Choice of Contract Farming Strategies, Productivity, and Profits: Evidence from High-Value Crop Production

IF 1.2 4区经济学 Q3 AGRICULTURAL ECONOMICS & POLICY

Journal of Agricultural and Resource Economics Pub Date : 2020-01-01 DOI:10.22004/AG.ECON.303604

A. Khanal, A. Mishra, Joaquín Mayorga, S. Hirsch

{"title":"Choice of Contract Farming Strategies, Productivity, and Profits: Evidence from High-Value Crop Production","authors":"A. Khanal, A. Mishra, Joaquín Mayorga, S. Hirsch","doi":"10.22004/AG.ECON.303604","DOIUrl":null,"url":null,"abstract":"Contracting firms attach conditions to producer contracts. These conditions can be attached to inputs, output, or both inputs and outputs. This study examines the impact of the choice of contract farming (CF) conditions on the productivity and profitability of ginger growers. Using farm-level data from Nepal collected in 2015 from 611 sampled farmers and the selectivity-corrected multinomial endogenous switching regression (MESR) method, the study found that ginger growers increased yield by 16%, 19%, and 15% by participating in CF with input conditions (IC), with output conditions (OC), and with input and output conditions (BC), respectively. Additionally, ginger growers increased profits by 46%, 63%, and 40% by participating in CF with IC, OC, and BC, respectively. The study found that the price difference in spot and contract markets, distance to market and transportation facilities, and farm location are important factors affecting participation in any form of CF (IC, OC, and BC). Finally, smallholders should be encouraged to adopt CF with OC.","PeriodicalId":54890,"journal":{"name":"Journal of Agricultural and Resource Economics","volume":"40 1","pages":""},"PeriodicalIF":1.2000,"publicationDate":"2020-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"7","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Journal of Agricultural and Resource Economics","FirstCategoryId":"96","ListUrlMain":"https://doi.org/10.22004/AG.ECON.303604","RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q3","JCRName":"AGRICULTURAL ECONOMICS & POLICY","Score":null,"Total":0}

引用次数: 7

Abstract

Contracting firms attach conditions to producer contracts. These conditions can be attached to inputs, output, or both inputs and outputs. This study examines the impact of the choice of contract farming (CF) conditions on the productivity and profitability of ginger growers. Using farm-level data from Nepal collected in 2015 from 611 sampled farmers and the selectivity-corrected multinomial endogenous switching regression (MESR) method, the study found that ginger growers increased yield by 16%, 19%, and 15% by participating in CF with input conditions (IC), with output conditions (OC), and with input and output conditions (BC), respectively. Additionally, ginger growers increased profits by 46%, 63%, and 40% by participating in CF with IC, OC, and BC, respectively. The study found that the price difference in spot and contract markets, distance to market and transportation facilities, and farm location are important factors affecting participation in any form of CF (IC, OC, and BC). Finally, smallholders should be encouraged to adopt CF with OC.

查看原文本刊更多论文

契约农业策略的选择、生产力和利润:来自高价值作物生产的证据

承包公司在生产合同中附加条件。这些条件可以附加到输入、输出，或者输入和输出都附加。本研究考察了选择合同耕作(CF)条件对生姜种植者的生产力和盈利能力的影响。利用2015年尼泊尔611名抽样农民的农场数据和选择性校正的多项内生转换回归(MESR)方法，该研究发现，生姜种植者通过参与有投入条件(IC)、有产出条件(OC)和有投入产出条件(BC)的CF，产量分别提高了16%、19%和15%。此外，生姜种植者通过与IC、OC和BC参与CF，分别增加了46%、63%和40%的利润。研究发现，现货市场和合同市场的价格差异、到市场的距离和交通设施以及农场位置是影响参与任何形式的CF (IC、OC和BC)的重要因素。最后，应鼓励小农采用CF和OC。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

求助全文

约1分钟内获得全文求助全文

来源期刊

Journal of Agricultural and Resource Economics 社会科学-农业经济与政策

CiteScore

2.30

自引率

7.10%

发文量

审稿时长

>36 weeks

期刊介绍： The mission of the Journal of Agricultural and Resource Economics is to publish creative and scholarly economic studies in agriculture, natural resources, and related areas. Manuscripts dealing with the economics of food and agriculture, natural resources and the environment, human resources, and rural development issues are especially encouraged. The Journal provides a forum for topics of interest to those performing economic research as well as to those involved with economic policy and education. Submission of comments on articles previously published in the Journal is welcomed.