers do not believe that inputs are genuine, they are unlikely to invest in them. The degree of alignment between beliefs about and actual counterfeiting can help explain both the social costs of the “lemons” problem, and low rates of adoption. This is the first paper to explore whether farmer beliefs regarding counterfeiting align with actual rates of counterfeiting, and we do so across a very large geographic area serving tens of thousands of farmers in Uganda using a more precise measure of counterfeiting than many previous studies. We examine the relationship between beliefs and counterfeiting using quantitative measures of farmer beliefs regarding the authenticity of herbicide in their local market as well as a large random sample of laboratory-tested herbicide samples to measure counterfeiting rates in local markets. We report evidence of considerable counterfeiting of herbicides in local markets, with nearly one in three bottles containing less than 75 percent of the labeled concentration of active ingredient. We find evidence that farmers’ beliefs regarding the extent of counterfeiting of herbicide are significantly associated with measures of the actual prevalence of counterfeiting in local markets. These results indicate that farmers are at least partly informed about the “market for lemons” problem in local input markets. However, the results also suggest that although better informed farmers imply a lower social cost of counterfeiting, the high rate of counterfeiting and the relative accuracy of farmer information contributes to low adoption of agricultural inputs in Africa. 2016-08-26 2024-06-21T09:22:55Z 2024-06-21T09:22:55Z Working Paper https://hdl.handle.net/10568/147466 en Open Access application/pdf International Food Policy Research Institute Ashour, Maha; Billings, Lucy; Gilligan, Daniel; Hoel, Jessica B.; and Karachiwalla, Naureen; 2016. Do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting? Evidence from Uganda. IFPRI Discussion Paper 1552. Washington, DC: International Food Policy Research Institute (IFPRI). https://hdl.handle.net/10568/147466
spellingShingle technology adoption
seeds
maize
markets
fraud
social costs
Ashour, Maha
Billings, Lucy
Gilligan, Daniel O.
Hoel, Jessica B.
Karachiwalla, Naureen
Do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting? Evidence from Uganda
title Do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting? Evidence from Uganda
title_full Do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting? Evidence from Uganda
title_fullStr Do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting? Evidence from Uganda
title_full_unstemmed Do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting? Evidence from Uganda
title_short Do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting? Evidence from Uganda
title_sort do beliefs about agricultural inputs counterfeiting correspond with actual rates of counterfeiting evidence from uganda
topic technology adoption
seeds
maize
markets
fraud
social costs
url https://hdl.handle.net/10568/147466
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