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A Generic Way of Determining Cost of Production of a Crop Using Dynamics Weights: A Case Study in Pakistan
Abdul Qayyum,
Wasif Khurshid,
Muddasar Jamil Shera
Issue:
Volume 5, Issue 5, September 2020
Pages:
150-155
Received:
26 July 2020
Accepted:
13 August 2020
Published:
25 August 2020
Abstract: To determine cost of production (CoP) of a crop is a persistent distress for the Government of Punjab (Pakistan) in the given conditions of rural and political dynamics. For the purpose, Crop Reporting Service (CRS), Agriculture Department Punjab has been evolving, using and analyzing sample data based on Area Frame Sampling (AFS) technique for conducting surveys to gather information regarding crop acreage, CoP, grain yield / production and other agricultural items. Timely decision on CoP of a crop by the government before the arrival of a crop is, obviously, very important for the announcement of support price for the crop and also for the evaluation of cost and benefit analysis of agriculture sector. Using AFS technique, based on two-stage sampling design, 5500 segments of 150 acre each have been selected covering almost 2600 Union Councils (UCs) of the Punjab for the study. From each randomly selected segment, two farmers were randomly selected. Through a detailed questionnaire, covering almost 75 variables on CoP of a crop, data are collected from the farmers of a specific crop. For this purpose wheat crop (Wheat is one of the core agricultural crops in Pakistan) has been selected as a case study for the comparison of Average (using Arithmetic Mean) CoP and Weighted Average CoP (WACoP) of wheat. In this paper, a detailed data flow and method for the determination of CoP of a crop is discussed. Average (using Arithmetic Mean) CoP technique was available to determine the production cost of any crop using the root level data from the farmers. But while compiling the report of COP on Punjab level, it has to be mentioned that the average cost of each head then ultimately total of all heads’ averages computed to find out the average COP of the specific crop. To overcome this problem, it has been proposed a new method to determine the CoP of any crop by using WACoP and taking proportion of usage of a specific head as a weight of the head. Data are compiled on provincial level and proportion of each cost factor of a crop was calculated as usage of each cost factor varies from crop to crop and area to area. The proportion of each cost factor has been used as its weight for the final evaluation of CoP of the crop. As cost factors vary, so for, all crops during a season, each year these weights of cost factors were freshly calculated to get latest CoP of a crop. Government of Pakistan has declared Rs. 1400/40kg as support price of wheat during Rabi season 2019-20 based on this study.
Abstract: To determine cost of production (CoP) of a crop is a persistent distress for the Government of Punjab (Pakistan) in the given conditions of rural and political dynamics. For the purpose, Crop Reporting Service (CRS), Agriculture Department Punjab has been evolving, using and analyzing sample data based on Area Frame Sampling (AFS) technique for con...
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Analysis of the Resource Management Ability by Catfish Farmers in Nigeria: A Case of Ogbaru Local Government Area, Anambra State
Obianefo Chukwujekwu Aloysius,
Nwike Chukwudi Matthew,
Anumudu Oluchi Odinaka,
Onyekineso Chimnedum Johnpaul
Issue:
Volume 5, Issue 5, September 2020
Pages:
156-164
Received:
15 August 2020
Accepted:
25 August 2020
Published:
3 September 2020
Abstract: The study was on the analysis of the resource management ability by catfish farmers in Nigeria: A case of Ogbaru Local Government Area, Anambra State. The study focused on the five objectives which investigated the socioeconomic characteristics, costs and net returns, production function, determinants of the returns, resource use efficiency of the farmers, and the challenges facing fish farmers. Data for the study was collected from a cross-section of 240 randomly selected catfish farmers using a well-structured questionnaire and facial interview. The study was able to reveal that male (72.1%) farmers dominated the industry. The study recorded an average age, household size, level of education, farming experience, and output as 46 years, 11 people, 11 years, 13 years and 5.297 tons respectively. Fish farming was profitable with a net returns of 5,057.02 USD and returns on investment of 1.82 implying 1.82 USD returns upon every USD investment. The double-log was the lead functional form for the production functions, pond size (2.64)**, utilities (1.99)**, fingerlings (2.92)***, fertilizer (-1.97)**, and labour (-3.31)*** were the significant production factors. The ratio of Marginal Value Product (MVP) to Marginal Factor Cost (MFC) was less than one for all the resources used apart from fingerlings cost which was greater than one. The relationship between net returns and socioeconomic variables, semi-log was the lead equation and sex, farming experience, level of education, household size, and primary occupation were the significant variables. Furthermore, the study identified the following grey areas inherent in fish farming in the area to include; high cost of feed among others.
Abstract: The study was on the analysis of the resource management ability by catfish farmers in Nigeria: A case of Ogbaru Local Government Area, Anambra State. The study focused on the five objectives which investigated the socioeconomic characteristics, costs and net returns, production function, determinants of the returns, resource use efficiency of the ...
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Crop-Industry Relevance Index: Assessment Model for Tanzania
Issue:
Volume 5, Issue 5, September 2020
Pages:
165-171
Received:
31 July 2020
Accepted:
17 August 2020
Published:
17 September 2020
Abstract: The interdependence between agriculture and industry sectors has increased in developing countries where smallholder farmers dominate agricultural production. However, methodology for assessing the contribution of smallholder farmers to the industrialization is lacking. The current paper presents the developed crop-industry relevance index (CIRI) framework used to analyze crop production and gauge the contribution of smallholder farming in industrial development in Tanzania. The study employed the Analytic Hierarchy Process (AHP) to derive weights for constructing the CIRI. The study defined five criteria that represents characteristics of crop types defining the crop industry relevance. The pairwise matrix representing value judgement on the contribution of different crop types to the industrialization were established. The normalization procedure resulted to derivation of weights. Consistency analysis performed to check the consistency in the value judgement on role of different crop types on industrialization. The results are that, the consistency ratio was 0.0318 implying robust weight values. Finding are that, the contribution of smallholder farmers to the production of industrial relevant crops is estimated to be 20% in year 2014. The estimated industrial value is mainly contributed by maize, paddy, cassava, cotton, sugarcane and sunflower. The implication is that while maize, cassava and paddy are produced primarily for food, there is emerging importance in the industrial development. Effort to enhance crop production focusing these crops beers dual benefits in the country.
Abstract: The interdependence between agriculture and industry sectors has increased in developing countries where smallholder farmers dominate agricultural production. However, methodology for assessing the contribution of smallholder farmers to the industrialization is lacking. The current paper presents the developed crop-industry relevance index (CIRI) f...
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Cost, Return, and Profitability of Vegetable Seed Production in Western Rukum, Nepal
Melsan Shrestha,
Shiva Chandra Dhakal
Issue:
Volume 5, Issue 5, September 2020
Pages:
172-180
Received:
20 August 2020
Accepted:
3 September 2020
Published:
17 September 2020
Abstract: Vegetable seeds are high-value and low-volume products, and one of the promising sub-sectors for improving agricultural production, poverty reduction, and food security in Nepal. It is an extremely prioritized sector for uplifting livelihood of rural people. Due to an increase in the area under vegetable production for both the main and offseason, and replacement of locally produced seeds by the improved varieties, there is an increase in the vegetable seed demand. Nevertheless, only 50% of the national demand for vegetable seeds was met by domestic production. Western Rukum has long been known as the area with the most potential for vegetable seed production in Nepal. In this regard, this study was executed to assess the cost, return, and profitability of major vegetable seed production in the district. Altogether 201 sample households were selected using simple random sampling in 2017. The primary data were collected from household survey using a pre-tested semi-structured survey schedule and verified from a focus group discussion. The study showed that 13 types of vegetable seeds had been producing in the study area. Among them, onion seed, cauliflower seed, radish seed, and pea seed were primarily grown. The research revealed that all the major four vegetable seeds were profitable subsectors, where, cauliflower was the most profitable vegetable seed crop with B:C 1.78, followed closely by onion seed (1.68), radish seed (1.52), and pea seed (1.27). In contrast, the onion seed had the highest gross margin (NPR.121,682) per ha followed closely by cauliflower seed (NPR.117,136), radish seed (NPR.47,640), and pea seed (NPR.27,131). There is an opportunity to meet national demand, and to boost the local economy by promoting vegetable seed enterprises in the study area. The concerned stakeholders and policymakers need to focus on enhancing market linkage and farmers' technical know-how to promote vegetable seed production.
Abstract: Vegetable seeds are high-value and low-volume products, and one of the promising sub-sectors for improving agricultural production, poverty reduction, and food security in Nepal. It is an extremely prioritized sector for uplifting livelihood of rural people. Due to an increase in the area under vegetable production for both the main and offseason, ...
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Cost and Return of Selling Processed Sunflower Versus Unprocessed Sunflower by Smallholder Farmers in Dodoma Region, Tanzania
Issue:
Volume 5, Issue 5, September 2020
Pages:
181-186
Received:
11 August 2020
Accepted:
22 August 2020
Published:
24 September 2020
Abstract: This research assessed the motivation of farmers to sell sunflower oil and in seed form and its effects on profitability. Data was collected through survey of 194 smallholder farmers in Dodoma region. The gross margin model was used to analyze profitability and was compared using the difference of mean test between households that sell oil and those who sell in seed form. Tobit Regression Model was used to analyze the factors that affect the proportion of sunflower sold as seeds. Results show that, higher variable costs were observed to farmers who processing sunflower; but higher gross margins were observed to farmers who process sunflower. This implied that farmers selling sunflower oil are more profitable than those farmers selling in seed form. Sunflower oil price, amount of sunflower harvested, size of household, farmer groups have significant and positive relationships with the proportion of sunflower sold as seed. The distance to the nearest machine is negatively and significantly associated with the proportion of sunflower sold as seed. Farmers should be encouraged to process sunflower before sale through training and extension. Access to yield-enhancing inputs, marketing or processing in groups, private entrepreneurs set up processing plants closer to farmers, invest mobile processing through improvement of the rural road network are some interventions proposed in this study to help farmers reduce transactions costs of processing.
Abstract: This research assessed the motivation of farmers to sell sunflower oil and in seed form and its effects on profitability. Data was collected through survey of 194 smallholder farmers in Dodoma region. The gross margin model was used to analyze profitability and was compared using the difference of mean test between households that sell oil and thos...
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Introducing Beekeeping Within Microfinance Mechanisms to Combat Poverty Through the Agricultural Bank of Sudan (Case Study River Nile State)
Yasir Ahmed Abdalla Eltoum,
Yasein Hassan Ajeb Mohammed Nour
Issue:
Volume 5, Issue 5, September 2020
Pages:
187-196
Received:
2 July 2020
Accepted:
20 July 2020
Published:
28 September 2020
Abstract: This research deals with the subject of the introducing of beekeeping within microfinance mechanisms to combat poverty through the Agricultural Bank of Sudan. The research problem is the absence of beekeeping finance within the microfinance and poverty alleviation programs funded by the bank as a result of the lack of adequate information on the economic feasibility of the project in terms of profitability, the capital, payback period, the policy and qualified staff. To achieve the objectives of the research, the most important of which is introducing of beekeeping within the microfinance and poverty alleviation programs through the bank which covered different parts of Sudan and widespread in rural areas where poverty rate increases. The beekeeping in some areas of Sudan where forests covered large areas (rich flora) is considered the most successful projects, that lead to an increase in household income and thus reduce the poverty. Researcher relied on primary data collected from field survey as well as personal interviews with the Agricultural Bank of Sudan Micro-finance Initiative manager. Of the most prominent findings of the research that beekeeping in Sudan is most promising industry of high economic feasibility with an average production of colony per year of 19.3 Kg and the rate of return on investment of 46.2%, which confirms the feasibility of the project and its suitability for microfinance and poverty alleviation programs, the importance of the project is increasing in remote and rural areas and forests where it is difficult to construct any other projects, in addition to beekeeping lead to increased income to the farmers by increasing the productivity of the crops (River Nile State Initiative). The arguments in the research are intended to provide farmers and poverty reduction stakeholders in Sudan (including policy- makers) with the necessary information and motivation to consider beekeeping as viable commercial and protective activity that should always be considered and integrated in microfinance and poverty reduction programmes through the Agricultural Bank of Sudan. The researcher stated important recommendations. To encourage the banks and other financial institutes to engage in this type of investment, to create associations of local producers to develop productions and marketing process locally and abroad, to encourage the training and scientific research and to encourage beekeeping in order to be one of the agricultural inputs.
Abstract: This research deals with the subject of the introducing of beekeeping within microfinance mechanisms to combat poverty through the Agricultural Bank of Sudan. The research problem is the absence of beekeeping finance within the microfinance and poverty alleviation programs funded by the bank as a result of the lack of adequate information on the ec...
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Environmental Challenges and the Measures Taken by the BMDA for Sustainable Agriculture and Environment in the Barind Tract, North-West of Bangladesh
Mohammad Selim Reza,
Mohammad Iquebal Hossain,
Mohammad Elias Hossain
Issue:
Volume 5, Issue 5, September 2020
Pages:
197-209
Received:
17 August 2020
Accepted:
31 August 2020
Published:
29 September 2020
Abstract: Barind Tract, located in the North-West region of Bangladesh is a drought prone water stressed area. Barind Multipurpose Development Authority (BMDA) has made this desert like zone into a granary one through various activities including irrigation as major. Now, the agricultural pattern, cropping intensity, methods of cultivation, crop variety and yields – all show a positive change. The BMDA has significant impacts of reducing environmental impact as well as changing the living standard and socio-economic conditions of the rural people in Barind Tract. The present study aims to find out the environmental challenges faced by the farmers in the Barind Tract and the mitigation measures took by the BMDA as a large development partner for the sustainable development in the Barind Tract. As on environmental issue respondent in Puthia, Paba and Godagari zones identifies that low rainfall, extraction of ground water by DTWs (Deep Tubewells) and STWs (Shallow Tubewells), very thin flow of water in the rivers and also losses of groundwater from the aquifer to the river as base flow during dry season are the major causes of the scarcity of ground water in the Barind Tract. Droughts, high temperatures, less rainfalls, cyclones and thunderstorms and lightning also have been identified by respondents as the natural hazards affect their crop production and daily livelihood. To reduce the environmental challenges, no more new DTWs are being installed by BMDA (though private initiatives are still going on), emphasize on using more surface water from rivers and canals through low lift pumps, community based tree plantation programs in the project area, use renewable energy produced by solar panels and re-excavate canals and ponds for conservation of surface water. This study suggests that scientific assessment of groundwater resources with zoning for proper planning, increase augmentation of surface water as well as harvesting of rain water, crop zoning, increase cultivation of low water consuming crops and enhance groundwater recharge are now the demand of time for the study area.
Abstract: Barind Tract, located in the North-West region of Bangladesh is a drought prone water stressed area. Barind Multipurpose Development Authority (BMDA) has made this desert like zone into a granary one through various activities including irrigation as major. Now, the agricultural pattern, cropping intensity, methods of cultivation, crop variety and ...
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Factors Affecting Adoption of BRRI Released Aus Rice Varieties in Mymensingh District
Md. Shajedur Rahaman,
Md. Jahangir Kabir,
Md. Abdur Rouf Sarkar,
Mohammad Ariful Islam,
Mohammad Chhiddikur Rahman,
Md. Abu Bakr Siddique
Issue:
Volume 5, Issue 5, September 2020
Pages:
210-217
Received:
17 July 2020
Accepted:
29 July 2020
Published:
12 October 2020
Abstract: This study was carried out to evaluate the performance of BRRI cultivars, identifying criteria and constraints as well as factors influencing the intensity of BRRI cultivars adoption in Aus season on the farm households in Mymensingh district. The data were collected through structured questionnaires from a total of 390 randomly selected rice farmers from thirteen Upazila of Mymensingh district. The study employed descriptive statistics and Tobit censored regression to determine the adoption and yield status; and adoption intensity determinants. In addition to a total of thirteen FGDs and expert panel interview was conducted to verify the collected data. The results show that 82.04 percent of the area in Mymensingh district was cultivated with rice variety developed by Bangladesh Rice Research Institute (BRRI) with an average yield of 4.05 t/ha during the Aus season. The findings of the Tobit censored regression indicate that schooling, distance to the local market, training, price variation, taste and preference, amount of cultivated varieties, yield variability were the significant factors of the intensity of BRRI varieties adoption in Aus season. The study's results suggested that breeders should also emphasize the choice of farmers while developing varieties. In addition to developing new rice varieties, BRRI, Department of Agricultural Extension (DAE), Bangladesh Agricultural Corporation (BADC) and other seed producing organizations need to work together to provide the farmers with good quality seeds of BRRI varieties, which will increase the total production of the country, thus helping to ensure food safety.
Abstract: This study was carried out to evaluate the performance of BRRI cultivars, identifying criteria and constraints as well as factors influencing the intensity of BRRI cultivars adoption in Aus season on the farm households in Mymensingh district. The data were collected through structured questionnaires from a total of 390 randomly selected rice farme...
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Determinants of Technical Efficiency in Wheat Production in Ethiopia
Issue:
Volume 5, Issue 5, September 2020
Pages:
218-224
Received:
18 August 2020
Accepted:
1 September 2020
Published:
12 October 2020
Abstract: Ethiopia is the second largest wheat producing countries in Sub-Saharan Africa and most people rely on rain fed agriculture for their livelihoods. Wheat production has increased from 2,176,603 tons in 2005 to 4,219,257 tons in 2016 with 51.6% production volume increment. However, this production cannot meet the consumption demand and obliged to import wheat because of rapid population growth. This study intended to determine the technical efficiency of smallholder wheat farmers in Ethiopia. The main objective of study was to examine the effect of demographic, socioeconomic and institutional factors on technical efficiency of small holder wheat farmers in Ethiopia. The study used household level cross sectional data collected in 2015/16 cropping season from 1611 sample farmers selected by multistage sampling technique. A stochastic production frontier and two-limit Tobit regression models were used to estimate level of technical efficiency and identify factors affecting technical efficiency respectively. The study indicated that the average technical efficiency level of wheat producing farmers was 62% implying that there was technical efficiency variation among smallholder farmers in the study area. The result implied that there is an opportunity for wheat producers to increase output at existing levels of inputs with present technologies. By shifting the average farmer to the production frontier, the average yield would increase by 0.5 tons per hectare. The two-limit Tobit regression model results showed that experience of growing wheat, family size, own farm labor, livestock size, extension contact and training had positive and significant effect on technical efficiency. However, distant wheat plot have a negative and significance effect on technical efficiency level of the farmers. This suggests attention to productivity gains arising from efficient use of existing technologies is necessary. Therefore, the study suggested, policies and strategies should be directed towards increasing productivity through improving efficiency of the production process.
Abstract: Ethiopia is the second largest wheat producing countries in Sub-Saharan Africa and most people rely on rain fed agriculture for their livelihoods. Wheat production has increased from 2,176,603 tons in 2005 to 4,219,257 tons in 2016 with 51.6% production volume increment. However, this production cannot meet the consumption demand and obliged to imp...
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