The current Ethiopian economy is based on agriculture and transition from subsistence to commercial agriculture, often referred to as the commercialization of agriculture. Commercialization of agriculture is therefore, the strategy Ethiopia is following to bring dynamic change to transform the traditional agriculture of smallholder farmers. As a result, this paper reviews the literature on smallholder commercialization to explore the conceptual developments in smallholder commercialization, measurements in the degree of commercialization, and the major determinants of smallholder commercialization. This review provides an overview of recent evidence on what factors affect smallholder farmers' commercialization in Ethiopia and what factors contribute to the improvement of rural livelihoods. According to the empirical reviews, the major determinants of smallholder farmers' commercialization in general are classified in to eight. These includes, population growth and demographic change, technologies, institutions, risks, markets and their integration, transaction costs, asset holdings of the households and policy aspects. Generally, the paper also investigates policy recommendations made by different authors aimed at facilitating the smooth process of smallholder agriculture from subsistence to the market oriented system. Based on the review, the paper draws general conclusions and directions for future research.
This study explores different socio-economic and institutional factors influencing the adoption of improved forage technologies in Assosa and Bambasi districts of Benishangul-Gumuz, Western Ethiopia. A structured questionnaire survey was applied to collect information from 120 farm households, and a binary logistic regression model was used to quantify the factors determining farmers' decisions to adopt improved forages. The analysis revealed that access to agricultural extension services, participation in forage training sessions and higher cash income had the greatest positive influence (P<0.05) on adoption of forage technologies, while higher numbers of male adult labor units and use of fertilizers had a lesser effect (P<0.10). In contrast, farmers remote from offices of development agents and possessing greater numbers of equines were less likely to adopt improved forage technologies. We suggest that adoption of improved forage technologies could be enhanced by providing farmers with training sessions, raising household income and providing greater access to extension services and that these factors should be considered by planning bodies.Keywords: Assosa, Bambasi, binary logistic regression, odds ratio. ResumenEste estudio explora diferentes factores socioeconómicos e institucionales que influyen en la adopción de tecnologías de forrajes mejorados en fincas de los distritos de Assosa y Bambasi en Benishangul-Gumuz, Etiopía Occidental. Se aplicaron encuestas con cuestionario estructurado para recopilar información de 120 hogares de campesinos, y se utilizó un modelo de regresión logística binaria para cuantificar los factores que determinan las decisiones de los campesinos respecto a la adopción de forrajes mejorados. El análisis mostró que el acceso a servicios de extensión agrícola, la participación en jornadas de capacitación en cultivo y manejo de forrajes y mayores ingresos de los productores tuvieron el mayor efecto positivo (P<0.05) en la adopción de tecnologías de forrajes mejorados, mientras que una mayor disponibilidad de mano de obra masculina adulta y el uso de fertilizantes tuvieron menos efecto (P<0.10). Por el otro lado, aquellos campesinos que vivían distantes de las oficinas de agencias de desarrollo y los que poseían un mayor número de equinos tenían menos probabilidades de adoptar estas tecnologías. Sugerimos que los factores acceso a servicios de extensión agrícola, capacitación y aumento de ingresos de los productores deberían ser considerados por los organismos de planificación de desarrollo rural.Palabras clave: Assosa, Bambasi, cociente de probabilidades relativas, regresión logística binaria.
In Ethiopia, the demand for soybean product is increasing as a result of increasing population growth, agro-processing and urbanization. Research needs to provide farm level evidence that could guide informed production decision-making. This research was conducted to assess costs and patterns of input use and determine the profitability of soybean production in Assosa zone of Benishangul-Gumuz region. Data for the study were collected from 59 randomly selected soybean farmers using a wellstructured questionnaire. Descriptive statistics and enterprise budgets are used to analyze the data. Results of the gross margin analysis showed that total gross revenue of Birr 10566.38 ha-1 is generated from sales of soybean grain. The average variable cost incurred is 6634.43 Birr/ha. The gross margin and net-farm income was estimated to be 3931.956 and 3629.956 Birr/ha, respectively. The benefit cost ratio amounted to 1.52 which implies for every Birr incurred in costs, the farmer can expect a benefit of 1.52 Birr. Moreover, the sensitivity analysis indicated that profitability of soybean production is more sensitive to reduction in price than to increases in yield. The study therefore concluded that soybean production in Assosa Zone of Benishangul-Gumuz region is profitable enterprise. It is suggested that consistent government policies that would favor soybean production and market linkage between producers and soybean agro-industries in the area would attract investors and small-scale farmers would gain reasonable economic benefits from soybean production in Assosa zone.
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