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This report provides a comprehensive statistical overview of agricultural household data collected by IFPRI from a smallholder commercialization survey in late 2022. Sampled to be representative to the provincial level, ten households were surveyed in 202 villages for a total of 2,020 households interviewed. The survey covers a wide range of topics including household demographics, agricultural farm holdings, input use, crop choice, levels of commercialization and other non-farm sources of income. The statistical tables are generally presented by principal categorical variables of interest which include provinces, gender and age of household head (youth/mature), as well as size of land holdings. These designations are meant to provide general insights into the current state of agricultural households in Rwanda. Building on this report, future research, on more specific topics of interest, will be performed to build a more comprehensive understanding of agricultural house hold economic behavior for broader understanding as well as potential policy engagement.
This paper explores crop commercialization among smallholder agricultural households in Rwanda from a cost and revenue perspective to determine profitability at the farm level. We use standard revenue and cost equations to assess the commercial viability of the smallholders. In general, we find that a household’s total crop production creates positive returns even if implicit costs, such as own family labor and fertilizer subsidies, are included. Specifically, over 80 percent of our sample households generated positive economic returns from farming— referred to as demonstrating a positive gross economic margin (GEM). However, if only crop market sales and market input costs are used in the calculations, only 40 percent of agricultural households generated positive returns—referred to as demonstrating a positive gross marketing margin (GMM). Most of the explanation for this difference is that the typical farm household sells only about one-third of its crop production by value. This outcome suggests that many agricultural households continue to focus on cultivating food crops for their own consumption and do not specialize in commercial production. This is to be expected in an economic context where input, credit, and commodity markets are still developing, production decisions are still shaped by high levels of weather and market risk, and production risk management options are limited, among many other factors. The results of this research provide a better understanding of how Rwandan smallholders might move towards higher value production, with the ultimate goal being to increase household revenues and welfare and accelerate the country’s economic transformation.
This paper explores the broad spectrum of commercial engagement by Rwandan farmers by grouping farmers according to characteristics of the head of household, the degree of commercialization of their farms, size of livestock holdings and other factors. We use statistical methodologies, including factor and cluster analysis, combined with existing knowledge of the agricultural sector to define five types of Rwandan farmers, separated into two broad groups. The first group (Group A) includes three types broadly classified as less wealthy, less commercialized, with a net negative gross margin. Within this group the three types of farmers include: Type 1—Less commercialized older male headed households with larger families, Type 2—Better educated, youth headed households, who are more market oriented but have smaller land holdings, Type 3—Older female headed households who produce relatively lower agricultural production value relative to their assets owned. The second group (Group B) comprises two types of farmers. This group are wealthier, sell more crops with positive gross margins and larger landholdings. More specifically, farm type 4 is commercialized with higher access to agricultural extension services and inputs and farm type 5, also highly commercialized, but has significant livestock holdings as well. Taken together, these two groups, and five farm types, provide a framework to aid in understanding how commercialization takes place in smallholder Rwandan agriculture. This framework may also help in understanding how potential interventions would be received by various types of Rwanda farmers, thereby facilitating more efficient targeting of agricultural interventions.
The Government of Rwanda continues to work to accelerate structural transformation to expand and diversify the country’s economy. High rural population density and small agricultural landholdings are driving workers from agricultural households to seek employment outside of farming. Using representative data on agricultural production and employment for rural households in Rwanda from 2022, this research evaluates the opportunities rural households have to diversify their labor portfolios. We find that, rather than nonfarm household enterprises developing to meet greater rural service and goods demand, agriculture wage labor is the dominant source of off-own-farm employment. However, such informal agricultural wage labor is seen as low-productivity work and is among the lowest paid. Among nonfarm employment options, nonfarm businesses generate less income than nonagricultural wage labor, likely reflecting high barriers to entrepreneurship and low demand for off-farm services in rural areas. In contrast to employment profiles from other low-income countries, we find that the probability of a worker from an agricultural household in Rwanda engaging in rural, off-farm wage labor decreases as household welfare increases. Agricultural households that have workers seeking to hire out their labor tend to have the smallest landholdings, while households that hire in labor have the largest landholdings. Additionally, households with a higher share of members who completed primary education are less likely to hire out their labor, especially for agriculture wage work. These results suggest that programs that offer support services to agricultural households, such as financial services and affordable and relevant education, may be important in incentivizing these households to engage in entrepreneurship and form their own businesses or to seek wage employment in more remunerative sectors than agriculture.
In this paper, we explore the current levels and participation of crop commercialization by Rwandan smallholder farmers. Our basic unit of analysis is total crop sales divided by the total value of crop production, either at the household or specific crop level. Overall, our findings suggest that approximately 80 percent of farmers participate in crop market sales and sell an average of 33 percent of their total production. However, there is a wide variety of percentage sales by crop and, in general, higher-valued crops are sold by more commercialized farm households. We also find that value of crop production per hectare rises with greater commercialization, suggesting that developing greater market commercialization, particularly with more valuable crops, may increase household incomes and aid in the economic transformation.
The perception of Ethiopia projected in the media is often one of chronic poverty and hunger, but this bleak assessment does not accurately reflect most of the country today. Ethiopia encompasses a wide variety of agroecologies and peoples. Its agriculture sector, economy, and food security status are equally complex. In fact, since 2001 the per capita income in certain rural areas has risen by more than 50 percent, and crop yields and availability have also increased. Higher investments in roads and mobile phone technology have led to improved infrastructure and thereby greater access to markets, commodities, services, and information. In Food and Agriculture in Ethiopia: Progress and Policy Challenges, Paul Dorosh and Shahidur Rashid, along with other experts, tell the story of Ethiopia's political, economic, and agricultural transformation. The book is designed to provide empirical evidence to shed light on the complexities of agricultural and food policy in today's Ethiopia, highlight major policies and interventions of the past decade, and provide insights into building resilience to natural disasters and food crises. It examines the key issues, constraints, and opportunities that are likely to shape a food-secure future in Ethiopia, focusing on land quality, crop production, adoption of high-quality seed and fertilizer, and household income. Students, researchers, policy analysts, and decisionmakers will find this book a useful overview of Ethiopia's political, economic, and agricultural transformation as well as a resource for major food policy issues in Ethiopia. Contributors: Dawit Alemu, Guush Berhane, Jordan Chamberlin, Sarah Coll-Black, Paul Dorosh, Berhanu Gebremedhin, Sinafikeh Asrat Gemessa, Daniel O. Gilligan, John Graham, Kibrom Tafere Hirfrfot, John Hoddinott, Adam Kennedy, Neha Kumar, Mehrab Malek, Linden McBride, Dawit Kelemework Mekonnen, Asfaw Negassa, Shahidur Rashid, Emily Schmidt, David Spielman, Alemayehu Seyoum Taffesse, Seneshaw Tamiru, James Thurlow, William Wiseman.
It analyses the economic, institutional and policy constraints to livestock marketing and trade to provide a basis for new policy interventions to improve market efficiency and intra-regional livestock trade.
One of the major knowledge challenges in the domain of Resilient and Sustainable Food Systems refers to the integration of perspectives on consumption, patterns that support public health, inclusive value chains, and environmentally sustainable food production. While there is a long record of the analysis of separate interventions, this special issue generates integrated insights, provides cross-cutting perspectives, and outlines practical and policy solutions that address these global challenges.The collection of papers promotes the view that sustainable food systems require thorough insights into the structure and dynamics of agri-food production systems, the drivers for integrating food value chains and markets, and key incentives for supporting healthier consumer choices. On the production side, potential linkages between agricultural commercialization and intensification and their effects for food security and nutritional outcomes are analyzed. Value Chains are assessed for their contribution to improving exchange networks and markets for food products that simultaneously support efficiency, circularity, and responsiveness. Individual motives and market structures for food consumption need to be understood in order to be able to outline suitable incentives to enhance healthy dietary choice.The contributed papers focus on interfaces between food system activities and processes of adaptive change that are critical for overcoming key constraints and trade-offs between sustainable food and healthy diets.
The Soil Organic Carbon Mapping cookbook provides a step-by-step guidance for developing 1 km grids for soil carbon stocks. It includes the preparation of local soil data, the compilation and pre-processing of ancillary spatial data sets, upscaling methodologies, and uncertainty assessments. Guidance is mainly specific to soil carbon data, but also contains many generic sections on soil grid development, as it is relevant for other soil properties. This second edition of the cookbook provides generic methodologies and technical steps to produce SOC maps and has been updated with knowledge and practical experiences gained during the implementation process of GSOCmap V1.0 throughout 2017. Guidance is mainly specific to SOC data, but as this cookbook contains generic sections on soil grid development it can be applicable to map various soil properties.
This report provides a summary of the recent contribution of the Department for International Development to delivering the Millenium Development Goals. It includes details by country describing progress made and DFID's contribution. It discusses aims for bilateral and multilateral aid and the statistical information on monies spent