Editor-in-Chief

Cheng Sun
China Branch of World Productivity Federation of Science and Technology; Academic Committee of the United Nations
NGO International Information Development Organization, China

Associate Editor

Jesus Simal-Gandara
University of Vigo, Spain

Editorial Board Members

Alberto J. Nunez-Selles Universidad Nacional Evangelica (UNEV), Dominican Republic

Jiban Shrestha National Plant Breeding and Genetics Research Centre, Nepal
Zhiguo Wang China Association for Science and Technology, China
Xiaoyong Huang International Energy Security Research Center, Chinese Academy of Social Sciences, China
Geeth Gayesha Hewavitharana University of Sri Jayewardenepura, Sri Lanka
Alamgir Ahmad Dar Sher-e-Kashmir University of Agricultural Sciences & Technology, India
Xiuju Zhang Hunan Academy of Agricultural Sciences, China
Keshav D Singh Agriculture and Agri-Food Canada (AAFC), Canada
K. Nirmal Ravi Kumar Acharya NG Ranga Agricultural University, India
Lijian Zhang Chinese Academy of Agricultural Sciences, China
Zhengbin Zhang Institute of Genetics and Developmental Biology, Chinese Academy of Sciences, China
Ruhong Mei China Agricultural University, China
Mingzao Liang Institute of Agricultural Resources and Agricultural Regional Planning, Chinese Academy of Agricul-
tural Sciences, China
Rishi Ram Kattel Agriculture and Forestry University, Nepal
Yunbiao Li Jilin University, China
Zhizhong Huang Shandong High-end Technology Engineering Research Institute, China
Jianping Zhang Chinese Academy of International Trade and Economic Cooperation, China
Lin Shen China Agricultural University, China
Juan Sebastián Castillo Valero Universidad de Castilla-La Mancha, Spain
Kassa Tarekegn Southern Agricultural Research Institute, Ethiopia
Shahbaz Khan National Agricultural Research Centre, Pakistan
Gioacchino Pappalardo University of Catania, Italy
Alisher Tleubayev Suleyman Demirel University, Kazakhstan
Ali Darub Kassar University of Anbar, Iraq
Fabian Capitanio University of Naples Federico II, Italy
 Volume 3 Issue 4 • December 2022 • ISSN 2737-4777 (Print) 2737-4785 (Online)

Research on World
Agricultural Economy

Editor-in-Chief
Cheng Sun
 Volume 3 ｜ Issue 4 ｜ December 2022 ｜ Page1-73
Research on World Agricultural Economy

Contents
Editorial
72 Agriculture Economic Overview
Cheng Sun

Research Articles
1 The Agricultural Sector of Ukraine in the Global Food Market: Pre-war State and Post-war Prospects
Olena Shubravska Kateryna Prokopenko
12 Production and Commercialization Status of Improved Panicum Grass Cultivation in the Lowland Live-
stock Production System of South Omo South-Western Ethiopia
Denbela Hidosa Asmera Adicha Muhaba Sultan
36 Access and Control of Resources by Rural Women in North Shewa Zone, Amhara Region, Ethiopia
Abiro Tigabie Beneberu Teferra Amsalu Abe
48 Climate Adaptation in Rain-fed Agriculture: Analyzing the Determinants of Supplemental Irrigation
Practices in Nepal
Ganesh Raj Joshi Ramchandra Bhandari
59 Cattle Marketing System in Bena-Tsemay District of South Omo, South-Western Ethiopia
Zelalem Adane Denbela Hidosa

Review Article
25 Macadamia Nuts (Macadamia integrifolia) Value Chain and Technical Efficiency among the Small-scale
Farmers in Zimbabwe
Wellington Bandason Cosmas Parwada Abbyssinia Mushunje
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Research on World Agricultural Economy

https://ojs.nassg.org/index.php/rwae

RESEARCH ARTICLE
The Agricultural Sector of Ukraine in the Global Food Market: Pre-war
State and Post-war Prospects
Olena Shubravska* Kateryna Prokopenko
Department of the Forms and Methods of Management in the Agri-Food Complex, Institute for Economics and
Forecasting of the NAS of Ukraine, Kyiv, 01011, Ukraine

Abstract: For a long time, Ukraine played an essential role as a producer of agricultural products in ensuring global
and internal food security. The hostilities on the territory of Ukraine have caused significant risks to the activity of its
agricultural sector and affected its current export potential. This study set out to assess the importance of Ukraine for
world food security and its place in the global agricultural market, to outline current risks and to determine the prospects
for the further development of agriculture in the conditions of post-war recovery. In particular, the integration of the
agricultural sector into the global economic space was investigated, which showed the rapid expansion of the presence
of agri-food products in certain commodity markets of some countries. An increase in the level of involvement of the
agricultural sector in the global flows of goods related to food production has been established. This conclusion is based
on calculations made using the data of input-output tables at basic prices. It is substantiated that the post-war recovery
of Ukraine’s economy should ensure the reconstruction of the agricultural sector on the basis of sustainability. In this
context, the authors presented the results of the assessment of possible changes in the production of the main types
of agricultural products during the implementation of the concept of ecological resource-conserving agriculture. The
impact of these changes on the country’s export potential and its food security was assessed by developing food balances
for the main types of agricultural products. The conducted assessment confirmed the necessity of such restructuring to
ensure the preservation of the country’s agricultural potential in the long term.

Keywords: Agricultural sector; Agri-food export; Food security; Sustainable development

*Corresponding Author:
Olena Shubravska,
Department of the Forms and Methods of Management in the Agri-Food Complex, Institute for Economics and Forecasting of the
NAS of Ukraine, Kyiv, 01011, Ukraine;
Email: shubravska@gmail.com

Received: 31 August 2022; Received in revised form: 4 October 2022; Accepted: 25 October 2022; Published: 16
November 2022

Citation: Shubravska, O., Prokopenko, K., 2022. The Agricultural Sector of Ukraine in the Global Food Market: Pre-war
State and Post-war Prospects. Research on World Agricultural Economy. 3(4), 693. http://dx.doi.org/10.36956/rwae.
v3i4.693

DOI: http://dx.doi.org/10.36956/rwae.v3i4.693
Copyright © 2022 by the author(s). Published by NanYang Academy of Sciences Pte. Ltd. This is an open access article under the Creative
Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) License. (https://creativecommons.org/licenses/by-nc/4.0/).

1
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
1. Introduction
World trade in agricultural and food products is carried
out in order to provide the inhabitants of the planet with
a sufficient amount of diverse food. Food supply to the
population is a strategic priority of the governments of all
countries in the world without exception. This problem is
especially acute in poor countries, which, moreover, are
not able to fully saturate their food market through domes-
tic agricultural production. For such countries, the global
food supply is essential to avoid hunger and diseases as-
sociated with malnutrition, thereby also providing social
stability [1].
According to Food and Agriculture Organization (FAO),
the number of people in the world affected by hunger con-
tinued to increase in 2020 and amounted between 720 to
811 million people. Of the total number of undernourished
people, more than half live in Asia and more than one-third
in Africa [2]. Many of these countries have recently been sig-
nificant importers of Ukrainian agri-food products. Accord-
ing to our estimates based on data from the State Statistics
Service of Ukraine these deliveries to Asia and Africa in
2021 amounted to 49% and 13%, respectively, of the total
volume of Ukrainian agri-food exports.
In general, Ukraine supplied more than 14% of the glob-
al food market [3], including 12.5% of the world export of
wheat and 12.8% of corn, as well as 47% of the world trade
in sunflower oil and 54% of sunflower meal [4]. According
to USDA estimates, in the last pre-war year, Ukraine was
the fourth largest exporter of corn in the world after the
USA, Brazil and Argentina. As of the end of 2021, Ukraine
was the fourth supplier of food to the EU (with the volume
of supplies of 6,896 million euros in 2021). According to
estimates of the Kyiv School of Economics, more than 400
million people in the world depend on Ukrainian grain sup-
plies [5].
The war started by Russia in Ukraine radically changed
the situation. Increasing military conflicts in developing
countries have long been recognized by the FAO as one
of the main factors contributing to food insecurity in these
countries. Research has shown that there is strong evidence
for a link between food security and violent conflict [6]. At the
same time, it is obvious that in a situation of a full-scale mili-
tary confrontation between countries that are among the larg-
est global suppliers of grains and oilseeds (which are Ukraine
and the Russian Federation), a food crisis can affect a much
larger part of the world’s population. The problems with
export logistics, reduction of cultivated areas, and the prob-
able decrease in the yield of agricultural crops, caused by the
war in Ukraine have already significantly affected the current
state of global food security. Thus, the world is witnessing
2
an increase in prices for many products and their shortages,
especially felt in the Middle East and North Africa. This has
already forced many of them to close agricultural exports in
order to maintain their own food security [7].
The long-term high agrarian status of Ukraine became one
of the important factors in mitigating the consequences of
military actions for the domestic food supply during the war.
At the same time, the destruction caused by the war in the
field of production and sale of agri-food products can create
prerequisites for the further recovery and development of the
Ukrainian agrarian sector on the basis of sustainability and
structural balance of production and export.
The post-war recovery of the agricultural sector of
Ukraine should form the basis for its further long-term de-
velopment. That is why it is extremely important to choose
the priorities of such development and directions of their
implementation. The fundamental goals should be to ensure
national food security, as well as the reproduction and pres-
ervation of natural resources of agricultural production. To
achieve this, innovative modernization of the agricultural
sector and its structural transformation are needed. As a
result, there should be a gradual transition from a highly spe-
cialized mono-product structure of agri-food production and
export to a structure of agricultural production that is more
effective in view of national economic interests.
Considering all the above, the purpose of the article is to
reveal the role of the agricultural sector of Ukraine as a guar-
antor of world food security in the pre-war period, to identify
risks of the impact of military operations on the Ukrainian
agricultural sector, and to outline the prospects for post-war
agricultural production and exports of Ukraine, taking into
account the need to comply with the principles of sustainable
development.
2. Research Methods and Materials
The authors sought to analyze the changes that have oc-
curred in Ukrainian agrarian production and exports over
the past 18 years (2004-2021). Calculations are based on
the data from the State Statistics Service of Ukraine.
The time series of export covering the period of 2004-
2021 is analyzed from the point of view of the commodity
structure. Commodity structure is based on the Ukrain-
ian classification of goods of foreign economic activity
(UCGFEA), whereas we have considered the correspond-
ence between the UCGFEA positions and positions of
The Combined Nomenclature, designed for the EU stat-
isticians, using eight-digit coding system. The Combined
Nomenclature is the primary nomenclature as it is used by
the EU Member States to collect detailed data concern-
ing their trade. It is based on the Harmonized Commodity
Description and Coding System (managed by the World
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Customs Organization). The volume of Ukrainian agrarian
foreign trade flows is estimated in US dollars.
The scope of research includes estimation of affect
both trade and production of increasing international frag-
mentation of production that has occurred over the last
decades. The time series of Ukraine input-output tables
provide a comprehensive map of transactions of goods
and services for estimation. The volume of this flow is es-
timated in Ukrainian hryvnia.
Authors also used balance method for development of
model for assessing the possible volumes of export of ag-
ricultural products with strict adherence to the principles
of sustainability in the further development. During the
development of this model relevant international experi-
ence in food balances preparation was taken into account,
specifically materials and recommendations developed by
FAO, USDA and Eurostat [8-12].
As a result, the following general scheme of forecast
balances preparation, coherent with international FAO
recommendations, was adopted:
DEMAND = SUPPLY
SUPPLY = STOCK at the beginning of the period +
PRODUCTION + IMPORT
DEMAND = DOMESTIC CONSUMPTION (human
consumption + seeds +livestock and poultry feed + in-
dustrial use + losses + other consumption) + EXPORT +
STOCK at the end of the period
3. Results and Discussion
3.1 The Dynamics of Foreign Agri-food Trade of
Ukraine in the Pre-war Period
The agrarian sector of Ukraine in the pre-war period
rapidly integrated into the global economic space, and
even more actively than the Ukrainian economy as a
whole. This process especially intensified at the begin-
ning of this millennium, after the industry overcame the
economic crisis of the mid-90s of the twentieth century
and during the country’s preparations for accession to the
WTO (2005-2008). It was during this period that Ukraine
laid the foundations for its current high status in the global
food market and formed an agrarian export hyper-spe-
cialization [13]. So, only 6 commodity items, namely corn,
wheat, barley, rape, sunflower oil and sunflower meal
provided almost a third of the national and more than 70%
of Ukraine’s agri-food exports in the last pre-war years.
The high values of RCA (revealed comparative advantage
index), or otherwise the Balassa index, for these products
(at the level of almost 300 units for sunflower process-
ing products and up to 80 units for grain crops) indicate
that these products have strong comparative advantages,
which also reflects its high share in the world market (re-
spectively 42%~48% and 8%~13%).
In the pre-war period, Ukrainian agri-food products
from year to year expanded their presence both in the EU
market and the markets of Asian and African countries
(Table 1). This was largely facilitated by the gradual har-
monization of the national legislation of Ukraine in the
field of ensuring the quality of food products with the
relevant European regulations. The result was a noticeable
increase in the quality indicators of products, the introduc-
tion of modern production standards at all stages.
In recent years, the importance of India, Egypt, China,
as well as other countries as importers of Ukrainian prod-
ucts has significantly increased. For example, China for
2011-2021 increased the import of agricultural products
from Ukraine by 41.5 times, which increased the share
of this country in the structure of Ukrainian agri-food ex-
ports from 0.5% to 15.5%. In turn, India was the largest
importer of Ukrainian sunflower oil.
However, despite the high position of the Ukrainian
agricultural sector in the global space, it is quite obvious
that agricultural raw material exports should not dominate
in the overall structure of export deliveries due to the high
volatility of the conjuncture of the respective markets.
Therefore, Ukraine is faced with the task of increasing the
share of food products with a higher added value in agri-
food exports.
In the meantime, as statistics show, raw material
exports continue to dominate. The share of processed
products in both exports and imports is declining. The
information below on the commodity structure of agricul-
tural trade in Ukraine in 2004-2021 confirms the growth
of negative changes in the area of value added (Table 2).
Thus, the share of trade in unprocessed commodities has
been constantly increasing due to a decrease in the share
of processed products (currently down to 40%). Conse-
quently, Ukrainian agricultural exports are becoming more
and more raw materials, which requires a revision of the
country’s agri-food trade policy.
The high level of integration of the agricultural busi-
ness of Ukraine into the global economic space is also
confirmed by the increase in the indicators of its involve-
ment in GVC – global value chains. This, in particular,
is evidenced by both the dynamic growth of the index
of participation of agriculture and the food industry of
Ukraine in global value chains (GVC participation rate),
and the decrease in the indicator of domestic value added
(DVA) in these areas [14]. Estimates by international ex-
perts show that for the period they studied 1995-2015
against the background of the expansion of the presence
of agriculture in GVC, its dependence on imported inter-
3
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Table 1. Dynamics of Ukraine’s foreign agri-food trade with the main importing countries (USD million)
Countries 2011 2013 2014 2015 2017 2018 2021
EU countries
Netherlands 513.6 690.2 749.9 575.6 1275.7 1157.6 1762.1
Spain 724.1 759.0 923.0 852.9 1023.8 1039.8 1168.4
Poland 445.8 528.7 536.2 422.7 518.2 557.2 981.5
Germany 151.1 222.5 247.9 188.3 385.0 657.5 842.3
Italy 418.1 598.4 625.4 560.0 749.3 702.7 717.9
Other countries
China 103.1 484.0 764.9 1239.6 1015.3 1171.0 4282.3
India 944.9 1079.4 1390.9 1082.6 1953.4 1856.1 1953.7
Egypt 862.2 1524.3 1390.9 1022.9 1257.9 888.7 1600.5
Turkey 883.6 688.3 665.6 757.6 928.9 800.2 1464.0
Saudi Arabia 551.7 427.8 629.1 473.3 358.8 588.7 645.8
Iran 403.4 526.1 591.2 440.6 527.6 420.8 612.5
Israel 268.4 443.5 377.6 395.2 411.2 337.0 449.6
Russian Federation 2025.0 1941.1 911.8 276.5 102.3 92.2 45.9

Source: Calculated using the data from the State Statistics Service of Ukraine.

Table 2. Structure of foreign agri-food trade of Ukraine in relation to the processed and unprocessed goods (USD million)
Indicators 2004 2008 2014 2016 2018 2021 Index 2021vs.2004, %
Exports
Non-processed total (UCGFEA items 1-14) 1784.4 6373.7 9750.6 8868.7 11097.4 16883.2 946.2
Processed total (UCGFEA items 15-24) 1686.5 4463.9 6918.3 6413.1 7515.3 10825.7 641.9
Total 3470.9 10837.6 16668.9 15281.8 18612.8 27708.9 798.3
Share of non-processed (%) 51.4 58.8 58.5 58.0 59.6 60.9 118.5
Share of processed (%) 48.6 41.2 41.5 42.0 40.4 39.1 80.5
Imports
Non-processed total (UCGFEA items 1-14) 754.4 3164.5 3155.8 1911.1 2446.9 3724.5 493.7
Processed total (UCGFEA items 15-24) 1154.0 3292.1 2903.5 1980.0 2604.8 4022.4 348.6
Total 1908.4 6456.6 6059.3 3891.1 5051.7 7747.0 405.9
Share of non-processed (%) 39.5 49.0 52.1 49.1 48.4 48.1 121.8
Share of processed (%) 60.5 51.0 47.9 50.9 51.6 51.9 85.8

Source: Calculated using the data from the State Statistics Service of Ukraine.

mediate inputs has significantly increased. At the same
time, since 2013 the trend has changed. This was the re-
sult of a significant increase in gross agricultural and food
exports, as well as a decrease (albeit insignificant) in the
import component in the export of these goods.
Our estimates for a later period using the input-output
tables confirm the persistence of this trend (Table 3). Im-
ports of goods and services matrix allows us to determine
the directions of use of imported products in the total
amount of goods and services used in the economy. Ac-
cording to input-output tables, in 2020 the share of the
import component in the intermediate consumption of
agriculture was 25.5%. This can be considered as an ap-
proximate level of use of imported resources in general
production, including in the production of exported goods.
Consequently, the dependence of Ukrainian agricul-
ture on external resources is somewhat higher than in the
economy as a whole, and significantly higher compared
to manufacture of food products, since the products of
Ukrainian agriculture are its main resource component. At
the same time, this dependence tended to decrease, despite
the fact that at the input (resource component) agrarian
sector is less involved in GVC than the output (Ukrainian
exports). So, Table 4 shows the level of involvement of
agriculture, forestry and fisheries of Ukraine in the GVC,
based on the indicators of input-output tables. It is dif-

4
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Table 3. Dependence on foreign input (at basic prices, million Ukraine Hryvnia (UAH))
Indicators 2015 2016 2017 2018 2019 2020
Total by types of economic activity
Use of imported goods and services 705090 827161 994369 1136089 1076165 972899
Intermediate consumption (without taxes
2444526 2985429 3680226 4404755 4866204 4981105
and subsidies on products)
Dependence on foreign input rate 0.2884 0.2771 0.2702 0.2579 0.2212 0.1953
Agriculture, forestry and fishing
Use of imported goods and services 95360 126017 142505 144397 150449 129059
Intermediate consumption (without taxes
309222 366186 412767 497649 494916 506638
and subsidies on products)
Dependence on foreign input rate 0.3084 0.3441 0.3452 0.2902 0.3040 0.2547
Manufacture of food products, beverages and tobacco products
Use of imported goods and services 68152 92359 106439 115109 100018 94700
Intermediate consumption (without taxes
329094 400922 475163 498663 539547 601359
and subsidies on products)
Dependence on foreign input rate 0.2071 0.25304 0.2240 0.2308 0.1854 0.1575
[13]
Source: Calculated according to Olena Shubravska, 2021 .

ficult to single out the export flows that will be included
in global value chain, but the table contains data on the
export of products of section A (Agriculture, forestry and
fishing), which are essentially raw materials and require
further processing, and therefore the exported volumes of
these products with a high probability will be directed to
further processing and may become a component of GVC.
In this case, we estimated GVC participation rate as the
share of added value that came from products involved in
GVC. Thus, as we can see, the agriculture of Ukraine in
the pre-war period was quite deeply involved in the global
value chain.
In addition, during the research we assessed the de-
gree to which the country relies on imported inputs in the
production of some exported commodities (in particular
cereals). We measured it as the share of value of imported
inputs in total exports. The evaluation was carried out ac-
cording to the author’s methodology for wheat and corn.
Thus, the following imported resources were evaluated:
machinery, plant protection products, mineral fertilizers,
seed material. Export volumes included both grain itself
and products of wheat and corn processing (flour, cere-
als, starch, ready-made dough products, etc.). Since these
goods (cereals) are mainly export-oriented, the share of
import of production resources in the value of the speci-
fied export was insignificant and in 2019-2020 was 16.4%.
3.2 The Impact of Hostilities on the Agricultural
Sector of Ukraine
The war in Ukraine affected all areas of the country’s
socio-economic life. Losses, unfortunately, are already
catastrophically great. In this regard, FAO speaks of the
unprecedented scale of damage to Ukrainian agriculture,
which will have an impact not only on the Ukrainian
economy, but also on global food security. “Damage
caused by war to a country with an agricultural output and
exports as significant as that of Ukraine is unparalleled
since the Second World War” [16]. According to the esti-
mates of the KSE Institute Center for Food and Land Use
Research and the Ministry of Agrarian Policy and Food
of Ukraine, in just three months of Russia’s war against
Ukraine, direct losses (full or partial destruction of mate-
rial assets) in the agricultural sector alone reached almost
4.3 USD billion [17], and indirect (due to a decrease in pro-
duction, the blockade of ports and the increase in the cost
of production factors) – 23.3 USD billion [18]. Forestry of

Table 4. Global value chain participation rate for agriculture, forestry and fishing (at basic prices, million Ukraine Hry-
vnia (UAH))
Indicators 2015 2016 2017 2018 2019 2020
Use of goods and services for export 178390 208977 244472 267614 329968 315305
Output 558788 655569 727352 871971 866138 915800
GVC participation rate 0.319 0.319 0.336 0.307 0.381 0.344
[15]
Source: Calculated according to State Statistics Service of Ukraine, 2015-2020 .
5
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Ukraine also suffered colossal losses. So, about 600,000
hectares of forest-covered land has already been affected
by the war. Landmines have become an extremely serious
problem, especially when fighting forest fires. According
to the State Agency of Forest Resources of Ukraine, the
damage caused to forest ecosystem services is estimated
at 185 USD million.
The war in Ukraine also led to the loss of food stocks
available in the country before the war due to their physi-
cal destruction by the invaders and the placement of a sig-
nificant number of warehouses in the currently occupied
territories; lack of physical ability to conduct agricultural
activities in many key agricultural regions of Ukraine (in
July 2022 18% cropland were currently occupied, 5% were
previously occupied, 3% were just liberated); critically insuf-
ficient level of provision of fuel and lubricants to farmers; the
destruction of the supply chains of agricultural production
resources (plant protection products, seeds, and fertilizers),
which negatively affects the resource security of all produc-
tion processes and causes crop failure (Ministry of Agricul-
ture of Ukraine expects in 2022 a decrease in grain yield by
10%~15% compared to the past year); the increase in the
cost of agricultural work against the background of a sharp
reduction in exports and the impossibility of replenishing
the financial resources of agricultural producers because of
this. In Ukraine, there is currently a catastrophic violation of
export logistics. Namely before 24 February the maximum
throughput of export facilities was 6 mln·t per month (95%
by sea, 5% other), in June 2022 it was 2 mln·t per month (15%
by trucks, 35% by railway, 50% by river) [19].
Taking into account all of the above, according to our esti-
mates, in 2022, the production of grain crops in Ukraine may
decrease by 30 mln·t~33 mln·t compared to the previous
year, when a record harvest of more than 85 mln·t was har-
vested. International experts estimate the reduction of grain
production in Ukraine in the current year in the amount of
35 mln·t [20]. A decrease in the production of sunflower seeds
is expected at the level of 6 mln·t, which will cause a corre-
sponding drop in the production of sunflower oil, the export
of which Ukraine has ranked first in the world for many years
in a row. According to the profile association “Ukroliyaprom”,
in 2022, the export of oil has already decreased by 8 times
compared to 2021, and the export of sunflower meal –
by 12 times.
In August report, the USDA noted that the volumes of
Ukrainian wheat production and export in 2022/2023 will
decrease compared to the previous period by 13.5 mln·t and
7.8 mln·t, respectively. The production of corn is forecast to
be 12.1 mln·t, and exports –12 mln·t less [21].
6
3.3 Prospects of the Ukrainian Agricultural Sec-
tor Post-war Development
In general, the further situation in the field of agricultural
production in Ukraine seems to be poorly predictable. Tak-
ing into account the problems of the war period noted above,
many agrarians may for some time completely abandon their
economic activity or radically restructure it. The choice of
large producers, who before the war narrowly specialized in
the production of grains and oilseeds, will be determined by
comparing their own financial and other resource capabili-
ties, as well as the scale of the costs of the autumn sowing
and the risks of its implementation with the problems of mar-
keting the grown crop and the profit that is poorly predicted
as a result of all this. It is expected that these producers will
give preference to crops that bring more income per 1 ha
with a smaller mass of grown crop. Thus, it is already known
that this spring many agrarians sowed fields with sunflower
instead of corn, which they planned to sow before the war. It
is assumed that in the future, sunflower and rapeseed, which
are in demand on the European market, can significantly re-
place corn and wheat crops in Ukraine. In addition, already
now many large grain producers are concerned about find-
ing effective solutions in the field of processing. The main
guidelines are the construction of bioenergy enterprises for
the production of bioethanol and biomethane, increasing the
production of compound feed, starch, including highly de-
manded modified, sugar alcohols (sorbitol, xylitol, etc.), the
most important organic components of animal feed - amino
acids (lysine, methionine, threonine, tryptophan), etc.
Small Ukrainian agrarians, who traditionally have a more
diversified production structure and are oriented mainly to
the domestic market, demonstrate relatively greater stabil-
ity during the war (as, indeed, in other periods of crisis). It
is on them that the national food security of Ukraine largely
depends, regarding such products as milk, vegetables, local
fruits – almost completely. However, the entry of such pro-
ducers into the global food market in the near future seems
problematic due to their generally unsatisfactory logistical
support and insufficient coordination of actions, which is
necessary for the formation of market lots of quality prod-
ucts. The only exception in this context is Ukrainian organic
producers, who have been successfully presenting their prod-
ucts on the world market for a long time, mainly in European
countries.
Thus, it is obvious that under the influence of the
war with Russian Federation, agricultural production in
Ukraine may reduce and, moreover, undergoes significant
transformations that may persist in the years following the
end of the war. This will undoubtedly affect the export op-
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
portunities of Ukrainian farmers, who, at least in the short
term, may lose their status as key players in the global
market in the segment of grain crops that were traditional
for Ukraine until recently. At the same time, mechanical
damage and chemical contamination of large areas of land
and water resources provoked by military actions as a re-
sult of explosions, mining of the territory and man-made
disasters, as well as changes in the structure of production
in the direction of the priority development of agricultural
crops that deplete land resources (primarily sunflower) are
fraught with production in Ukraine with long-term nega-
tive consequences. This is especially dangerous, taking
into account the unfavorable ecological situation in the
sphere of agricultural production in Ukraine even before
the war against the backdrop of the growing influence of
climate change on it.
Ukraine has the second largest arable land resource in
Europe. However, there is a steady trend of further inten-
sive degradation of soils – the main means of agricultural
production [22]. The largest risks identified as erosion (38%
of agricultural land), soil compaction and loss of humus,
exacerbated by a high plowing rate (78% of soils and 56%
of land). More than 19% of soils are acidic. The balance
of nutrients in the soil, like humus, is negative. In addi-
tion, many soils are contaminated. Total forest area of
Ukraine (10.4 mln·ha) is much smaller than in EU: forest
cover rate is 14%~16% in Ukraine and 39% in EU aver-
age. As a result of the military operations, the problem of
restoration and preservation of natural resources of agri-
cultural production has significantly increased, since on a
significant part of the land, its solution must be preceded
by bringing the land into a state suitable for agricultural
use (demining, elimination of numerous man-made pollu-
tions, etc.).
So, during the period of post-war reconstruction,
Ukraine has no alternative to the development of agricul-
tural production on the principles of sustainability. This
approach is also due to the intensification of European
integration processes after Ukraine received the status of
a candidate member of the EU on June 23, 2022. Thus,
issues of sustainable development, a low-carbon strategy,
and the European Green Deal course should be prioritized
when Ukraine determines the prospects of its agricultural
production and forms agrarian policy to achieve them.
The realization of this goal involves the implementa-
tion of innovative modernization of agricultural produc-
tion and the formation of its structure based on the priority
of internal food needs and resource opportunities for their
implementation, and not on the global market situation
and the interests of its leading players [23,24].
This approach, in particular, involves optimizing the
structure of land and agricultural landscape; decrease
in agricultural development (by 5 percent) and plowed
territory (by 10 percent); increasing the productivity of
agricultural land (by 40-50 percent) through the rational
use of organic, organo-mineral and mineral fertilizers and
chemical meliorants on acidic and saline soils [25].
In this context, the authors estimated the possible vol-
umes of production and export of agricultural products,
which can be obtained by complying with the above
requirements of the government document and by the fol-
lowing assumptions:
l the post-war territory of Ukraine will be restored to its
borders as of February 23, 2022;
l all land will be demined and available for agricultural
activity;
l logistics infrastructure, even if it is not completely re-
stored, there will still be opportunities to provide farm-
ers with all the necessary resources and equipment;
l the structure of crop production will fundamentally
change in accordance with ecological requirements,
and the number of livestock of agricultural animals will
correspond to the area of available fodder lands.
The assessment of changes in the structure of crop pro-
duction was based on calculations of the optimal structure
of sown areas on the basis of crop rotations recommended
for different soil and climatic zones of Ukraine [26].
In the agricultural sector of Ukraine, as mentioned
above, there are two significant producers: enterprises and
farmers as well as households. The analysis carried out by
the authors [27] proved that the households have a relatively
optimal structure of sown areas and there is no possibility
of introducing full-fledged crop rotations on small plots,
so this group of producers can only recommend directions
for improving the structure of production in their farms.
In 2021, enterprises and farms that produce products for
export had a non-optimal structure of sown areas with
the dominance of grain and industrial crops. Therefore,
changes in the structure of production were estimated for
such farms. In general, the changes related to compliance
with environmental requirements can be very significant,
as 3 mln·ha of agricultural land, 6 mln·ha of arable land
should be taken out of circulation, and the area of pastures
and hayfields should be increased by 2 mln·ha.
When making calculations, we assumed that: a) house-
holds will not change the structure of crop production
and will maintain production volumes; b) producers of
livestock products will increase the number of agricultural
animals in accordance with the above ecological require-
ments, without changing the structure. Taking into ac-
count all the assumptions made, one can expect the results
of agricultural production given in Table 5. Although the
7
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
calculations are quite conditional, they still give an idea
of the scale of the main changes that can take place in the
structure of agricultural production in Ukraine with full
compliance with environmental requirements. In accord-
ance with the implementation of structural changes in pro-
duction, there will also be changes in the country’s export
potential.
The main method of calculations was the balance sheet
method. The balance sheet item of the estimated balance
sheet became its “Exports” item, in contrast to the fact
balance sheets, where the balance sheet item is usually
“Fund of consumption”. In the evaluation process, in
addition to production volumes, domestic consumption
volumes were determined and, in particular, such item
of the balance of demand and supply for certain types of
products were evaluated, as the consumption fund (which
may be formed in the post-war period), expenditures on
processing and domestic use (sowing, planting, fodder), as
well as losses and wastes. Since the goal of the structural
restructuring of the agricultural sector is to achieve food
security (that is, food sufficiency) on the basis of sustaina-
ble development, when calculating the consumption fund,
it was assumed to ensure consumption norms per person,
which were formed in the pre-war period. To estimate the
consumption fund, it is currently difficult to predict the
population size in the post-war period, since migration
processes are still ongoing in Ukraine, the scale of which
will depend on the activity and duration of hostilities in
the country. According to some estimates, depending on
the duration of the war, the loss of population will be from
600,000 to 5 million people [28], so for the calculations,
losses at the level of 10% were determined.
Estimates indicate that the production of a number of
crops may decrease with structural restructuring in ac-
cordance with ecological requirements. In particular, the
Table 5. Expected export by Ukraine in the post-war period of the main types of agricultural products when transition-
ing to production taking into account environmental requirements (thousand tons)
Production
Types of products
2021 expected
Grain and legumes 86011 73120
Wheat 32151 29750
Corn 42110 27200
Soya 3493 2610
Rapeseed 2939 2260
Sunflower 16392 9140
Potatoes 21356 23920
Meat 2438 3650
Milk 8729 13100
Source: Authors’ calculations.
8
agricultural sector may lose significantly in the produc-
tion of corn (up to 35%), wheat (up to 8%) and sunflower
(about 45%). This may accordingly reduce the produc-
tion and export volumes of sunflower oil. Soybean and
rapeseed production may also decrease. However, these
changes are necessary, since the share of cultivated areas
under technical crops (primarily sunflower) is now in the
range of 35%~50% depending on the region, which is an
unacceptable violation of environmental requirements.
Such a situation allows obtaining only short-term eco-
nomic profit, and in the long term it leads to land degrada-
tion, a decrease in harvests and the loss of export potential
and the ability to ensure food security at the global level.
Insignificant exports of sunflower, soybeans and rape-
seed will be due to large volumes of their domestic pro-
cessing, i.e., mainly products of oil crops processing will
be exported. Therefore, it can be expected that Ukraine
will be able to avoid significant losses of export revenues
due to the reduction of sowing of grain and technical
crops, ensuring the development of appropriate processing
capacities. This is fully consistent with the need to speed
up the transition from raw materials exports to exports
of processed products, declared by the government in the
Draft Ukraine Recovery Plan [29]. Significant amounts
of soybeans and sunflowers are already exported in pro-
cessed form, but in addition to this, in order to increase
the value of exports, it is planned to increase the process-
ing capacity of grain crops, soybeans and rapeseed.
According to calculations, the changes may also lead to
an increase in Ukraine’s production of potatoes, which is
currently recognized as the third most important food crop
in the world. At the same time, potatoes are a strategic
crop with regard to the requirements of sustainable and
ecological food production, as they generate fewer green-
house gas emissions compared to other main crops and at
Changes in the volume of Expected domestic
Expected export
production consumption
–12891 20575 52545
–2401 7200 22550
–14910 10700 16500
–329 1300 1310
–679 260 2000
–7252 9050 90
2564 23750 170
1212 2000 1650
5119 8750 4350
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
the same time ensure the receipt of cash by small produc-
ers. In Ukraine, the increase in the volume of this product
is predicted due to production in enterprises, so it will be
suitable for industrial processing and export.
According to the assessment (follow the ecological
standards), the total area of fodder lands in Ukraine can
reach 13.1 million hectares. Thus, Ukrainian farmers will
be able to increase the number of livestock by 1.5 times
(up to 13.1 million in standard livestock unit) if they com-
ply with the requirement of a 1:1 livestock load on fodder
grounds. This will not only give a notable impetus to the
development of animal husbandry, but will also allow to
significantly activate the process of applying organic fer-
tilizers to improve the condition of the soil. In addition,
according to the calculations, increasing the production of
livestock products, along with ensuring its domestic con-
sumption, will also increase export.
The Ukrainian agricultural sector also has a significant
potential for the development of organic production, as
a system of agricultural production that fully complies
with all principles of sustainable development, contributes
to the restoration of the natural balance and ensures the
sustainability of the food system. The Ukrainian National
economic strategy for the period until 2030 envisages an
increase in the area of land with organic status to at least
3% of the total area of agricultural land against the current
slightly more than 1%.
4. Conclusions
Prior to the start of full-scale Russian aggression in
2022, Ukraine for many years was one of the leading sup-
pliers of agricultural, to large extent raw materials, prod-
ucts to the global food market, providing more than 14%
of its total volume. According to our estimates, both the
level of participation of the country’s agricultural sector in
the GVC and its dependence on imported resources have
generally increased, albeit to varying degrees.
The current war in Ukraine not only has a catastrophic
impact on the national economy, but also poses a threat
to food security throughout the world, primarily in low-
income countries in Asia and Africa. In Ukraine, people
are dying en masse, crops and warehouses with food
stocks are being destroyed, agricultural land is rendered
unusable by shelling, and well-established supply chains
of products and resources are being destroyed. All this is
an incomplete list of the consequences of ongoing hostili-
ties. It is already obvious that this year the situation will
lead to a significant (by 30%~35%) reduction in Ukraine’s
production of its global food specialization, in particular,
grain.
The ongoing significant destruction of Ukrainian ag-
riculture as a result of the war testifies to the need for a
large-scale post-war restoration of agricultural production.
The result of this should be the formation of an environ-
mentally sound specialization that meets both nationally
oriented goals and international requirements (in par-
ticular, the EU Green Deal). This will make it possible to
implement the concept of ecological resource-conserving
agriculture and preserve national natural resources in the
long term. Our assessments have shown the possibility of
achieving under these conditions a high level of self-suffi-
ciency of the country’s population with food, diversifying
agricultural exports, and entering foreign markets with
new types of products. In particular, against the back-
ground of the expected reduction in the production and
export of sunflower, corn, sunflower oil, we can expect
an increase in the total area of forage land and the corre-
sponding potential for the production and export of live-
stock products, an extension of the commercial production
of potatoes, an expansion of the organic segment, as well
as an accelerated development of processing industries.
To achieve such goals, the state must first of all inten-
sify the stimulation of sustainable technologies’ usage by
farmers, as well as promote the expansion of capacities
for processing agricultural raw materials. For this, follow-
ing the example of other countries, it is necessary to adopt
and finance appropriate programs. Obviously, the cardinal
solution of such problems in Ukraine will be postponed
until the end of the war, when farmers’ incomes stabilize
and investment risks are minimized.
Conflict of Interest
There is no conflict of interest.
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Research on World Agricultural Economy

https://ojs.nassg.org/index.php/rwae

RESEARCH ARTICLE
Production and Commercialization Status of Improved Panicum
Grass Cultivation in the Lowland Livestock Production System of
South Omo South-Western Ethiopia
Denbela Hidosa1* Asmera Adicha2 Muhaba Sultan3
1. Livestock Research Directorate, Jinka Agricultural Research Center, Ethiopia
2. Socio Economic and Gender Research Directorate, Jinka Agricultural Research Center, Ethiopia
3. Natural Resource Research Directorate, Jinka Agricultural Research Center, Ethiopia

Abstract: Lack of information on the production and commercialization status of improved Panicum grass is one of
the major livestock production impediments in South Omo. The improved Panicum grass is a perennial grass species
used throughout the tropics for livestock feeding. Therefore, the present study was conducted to understand the seed and
hay production status and the economic visibility of improved Panicum grass cultivation. The face-to-face interviews
were conducted with improved Panicum grass producers. The quantitative data, such as the number of bales and seeds
produced, and the qualitative data, such as agro-pastoralists perceptions, were analyzed using simple descriptive
statistics and the Likert scale. The results revealed that the seed yield and herbage productivity after seed harvest were
2.5 quintals and 788 bales per hectare per cut, respectively. The average income generated from the sale of herbage and
seed of Panicum grass was 325,350 ETB and 442,500 ETB per hectare per year, respectively. Based on the results, the
authors concluded that joint efforts are needed to step the agro-pastoralists out of the poverty vicious cycle by promoting
wide-scale improved Panicum grass production by linking products to market sources in addition to legumePanicum
grass-based cattle and goat fattening intervention..

Keywords: Agro-pastoralists perception; Economic visibility; Herbage Panicum grass; Seed

*Corresponding Author:
Denbela Hidosa,
Livestock Research Directorate, Jinka Agricultural Research Center, Ethiopia,
Email: denbelahidosa@gmail.com

Received: 31 August 2022; Received in revised form: 21 October 2022; Accepted: 28 October 2022; Published: 31 October 2022

Citation: Hidosa, D., Adicha, A., Sultan, M., 2022. Production and Commercialization Status of Improved Panicum
Grass Cultivation in the Lowland Livestock Production System of South Omo South-Western Ethiopia. Research on
World Agricultural Economy. 3(4), 694. http://dx.doi.org/10.36956/rwae.v3i4.694

DOI: http://dx.doi.org/10.36956/rwae.v3i4.694
Copyright © 2022 by the author(s). Published by NanYang Academy of Sciences Pte. Ltd. This is an open access article under the Creative
Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) License. (https://creativecommons.org/licenses/by-nc/4.0/).

12
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
1. Introduction
Ethiopia has about 70 million cattle, 42.9 million
sheep, 52.5 million goats, 8.1 million camels, 2.15 mil-
lion horses, 10.8 million donkeys, 0.38 million mules, and
57 million chickens [1]. Livestock herds have provided
food, power for crop production, transportation, organic
fertilizer, a source of biofuel, security in times of crop
failure, and a means of wealth accumulation to 3.85 mil-
lion rural households in the highland and 7.15 million
rural households in the lowland [2,3]. Similarly, in South
Omo’s lowland areas, livestock production has played
an important role in providing quality foods (milk, meat
and egg), sources of cash income, social insurance, and
esteem [4-7]. However, the livestock production system is
characterized by a low-input/low-output system and the
productivity, which refers to the ability of the animals
grown to produce economic outputs such as livestock
products and by-products, is generally very low [6]. This
is due to poor livestock feed quality and quantity, a lack
of improved forage production practices, and as a result,
herders rely entirely on natural pasture, which is unable
to meet the nutrient requirements of livestock to obtain
required production from the livestock. Moreover, in the
study area, improved forage seed production and supply
systems are found to be critical for livestock production
due to prevailing of high improved forage seed prices, that
makes inaccessible to livestock keepers and, as a result,
improved forage production is poorly adapted by livestock
keepers. Cognizant of this state of affairs, during the last
several years, Jinka Agricultural Research Center (JARC)
has been carrying out an adaptability study on different
improved forage species by using irrigation and an array
of potential grass, legume, and browse trees of improved
forage species were recommended for South Omo agro-
ecologies. The selected improved forage species have
shown better herbage yield and quality than those in the
naturally occurring rage-forage grasses. The improved
Panicum grass is among the adapted and recommended
improved forages for South Omo agro-ecologies and is
used throughout the tropics for livestock feeding inform
of pasture, cut-and-carry, silage, and hay making [8]. Pani-
cum grass has a global average dry matter yield of 2,000
bales per hectare per year [9], which can vary depending
on the species and variety, fertilizer application, and farm
management practices. Thus, the studies reported from the
research station of South Omo [10,11] have shown that the
Panicum grass yields about 1,000 bales per hectare per cut
without fertilizer in rain-fed conditions and 1200 bales per
hectare per cut in irrigated conditions, respectively. How-
ever, its dry matter yield was reported at up to 2,800 bales
per hectare in nitrogen-fertilized conditions [12]. Moreover,
grass is generally preferable to supplement with sources
of protein to improve animal performance due to the fact
that it is well eaten by all classes of grazing livestock, par-
ticularly high intakes of young leafy plants stages. It is re-
ported that the cows grazing on improved Panicum grass
yield 10 kg to 12 kg of milk per day. The other feeding
trial conducted on goats showed that goats supplemented
with improved Panicum grass give better results when it
is complemented with a legume-based or concentrate diet.
Also, improved Panicum grass is a fast-growing and bulky
grass that helps prevent soil erosion since it provides rapid
ground cover when it is well managed. However, with this
notable potential, the improved Panicum grass seed and
hay production and commercialization status, and agro-
pastoralists’ perception level are not well documented in
the study area due to the scarcity of surplus viable seed,
the limited knowledge and capability of agro-pastoralists,
and the poor extension services delivered by the govern-
ment in the study area [13]. In recent years, a few NGOs
in the Dasenech district have been trying to multiply and
produce small-scale seeds by mobilizing agro-pastoral
communities in groups, but they have not able to satisfy
the voracious demand for improved Panicum grass seed
and hay, which has continued forward at country level.
It is hoped that by understanding how agro-pastoralists
perceive the Panicum grass seed and hay production and
commercialization approaches and linking products (seed
and hay) to market sources will transform poor agro-
pastoralists into productive and prosperous livelihoods.
Therefore, the present study was initiated (1) to under-
stand the production and commercialization status and
agro-pastoralists’ perception on improved Panicum grass
seed and hay production and (2) to understand the eco-
nomic visibility of improved Panicum grass seed and hay
production under agro-pastoralists managed system.
2. Materials and Methods
2.1 Descriptions of the Trial Location
The study was conducted in Alkatakech Kebele (Ad-
ministrative-subunit) of the Dasenech district of South
Omo. It is located in the Omo River basin, south of the
Omo River, not more than 500 meters from the Omo Rate,
the capital city of Dasenech district, and 200 kilometers
from Jinka, the capital city of South Omo. The site is
situated at 5°14’ N latitude, 36°44’ E longitude, and has
a temperature range of 25 °C ~ 40 °C. The altitude of the
study site is 350 m and rainfall ranges from 350 mm to
600 mm with a bimodal rainfall type in an erratic distribu-
tion [14]. The majority of economic activity that has pre-
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
vailed in the study area is low-input/low-output livestock
and small-scale sorghum, maize, and banana production
using small-scale irrigation from the Omo River. The ma-
jor indigenous livestock species that have been kept in the
study area are cattle, sheep, and goats [13].
2.2 Agro-pastoral Selection
Based on irrigation facility and agro-pastoralist inter-
est in producing Panicum grass seed and hay for livestock
feeding and commercialization purpose, JARC established
one improved Panicum grass seed and hay producing
pastoral and agro-pastoral research and extension group
(PAREG), which consisted of about 41 agro-pastoralist
members from Alketekech Kebele in collaboration with
the Dasenech district of Livestock and Fisher Develop-
ment Office.
2.3 Site Selection and Planting
Each household (HH) in a group received 0.25 ha of
communal land, and a total of 10.25 ha of land per group
was plowed, disked, harrowed, and ridged using tractors
and corrected by laborers donated by PAPREGs members.
Panicum grass seed was purchased from the local market
and sown by drilling with a seeding rate of 15 kg/ha at a
30 cm interval between rows [18].
2.4 Trial Site Management
Appropriate site management activities such as weed-
ing, irrigating, hoeing, and monitoring were conducted.
The trial farm was kept nearly weed-free by using PA-
PREG. Family members and trial agro-pastoralists kept
the trial site free of animals and rodents. The regular
monitoring of the trial site was held at different times by
researchers and experts.
2.5 Seed and Hay Harvesting
The hand-harvesting method was used, and grass seed
heads were mowed with sickles, bound and stoked in
the field, then collected for threshing after drying in the
shade. Then the heads of grass were beaten with sticks
and hands, roughly sieved, and then sun-dried. The inert
matter and damaged seed from harvested seed threshed
and dried materials were cleaned by hand to ensure good
seed quality. Finally, at the end of processing, the threshed
seed was packed and sealed in locally available containers
(jars) and stored in ventilated rooms until sold to the local
market. Regarding haymaking, after seed harvest for those
interested in hay production, the grass was cut and laid
out in the sun under shade, raked a few times, and turned
regularly to hasten its drying and then dried grass was
raked and baled.
14
2.6 Technology Promotion
At mid-term grass production, a field day was organ-
ized for agro-pastoralists, administrative bodies, experts,
and other stakeholders and participants to compare the
introduced technological options with existing practices.
The posters, banners, and other promotional materials
were displayed to participants during the field day pro-
gram. The discussion was held among the stakeholders
on the way forward, and some additional roles might be
identified, and roles and responsibilities were shared for
the next contributions along the value chain of grass hay
production and commercialization.
2.7 Data Collection
Data on agro-pastorals’ perceptions of improved Pani-
cum grass production, amount of bale and seed produced,
harvesting frequency, the selling price of a bale, and the
economic visibility of Panicum grass production were col-
lected by using face-to-face interviews from the total of
were 41 respondents (16 males and 25 females).
2.8 Method of Data Analysis
Quantitative data such as the amount of bales and seed
produced and qualitative data such as agro-pastoralists’
perceptions were analyzed using simple descriptive statis-
tics (percentage and mean) and the Likert scale. A benefit
and cost ratio was used to analyze the cost of production
and net income from Panicum grass production.
3. Results and Discussion
3.1 Socioeconomic Characteristics of Trial Agro-
pastoralists
The demographic and socioeconomic characteristics
of trial agro-pastoralists in the study area are presented
in Table 1. The result on demographic characteristics re-
vealed that the majority (60.97%) of interviewed Panicum
grass growers were female-headed, while about 39.02%
were male-headed. It is obvious that in pastoral areas of
Ethiopia, the females are more involved in agricultural
activities like planting, weeding, harvesting, and thresh-
ing than the males, aside from household routine activities
such as preparing dishes, clearing the house and barn, car-
ing for children, and fetching water and firewood. This is
because, culturally, males were paid more dowries during
marriage time for females’ families, and thus, they were
considered slaves, allowing females to be more involved
in agricultural activities than males. They reported that
most of the time, males were involved in preparing land
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
and herding cattle rather than planting, weeding, and
harvesting. Similarly, the studies reported by Hidosa and
Ayele [15] and Zelalem et al. [6] from the pastoral and agro-
pastoral areas of Hamer and Bena-Tsemay districts have
shown that most of the time, females were involved in
agricultural activities like planting, weeding, and harvest-
ing, in addition to house routine activities, while males
herded cattle. Meanwhile, the study reported by Worku
and Lisanework [16] elucidated that young males are in-
volved in herding cattle to distant places, especially to an
island (Desset) in the Dasenech district of South Omo,
while females are involved in crop farming activities us-
ing small irrigation systems adjacent to residential areas
in addition to household routine activities. The minimum
family size of agro-pastoralists who were involved in
Panicum grass production was 3, and the maximum was
9, and the average was 6. The overall average family size
from the present study was lower than the reported value
of 9.65 persons by Demerew et al. [4] for the Malle district
of South Omo and 10 persons for Borana pastoralists by
Zekarias [17], but it was similar to the reported value of
6.19 persons for agro-pastoralists of the Bena-Tsemay
district of South Omo by Zelalem et al. [6]. Regarding ex-
perience in Panicum grass production, the findings of this
study indicated that the minimum year of experience for
agro-pastorals who have been involved in Panicum grass
production was one year, while the maximum was seven
years, and on average about three years. The finding on
Panicum grass production experience from this study im-
plies that agro-pastoralists are not new to improve Pani-
cum grass production, but that successful production and
getting benefit from the production might depend on the
provision of training. Less experienced agro-pastoralists
are expected to have less access to Panicum grass seed
and hay production and marketing information. Similarly,
the study reported by Gebreegziabher and Tsegay [18] in-
dicated that more experienced farmers adopted forage
production practices more quickly than less experienced
ones. The maximum number of family members involved
Table 1. Demographic and Socioeconomic characteristics of sample respondents
Characteristics of respondents
Sex Male
Age of household
Family size
Experience in Panicum grass production (year)
Family number engaged in Panicum grass production
Source: Own survey, 2022
in Panicum grass production in the study area was 5 peo-
ple, while the minimum was 2 people, and the average
was 3.22 people. The involvement of family members in
Panicum production is important to implement different
farm management operations like irrigating, weeding, and
harvesting to share among them. The involvement of fam-
ily members in Panicum grass production is also impor-
tant to create more job opportunities for jobless household
members and thus generate income and reduce jobless
family members, thereby improving their means of liveli-
hood.
As indicated in Figure 1, the majority of the agro-pas-
toralists who were involved in Panicum grass production
were illiterate (61.1%), about 16.1% had acquired pri-
mary education, and very few (11.1%) had learned grade
5-8 and above grade 8 (11.1%). The studies reported by
Zelalem et al. [6] and Demerew et al. [4] have shown that
about 66% and 12% of agro-pastoralists of Bena-Tsemay,
and 68.3% and 11% of agro-pastoralists of Malle dis-
tricts who are involved in cattle production were illiterate
and acquired primary school (Grade 1-4th), respectively,
which was relatively in agreement with the results from
our study. However, the results from this study were not
in line with the previously reported values of 41.7% by
Tollossa et al. [19] for Borana pastoralists who had attended
formal education (1-4th grade) and 83.88% by Hidosa and
Ayele [15] for Hamer pastoralists who were illiterate, i.e.,
unable to read and write.
3.2 Reason for Improved Panicum Grass Production
The important attribute factors that have motivated
agro-pastoralists to improve Panicum grass production
in the study area are presented in Table 2. According to
agro-pastoralists, livestock feed shortages are an impor-
tant factor that has motivated them to get involved in
improving Panicum grass production. Accordingly, about
51.23% of agro-pastoralists replied that for the last 10
years they have faced a livestock feed shortage, but cur-
Frequency Percent
16 39.02
Female 25 60.97
Minimum Maximum Mean Std. Dev
25 50 35.72 7.98
3 9 6.22 1.96
1 7 3.44 1.82
2 5 3.22 1.06
15
 pastoralists who had attended formal education (1-4th grade) and 83.88% by Hidosa and Ayele [15]
Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
for Hamer pastoralists who were illiterate, i.e., unable to read and write.

Figure
Figure 1.
1. Map ofstudy
Map of studyArea
Area

rently they have solved this by starting the production of cum grass. They mentioned that the improved Panicum
improved Panicum grass in their backyard and feeding it grass production is important because they sell seed and
by cut and carry system. In addition, they were reported hay on the local market and buy grains like maize and
3.2 Reason for Improved Panicum Grass Production
that agro-pastoralists involved in Panicum grass produc- sorghum to fulfill the food requirements of their family
tion because theyThe were
important
trainedattribute factors from
by researchers that have
the motivated agro-pastoralists
members, besides feeding theirtocattle,
improve Panicum
sheep, and goats by
JARC and experts from the Dasenech district of Livestock the cut and carry system. Similarly, the study reported by
grass production in the study area are presented in Table 2. According to agro-pastoralists,
and Fisher Development Office (DDLFDO) and obtained Mengistu et al. [20] indicated that farmers of the Damota
livestock
improved Panicum feed shortages
grass seed freely arefrom
an these
important
organiza-factorGale
thatdistrict
has motivated
of WolaitathemZone tohavegetproduced
involvedimproved
in
tions. During the focus group discussion with them, they forages as a source of cash, for use as feed, for soil ero-
improving Panicum grass production. Accordingly, about 51.23% of agro-pastoralists replied
mentioned that there were a lot of cattle that died this year sion control, or two or more of these functions. Regard-
that Kebeles
in nearby for the last yearsnotthey
who10were have faced
involved a livestock
in Panicum ingfeed shortage,
the benefits of but currently
growing theygrass,
Panicum have solved
the majority
grass planting as we did due to the lack of rainfall in the (92.68%) of respondents
this by starting the production of improved Panicum grass in their backyard and feeding it by reported that the benefits
cut of
last three consecutive years as result of climate change. growing improved Panicum grass were highly improving;
On theandothercarry
hand,system. In addition,
about 36.58% they were
of respondents reported
reported that
while agro-pastoralists
very few (7.32%) reportedinvolvedthat in Panicum
benefits obtained
that they
grass production because they were trained by researchers from the JARC and experts from the of
did not observe livestock feed shortages because were slowly improving. This implies that the majority
they were recently solved by planting Panicum grass, and respondents realized the importance of growing Panicum
Dasenech
very few district (12.19%)
agro-pastoralists of Livestock and livestock
replied that Fisher Development
grass as theirOffice (DDLFDO)
main livelihood and obtained
improvement activity in
feed shortages
improvedoccurred
Panicum sometimes.
grass seed Similarly,
freely fromthe study the study areas.
these organizations. The high
During the improvement in the growth of
focus group discussion
reported by Getaneh et al. [13] indicated that livestock feed Panicum grass is due to growers’ having received training
withinthem,
shortages they mentioned
the Dasenech district were thatsevere
thereproblems,
were a lot on of planting
cattle that died this
methods, year schemes,
irrigating in nearbyharvesting
Kebeles time,
especially between January and March due to a lack of conservation methods, hay-making practices, and ways of
awareness of improved forage species except that very utilization. The studies reported by Gebreegziabher and
few agro-pastoralists were involved in Panicum grass Tsegay [18] and Dejene et al. [21] have indicated that about
production. As it is indicated in Table 2, all respondents 74.5% and 66.7% of farmers participated in improved
(100%) have replied that they have participated in the forage production in highland areas of Ethiopia due to an
growing of improved Panicum grass due to an improve- improvement in awareness of the importance of improved
ment in awareness of the importance of improved Pani- forage production, respectively.

16
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Table 2. The attribute factors that have motivated agro-
pastoralists in improved Panicum grass production
Attributes Respondents response Freq
Feed shortage • Yes it occurs often but not now 21
• Yes it occurs sometimes 5 12.19
• No, recently solved 15
Awareness
improvement in
• Yes 41
improved forage
production
• No 0 0
The benefit of
growing panicum
• Highly improving 38
• Slowly improving 3 7.32
Source: own survey, 2022
As indicated in Figure 2, the majority (66.67%) of
respondents of Panicum grass growers reported that they
were trained by researchers from JARC, whereas very few
(5.55%) of respondents were trained by experts from DL-
FRDO, and the remaining were trained by JARC in col-
laboration with LLRL (11.11%) and JARC in collabora-
tion with DLFRDO and LLRP (16.67%). The result from
the present study implies that in the study area, Panicum
grass growers were well trained on the improved panicum
grass production package by the different organizations.
As mentioned by DLFRDO experts during household
surveys in the study area, the different improved forage
species like Elephant grass, Sesbania, Luecunea, Lablab,
Cowpea, Rhodes, and Panicum grass were demonstrated
to agro-pastoralists by different organizations, but of
these, Panicum grass was highly adopted by agro-pasto-
ralists. The reasons for the high adoption rates of Panicum
grass by agro-pastoralists were that grass is highly pre-
ferred by their animals; it is easy to establish; it has high
Percent herbage and seed yielding potential; it is resistant to water
51.23 and moisture stress; and there is a high demand for herb-
age and seed at the local market.
36.58
3.3 Herbage and Seed Productivity
The total amount of herbage (bales) and seed (quintals)
100
produced in the study area is presented in Table 3. Ac-
cording to agro-pastoralists, the seed yield and herbage
productivity after seed harvest of Panicum grass were 2.5
92.68 quintals per hectare per cut and 788 bales (11.82 tones)
per hectare per cut, respectively. Of the total herbage pro-
duced, about 964 bales were fed to their cattle by a cut
and carry system, while about 650 bales of green herbage
were gifted to their relatives who were not involved in
Panicum grass cultivation to save their cattle, goats, and
sheep during a severe drought in the study area. Moreo-
ver, agro-pastoralists reported that about 760 bales of
green herbage were exchanged with 65 goats in a barter-
ing system, and about 1,566 bales of green herbage were
sold both at the farm gate and local market and purchased
grains and covered the food requirements of family mem-
bers. The results obtained from the present study were
lower than the reported values of 1000 and 1200 bales by
Denbela [10] and Hidosa et al. [11] for improved Panicum
grass cultivated in rain-fed and irrigated conditions, re-
spectively. The result of seed yield from the present study
was lower than the reported values of 3.1 quintals per hec-
tare by Hassen [22] and 4.71 quintals per hectare by Zeleke
et al. [23] for Panicum antidotale grass from the Afambo
and Amibara districts of the Afar region, respectively.

11.10%
Illiterate
11.10%
Grade1-4

16.80% 61.10% Grade5-8

>Above grade8

Figure 2. Education status of improved Panicum grass producer house hold

17
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Table 3. Amount of improved Panicum herbage and seed
produced and utilized by agro-pastoralists in irrigated
lowland of Dasenech district under agro-pastoral manage-
ment system
Seed(Quintal)/ha/cut 2.5
Herbage (Bale)/ha/cut 788
Amount of herbage consumed/HH/year
• Own cattle(Bale) 964
• Gifted (Bale) 650
• Bartering(Bale) 760
• Sold at the farm gate(Bale) 1,566
Source: own survey, 2022
3.4 Herbage Utilization Way
The Panicum grass herbage utilization practices after
seed harvest are indicated in Figure 3. As indicated in
Figure 3, the majority (49.3%) of respondents replied that
they fed their cattle, goats, and sheep and sold green herb-
age at the farm gate, while about 20.90% of respondents
fed their cattle, sheep, and goats by cut and carry system.
On the other hand, about 23% of respondents replied that
they used herbage as a direct feed to cattle, sheep, and
goats by cut & carry system, haymaking for their cat-
tle, and selling green herbage in the farm market, while
very few agro-pastoralists (6.8%) reported that they sold
fresh herbage on the farm. Similar to the current study’s
findings, Zereu and Lijalem [24] found that approximately
98.4% and 75.6% of farmers in the Wolaita zone’s mid-
land and lowland agro-ecologies used improved forage by
cut and carry systems, respectively. Moreover, the study
reported by Tolera [25] stated that cultivated forages are
mainly important as cut-and-carry sources of feed and as
16.67%
11.11%
5.55%
66.67%
Figure 3. Training delivery organizations on improved Panicum grass production packages
18
a supplement to crop residues and natural pastures, which
was concurrent with the result of this study.
3.5 Seed and Herbage Harvesting Frequency
According to agro-pastoralists, the average improved
Panicum grass seed harvesting day in the study area was
between 50 and 60 days. They mentioned that if their farm
was irrigated with enough water every week, the seed was
harvested 50 days after planting, while if the farm was not
irrigated with enough water every week, the seed harvest-
ing days were extended up to 60 days. Similarly, the seed
harvesting frequency was dependent on irrigation water
access, and as the agro-pastoralists, the minimum Panicum
grass harvesting frequency was 4 times, the maximum was
6 times, and the average was 5 times per year for seed pro-
duction. Similarly, the study reported by Zeleke et al. [23]
indicated that the improved Panicum antidotale grass was
harvested 61 days after planting for seed. The result of
this study was lower than that reported 7 times per year
by Zeleke et al. [23] from the Amibara district of the Afar
region, Ethiopia. Concerning the harvesting frequency of
improved Panicum grass for herbage production, agro-
pastoralists reported that at 45 days, improved Panicum
grass bloomed up to 50% and it was ready to feed animals
by cut and carry system. The study reported by Denbela [10]
indicated that improved Panicum grass bloomed up to
50% at 78 days after planting under rain-fed conditions,
which was longer than what agro-pastoralists reported in
the present study. This study’s inconsistent results on seed
harvesting date and frequency when compared to previ-
ous studies are due to soil variability, weather conditions,
species difference, or management practices. Forage yield
and yield-related agronomic parameters may vary due to
JARC
LLRP
DLFRDO
JARC+LLRP
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
differences in soil parameters, harvesting age, irrigation
effect, management, and agro-ecological differences [5,26,27].
3.6 Income from Panicum Grass Production
The income generated from improved Panicum grass
production (seed and herbage) is presented in Table 4. Ac-
cording to agro-pastoralists, the average price of herbage
(bale) was 90 ETB, whereas the minimum and maximum
prices of bale were 80 ETB and 100 ETB, respectively.
The mean price of improved Panicum seed per kg was
300 ETB, whereas the minimum and maximum prices
per kg were 250 ETB and 350 ETB. Based on the result,
the minimum and maximum bales produced per cut per
hectare were 650 and 926 bales, respectively with aver-
age 788 bales (Table 4). The average income generated
by households per year per hectare from the sale of fresh
herbage and seed was 325,350 ETB and 442,500 ETB,
respectively, and the mean total income of 767,850 ETB.
The high incomes were a major driver of the development
of forage production for sale and animal feeding in the
study area. For instance, by cultivating improved Panicum
grass for sale in local markets, small-scale irrigated Pani-
cum grass production is viable as a cash crop. It has been
determined that irrigated Panicum grass production is eco-
nomically competitive with other crops based on frequent
harvesting with promising herbage yield, quality, and on-
farm gate prices. Other advantages include increasing and
improving the productivity of farm animals in terms of
milk and meat production, meaning the amount of profit-
ability derived from the improved Panicum grass may
be greater and clear. Previous research from Vietnam,
Cambodia, and China found that improving animal feed-
ing increased the financial benefits of smallholder cattle
production systems [28-31]. The study reported by Getnet [32]
indicated that the initiatives aimed at fodder agronomy,
Table 4. Income from improved Panicum grass herbage and seed/ha/cut/year
Attributes
Harvesting frequency per year
Herbage/ha/cut (bale)
Price per bale (ETB)
Seed produced/ha/cut (kg)
Price per kg (ETB)
Income from the sale of herbage/HH (ETB)
Income from the sale of seed/HH (ETB)
Total income (ETB)/ha/year
Source: own survey, 2022
value chain development, and business viability over the
long term can increase stabilized farm revenue.
3.7 Cost of Panicum Grass Production
The total cost for the production of improved Panicum
grass is described in Table 5. The Panicum grass produc-
tion cost was calculated from a face-to-face semi-struc-
tured interview of beneficiary agro-pastorals by the price
norms approved by the Jinka Agricultural Research Center
for wage employees in 2021, which have been taken into
consideration during the total cost calculation. Based on
the approved wage norm of JARC, the average cost of
production for improved Panicum grass production per
hectare per year was 114,000 ETB. Regarding the price of
land, it is not considered in the cost price calculation be-
cause the land is a free resource/value or communal in the
agro-pastoral and pastoral areas.
3.8 Net Income from Panicum Grass Production
The net income from improved Panicum grass seed and
hay production in the study area is presented in Table 6.
The mean net income per hectare per year from the sale
of green herbage and seed was 767,850 ETB by consider-
ing five harvesting frequencies per year and the required
production cost for improved Panicum grass production
was 114,000 ETB. This means that agro-pastoralists that
participated in improved Panicum grass production would
get a net income of 653,850 ETB/year. Moreover, the ben-
efit-to-cost ratio of Panicum grass production was 5.73:1,
which indicated that each household gets a benefit from
Panicum grass production nearly six times the cost of pro-
duction. This result would motivate new agro-pastoralists
to tend to participate improved Panicum grass cultivation
to realize benefits of this profitable enterprise.
Min Max Mean
4 6 5
650 926 788
80 100 90
150 350 250
250 350 300
234,000 416,700 325,350
150,000 735,000 442,500
384,000 1,151,700 767,850
19
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Table 5. Cost of Panicum grass production per household per hectare per year
Items Measurements Amount Price/ETB Total cost Remark
Panicum Seed Kg 15 300 4,500
Land clearing Person/day 30 100 3,000
Land preparation Person/day 20 100 2,000
Planting Person/day 20 100 2,000
Irrigating Round 104 100 ETB*8person*104 83,200 Irrigation frequency per ha
1st wedding Person/day 20 100 2,000
2nd weeding Person/day 20 100 2,000
Herbage harvesting Person/day 20 100 2,000
Haymaking Person/day 20 100 2,000 For tedding and baling
Seed harvesting Person/day 20 100 2,000
Seed threshing Person/day 66 100 6,600 Drying and packing
Seed cleaning Person/day 27 100 2,700
Total 114,000 Per year

Source: own survey, 2022

Table 6. Net income from improved Panicum grass seed respondents replied that producing Panicum grass and be-
and hay production/ha/year ing in a cooperative enables them to earn a high income,
Income and cost of production Mean (ETB)
while about 27.8% replied that being in a cooperative is
imperative to share forage cultivation practice and other
Gross income (seed + herbage) 767,850
experiences. The remaining 33.3% of agro-pastoralists
Cost of production (seed and herbage) 114,000
said that growing Panicum grass in cooperatives gives
Calculated net income 653,850
them access to irrigation and other new technological
Benefit: cost ratio 5.73:1 options. Several empirical studies have shown that agri-
Source: own survey, 2022 cultural cooperatives raise farm output by encouraging
the use of productivity-enhancing technological options
3.9 Benefit of Establishing Improved Panicum and thereby enhancing their collective bargaining power,
Grass-producing Cooperative which reduces the market risks they may face. Further-
more, they provide member farmers/pastoralists with
The benefits of establishing improved Panicum grass- financing options that raise productivity ceilings and are
producing cooperative in the study area are indicated essential for the distribution of agricultural products like
in Figure 4. As indicated in Figure 4, about 38.9% of chemical fertilizers, seeds, and other inputs [33-36].

Cut& carry system

23% 20.9% Sold in field

6.8% Cut &carry,&sold in field

49.3% Cut and carry, hay& sold in field

Figure 4. Utilization ways of herbage of Panicum grass after seed harvesting

20
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

120
100
100
80
Percent

60
38.9 33.3
40 27.8
20
0
0
s

no

ce

r…
ye

in
ur

ar

he
so

sh

ot
e

ea
m

&
co

id

n
io
&
in

at
e
gh

ig
nc
hi

irr
rie

to
pe
ex

ss
ce
k
or

ac
Member of cooperative

w
Benefit of engaging in cooperative

Figure 5. Benefit of engaging in cooperation during Panicum grass production

3.10 Agro-pastoral Perception on Panicum Grass
Production
Table 7 shows agro-pastoralists’ perceptions of im-
proved Panicum grass production. About 87.8% of agro-
pastoralists appraised the establishment potential of Pani-
cum grass as very good, while about 12.5% appraised it
as good compared to locally grown Panicum grass. They
stated that improved Panicum grass was easily established
within 4-5 days after planting, while their local Panicum
takes a week and requires high soil moisture. Regarding
early maturity, all agro-pastoralists reported that improved
Panicum grass was early mature for seed production as
compared to local grass, which took a long time to reach
its maturity for seed production. They mentioned that
improved Panicum grass had reached its maturity for
seed harvesting within 50~60 days after planting, but lo-

Table 7. Summary of agro-pastoralists’ perception of improved Panicum grass

Characteristics of variety Rate of scale (0= poor, 0.5=good, 1= very good)
Very good good Poor
N % N % N %
Ease of establishment 36 87.8 5 12.2 0 0
Early maturity 41 100 0 0 0 0
Resistance to stress 34 82.9 5 12.2 2 4.8
Biomass yield 41 100 0 0 0 0
Dual purpose 41 100 0 0 0 0
Repeated harvest 41 100 0 0 0 0
Leaf-to-stem ratio 41 100 0 0 0 0
Intake by animals 41 100 0 0 0 0
Seed yield 41 100 0 0 0 0
Marketability 41 100 0 0 0 0

Source: own survey, 2022

21
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
cal Panicum grass lasted for 3~4 months. Similarly, the
study reported by Zeleke et al. [23] from Amibara district
of Afar has elucidated that agro-pastoralists preferred
the improved Panicum grass over Rhodes and C. cilaria
grass due to higher establishment potential, the number of
multiple harvests per year, and high seed yielding poten-
tial. About 82.9%, 12.2%, and 4.8% of agro-pastoralists
reported that improved Panicum grass was very resist-
ant, resistant, and poorly resistant to different stresses,
respectively, as compared to the local one. They replied
that the improved Panicum grass was resistant to water,
nutrient, and disease/pest stresses by stating that Panicum
grass stays alive for up to a year in soil with less mois-
ture, while local Panicum grass easily vanishes after 2~3
months when exposed to moisture stress. Similarly, Has-
sen [22] reported that agro-pastoralists who were involved
in improving forage production ranked Panicum anti-
dotale grass first rather than Rhodes and C. ciliaris grasses
because it stayed green and vigorously for a longer period
without water. Moreover, all the agro-pastoralists (100%)
perceive the improved Panicum grass as dual-purpose
(seed and herbage) with repeated harvesting as compared
to local Panicum grass species. They highly preferred im-
proved Panicum grass over local ones because the former
provided seed as well as quality herbage after seed har-
vest, which was used as a source of feed for cattle, sheep,
and goats. In support of the results from the present study,
the studies reported by Hassen [22] and Abdullah et al. [37]
have shown that the cultivation of perennial forage crops
like Panicum antidotale grass provides the farmers with
available year-round feed sources for meeting the nutri-
tional requirements of the animals. They also mentioned
that high herbage production of improved grass with re-
peated harvest about five times per year is used as a source
of income for agro-pastoralists. Similarly, all agro-pas-
toralists agreed that improved Panicum grass has a high
leaf-to-stem ratio and is highly preferred by cattle, goats,
and sheep as compared to local Panicum grass. They were
raised to an astonishing idea by stating that the herbage of
improved Panicum grass is very soft and highly preferred
by their animals, while the local Panicum grass has high
stems rather than leafy, which leads to blood in the mouth
and lips of their animals. Correspondingly, a study report-
ed by Hassen [22] indicated that agro-pastoralists preferred
the Panicum antidotale grass over Rhodes and C. ciliaris
grasses due to its high performance in terms of herbage
yield and palatability by livestock species. Moreover, the
results from the present study were in line with Amakirin
et al. [38], who reported that high-value fodder crops like
Panicum grass are vastly preferable by Nigerian farmers
as dry season supplementary feeding.
22
Figure 6. Small-scale cluster based improved Panicum
grass cultivation in Alketekech Kebele of Dasenech dis-
trict
4. Conclusions
The results from this study revealed that improved
Panicum grass production has highly improved agro-pas-
toralists’ livelihoods through income generation by selling
green herbage and seed. Each agro-pastoralist who has in-
volved in improved Panicum grass production is now able
to feed their cattle, sheep, and goats; gifted fresh biomass
to their relatives; and exchange green herbage with goats
by using a bartering system. The mean net income per
household from the sale of green herbage and seed was
653,850 ETB per hectare per year. Based on the results,
we concluded that joint efforts are needed to step-up the
agro-pastoralists out of the poverty vicious circle through
promoting wide-scale improved Panicum grass seed and
herbage production and a commercialization approach
by linking products to market sources to transform agro-
pastoralists into productive and prosperous livelihoods.
Moreover, we have concluded that agro-pastoralists
should be involved in cattle and goat fattening practices
by using a mixture of legume-improved Panicum grass-
based feeding systems to enhance their income besides the
sale of seed and green herbage.
Author Contributions
Mr. Denbela H. prepared the proposal, secured the
funds, conducted research, collected data, and wrote and
edited the whole paper. Mr. Asmera A. participated in data
collection, analysis, drafting, and formatting the paper ac-
cording to journal protocol. Mr. Muhaba S. participated in
land securing, preparing, planting, and monitoring activi-
ties.
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Funding
This research activity was conducted funds from the
International Development Association (IDA) and the
International Fund for Agricultural Development (IFAD)
through the Lowland Livelihood Resilience Project
(LLRP) to improve livestock feed and feeding systems in
South Omo and to enhance resilience in pastoral areas of
Ethiopia.
Acknowledgments
This study was conducted with funds from the Inter-
national Development Association (IDA) and the Interna-
tional Fund for Agricultural Development (IFAD) through
the Lowland Livelihood Resilience Project (LLRP) of the
Regional Bureau of Pastorals in Southern Nation, Nation-
ality and People Regional State for the enhancement of
pastoral livelihoods in the South Omo. We are extremely
thankful to the LLRP experts in Hawassa and the South
Omo LLRP coordinating office for collaboration in on-
time budget release and other logistic support. Finally, we
are grateful to acknowledge Dassench Woreda Livestock
and Fisheries and Water and irrigation Offices, develop-
mental agents, and agro-pastoralists for their participation
and collaboration during this study.
Data availability
All data are available in the main text or in the support-
ing materials, and raw data can be obtained from the cor-
responding author upon request.
Conflict of Interest
The authors declare that they have no conflict of interest.
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Research on World Agricultural Economy

https://ojs.nassg.org/index.php/rwae

REVIEW ARTICLE
Macadamia Nuts (Macadamia integrifolia) Value Chain and Technical
Efficiency among the Small-scale Farmers in Zimbabwe
Wellington Bandason1* Cosmas Parwada2 Abbyssinia Mushunje3
1. Faculty of Agricultural Sciences, Women’s University in Africa, P.O. Box GD 32, Greendale, Harare, Zimbabwe
2. Faculty of Agricultural Sciences, Zimbabwe Open University, Midlands 16 Victory Road, Gweru, Zimbabwe
3. University of Fort Hare, South Africa

Abstract: Agriculture value chains are an indispensable tool for stakeholder collaboration, improving market access,
foreign currency generation and increase in macadamia nut production in most developing countries. In Zimbabwe
macadamia nut is a relatively new crop that has the potential to alleviate poverty and enhance livelihoods. Zimbabwe’s
macadamia nut industry is still in its infancy and remains an under-researched area. Despite this, the technical efficiency
of macadamia nuts production systems as proxied by production levels among small-scale farmers in the country is
least understood. This study analyses the existing value chains by scrutinizing every step required in the production and
marketing of macadamia nuts focusing on the technical efficiency of value chain nodes. The macadamia nut value chain
in Zimbabwe is predominantly an emergency value chain system that does not embrace the modular value chain model
and associated networks to enhance technical efficiency and overall welfare. The value chain system is characterised
by imperfect market conditions with limited knowledge of exact specifications, attributes and prices of macadamia
nuts. The existing value chain models for macadamia nut need to be re-aligned to accommodate all stakeholders, hence
widening resource and knowledge-sharing platforms. There is a need for the Zimbabwe macadamia nut value chain to
shift towards captive networks which embrace and scale out practices such as out-grower contractual arrangements.
There is potential to design macadamia nut value chain models in Zimbabwe to increase the technical efficiency of the
industry.

Keywords: Technical efficiency; Value chain analysis; Value chain model

1. Introduction
income countries [1]. Over the past decade, the global in-
Globally, macadamia remains at the forefront of nut crease towards healthy eating has driven the growth in the
consumption growth and the major consumers are high macadamia nut industry, increasing by 24% compared to

*Corresponding Author:
Wellington Bandason,
Faculty of Agricultural Sciences, Women’s University in Africa, P.O. Box GD 32, Greendale, Harare, Zimbabwe;
Email: wbandason@gmail.com

Received: 15 September 2022; Received in revised form: 14 November 2022; Accepted: 24 November 2022; Published: 1
December 2022

Citation: Bandason, W., Parwada, C., Mushunje, A., 2022. Macadamia nuts (Macadamia integrifolia) value chain
and technical efficiency among the small-scale farmers in Zimbabwe. Research on World Agricultural Economy. 3(4),
700. http://dx.doi.org/10.36956/rwae.v3i4.700

DOI: http://dx.doi.org/10.36956/rwae.v3i4.700
Copyright © 2022 by the author(s). Published by NanYang Academy of Sciences Pte. Ltd. This is an open access article under the Creative
Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) License. (https://creativecommons.org/licenses/by-nc/4.0/).

25
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
previous decade [2]. The world macadamia production and
consumption can be attributed to the growth in demand,
the popularity of the commodity, lucrative markets, popu-
lation growth and per capita income in Gross Domestic
Product [3]. While native to Australia, the nuts are now
grown in many countries, including South Africa, Kenya,
the U.S. (Hawaii), China, Guatemala, Malawi, Zimbabwe
and Brazil. The global demand for macadamia nuts is
driven by the wide application and use of processed tree
nuts in the food, cosmetics and personal care industries.
Nuts and dried fruits are rich in nutrients, bioactive and
antioxidants and are good for promoting a healthy life-
style [4]. Unlike other crop enterprises, the macadamia nut
industry has more revenue streams and lucrative markets
but according to ITC [5] and INC [6]. Zimbabwe is still lag-
ging behind in terms of production and export trade due to
rudimentary production systems, policy interventions, and
centralised markets for macadamia nuts. The technical
efficiency of macadamia nuts production systems in Zim-
babwe as proxied by productivity levels has declined from
approximately 54% in 2005 to 38% in 2020 [7]. The pro-
ductivity levels are below breakeven levels coupled with
unfavourable market prices which are on average 50% of
the global weighted prices. Smallholder farmers do not
possess the required technology to process nuts and they
sell raw nuts at cheaper prices, due to this, the margins are
highly tilted towards agents and intermediaries leaving the
smallholder at a disadvantage. The existing value chains
are not favourable to primary producers so they remain the
least beneficial cluster. Macadamia nuts regulations under
statutory 138 of 2019 give the government of Zimbabwe
authority to control and regulate marketing of macadamia
as well as promoting, protecting, and maintaining sales
of macadamia. Macadamia tree requires temperatures of
about 16 °C and an annual rainfall averaging 600 mm to
achieve good yield. At an ideal planting density of 312
plants per hectare, the crop can yield up to 31.2 t/ha per
year. However, in Zimbabwe the average yield is 7.2 t/ha
per year with droughts and heavy frost noted as major
problems in macadamia production [8].
Macadamia trees have been known to thrive in areas
where average yearly rainfall is only about 600 mm, pro-
vided it is well distributed. Once the trees have become
well established, they will survive considerable periods of
drought [8]. Macadamia nuts are the fruit of the evergreen
macadamia tree and the three species with commercial
importance are Macadamia integrifolia, Macadamia terni-
folia and Macadamia tetraphyla [9]. Only two species are
grown for their edible nuts; Macadamia integrifolia and M.
tetraphyla. The M. tetraphylla is more adaptive to cooler
climate and has rough shelled bush nuts while the Maca-
26
damia integrifolia has a smooth nut surface and is adap-
tive to diverse agro-climatic conditions. In Zimbabwe,
Macadamia integrifolia is commonly grown in the cooler
parts of the Southern Eastern districts. According to INC [6],
macadamia nuts have a subtle, buttery flavour and velvety
soft crunch that make them highly regarded by consum-
ers. They are perfect as a snack, breakfast topping, in sal-
ads or as part of main meal, either raw, roasted or salted,
or with flavourings [6]. The macadamia nuts industry has
multiple revenue driven by the wide application and use
of processed tree nuts in the food, cosmetics and personal
care industries [4].
Globally, Australia and South Africa alone produce
50% of the world macadamia production [8]. According to
Mbaka [10] the technical efficiency levels of macadamia
nuts production systems in most African countries have
not been in sync with the market demands for raw nuts
across the various value chain nodes. This further points
to the need to re-align the value chain models with the
realities of the stakeholders’ capabilities, institutional ar-
rangements and marketing networks. In Africa, lessons for
successful implementation of value chain models can be
traced to for example Kenya [11,12]. Zimbabwe needs to run
while others walk towards increasing production and its
market share of macadamia exports in the global market.
This review argues that there is evidence showing that
macadamia nuts production, processing and consump-
tion as the value chains remain technically inefficient and
do not enable smallholder farmers to access high value
markets. Even in these contexts, there are challenges such
as the lack of information on the cultivars, lack of aware-
ness on agronomic practices, price volatility, inconsistent
market information and poor handling of the nuts after
harvesting that limits the growth of the industry [13].
The main observation from literature is that major
macadamia nut production and marketing challenges are
attributed to poorly designed and malfunctioning value
chain models [14]. Mazhar and Méon [15] allude and note
that the marketing of macadamia nuts could also be af-
fected by the involvement of intermediaries, the poor
physical condition of markets, and an absence of modern
infrastructure and logistical arrangements, such as stor-
age, transportation and modern grading equipment. It has
also been noted that, the distribution of profits among the
value chain participants is uneven with small-scale grow-
ers receiving a relatively low share of the price paid by
consumers [16]. Furthermore, they contend that the exclu-
sion of small-scale farmers from the mainstream macada-
mia value chain functions has crowded out these farmers.
A value chain analysis needs to be conducted to examine
the current and future aspects of the macadamia industry
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

in Zimbabwe. With the global macadamia consumption duction showed a continued growth, adding up to more
expected to increase, efficient production and market link- than 60,000 tons in 2019 [20]. In 2009, the total supply of
ages could be an advantage for smallholder farmers. macadamia nuts was 28,000 tons, which translates into
Current recommendations for research show that agri- 57% increase of the past decade [21]. Macadamias consti-
cultural diversity has also emerged strongly as an option to tute a small sub-sector of all nuts on the world stage mar-
reduce the food and income insecurity risks among small- ket, with only 1.28% of the total market share [22]. Maca-
scale farmers in Zimbabwe. In the Eastern region of Zimba- damias are still viewed as a luxury crop but world exports
bwe, macadamia nuts have been widely adopted as a hedge continue to indicate a growth driven by a rapid increase in
against the underperformance of traditional crops such as production and world demand [23].
maize [17]. Given the favourable climatic conditions of some From Table 1 it is clear that South Africa and Australia
areas e.g., Chipinge which favour the growing of macadamia each had a 27% share in macadamia production. This can
nuts compared to other crops like maize and other cereals, be attributed to the extended area under production, new
macadamia nut production can make farmers to be income varieties and continuous investment in the macadamia
secure because of the increase in global demand. Macadamia nut industry in South Africa and Australia. In 2019, South
can potentially reduce poverty since it is a high value crop Africa had 44,775 hectares under macadamia production,
with a low-input requirement of about US$2300/ha com- with 2019 seeing 5,962 new hectares planted [24]. Aus-
pared to US$3100/ha needed for commercial tobacco. An tralia’s macadamia nut area planted increased from 18,000
exploratory survey conducted by AGRITEX [18] revealed that ha in 2011 to 26 000 ha in 2019 [25]. In Kenya for example,
there are 530 farmers who are into macadamia nut farming in macadamia nuts production is dominated by smallholder
the Manicaland province of Zimbabwe. These farmers have producers. More than 100,000 mostly small-scale farmers
an average yield of 11.9 t/ha/per year cropping on average 0.3 are cultivating the trees primarily in mixed cropping with
ha per household, but they are failing to realize handsome coffee and other products [4].
profits because of lack of processing technology and poor
market access. According to AGRITEX [7], the marketing of Table 1. Major macadamia nut producing countries (metric
macadamia nuts is controlled by only five companies namely tons): Kernel basis.
Parrogate Pvt Ltd, Cropate, Mac Nut Company, Afri-China Countries Kernel Basis (Metric Tons) % share
and Sime. A study by Barrueto, Merz [19] noted that farmers South Africa 144,288 27
are able to practice modern production techniques which Australia 144,192 27
they understand and have technical know-how. However, the Kenya 7,002 13
value chain impetus for this from the social, economic, in- USA 4,153 8
stitutional frontiers is currently lacking in Zimbabwe, hence China 3,859 7
the noted low productivity levels among small-scale farmers. Guatamela 2,190 4
As such, although the macadamia nut industry has the poten- Malawi 1,620 3
tial to contribute significantly to sustainable development in
Brazil 1,450 3
Zimbabwe, it is also confronted by low productivity and inef-
Zimbabwe 43 0.008
ficient market for the commodity and these have an effect of
Others 4,172 8
reducing the potential of the industry through a reduction in
the profitability. Therefore, understanding value chain actor Source: INC (6)
behaviour, dynamics and opportunities about the functioning
of macadamia nut value chains is critical for designing ap- Table 2. Leading world exporters of macadamia
propriate strategies to improve their efficiency. The findings
Rank Exporters Tons 5-year growth %
of this paper will enable developing countries to craft policy
1 South Africa 37,440 5.89
shifts that encourage increased production and marketing of
2 Australia 23,057 32.02
macadamia nuts.
3 Hong-Kong 10,897 –10.02
1.1 A Global Overview of Macadamia Nut Lead- 4 Zimbabwe 7,426 21.60
ing Producers and Exporters 5 Guatamala 6,792 19.99
6 USA 5,760 9.41
The world macadamia nut production can be broadly
7 Kenya 5,322 1.70
defined either as the production tons measured in the nut
8 China 4,572 6.17
in shell (NIS) or based on the kernel basis, which excludes
the mass of the shell. Using the former metric, world pro- Source: ITC (5)and INC (6)

27
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
With exports of 37,000 tons in 2019, South Africa is the
top exporter of macadamia nuts globally (Table 2). In the last
five years, its market share has increased at a consistent 3%
rate. Australia with 23,057 thousand tons and Hong-Kong at
10,897 tons emerged the second- and third-best exporters in
2019, respectively [5]. Zimbabwe is currently exporting maca-
damia as raw nut-in-shell (NIS) worth about US$4.2 million,
at an average of US$2.65/kg, thus contributing to the global
value of about US$317 million [5]. This is against the alterna-
tive value added (cracked to release the kernel) nut which
can be sold at US$4.85/kg [5]. This pattern shows the income
potential that is there but not being exploited by producers
in Zimbabwe. Additionally, other private stakeholders can
also take advantage of the investment opportunities along the
value chain. Zimbabwe is thus part of the emerging produc-
ers of this relatively young and unknown nut in the world’s
nut selection, forming a mere 1.2% of total global tree nut
production [24]. There is scope for expansion in production,
marketing and processing activities if macadamia nuts value
chain fundamentals are well understood and documented.
1.2 The Value Chain Context of Macadamia Nuts
in Zimbabwe
The value chain approach traces the connections from
buyers to the producers (farmers in the case of the maca-
damia nuts). As this is done, gaps become evident and
form the basis for establishing priorities for action. Given
that the Zimbabwean macadamia nut farmers sell NIS,
they have not been generating income comparable to other
producers in the world who sell processed nuts at a price
which is almost double that offered to Zimbabwean farm-
ers. More than 75% of the macadamia production in Zim-
babwe is rain-fed. The small-scale macadamia nuts farms
are 0.3 to 3 hectares on average. Small-scale farmers are
producing less volumes of macadamia nuts which fail to
meet the demands of organized and international markets,
further, they do not have access to required inputs and
market information. Studies however show that house-
holds can boost rural employment and generate income [26]
through processing and value adding [27]. Figure 1 shows
the macadamia value chain in Zimbabwe while highlight-
ing the missing links which are compromising its effi-
ciency. The fundamental aspects of the value chain hinge
on the coordination of various sub-systems to sustain the
broader development of synergies among stakeholders for
the common goal of strengthening the value chain. The
implications of all these interactions need to be viewed
from the lens of the value to be extracted from partici-
pating in the various functions along the value chain.
Macadamia nuts in Zimbabwe pass through several other
formal and informal value chain nodes as consumers have
28
potential to access product from several other actors, indi-
cating governance challenges in this value chain. There is
a dearth in knowledge on how decisions to participate on
a stakeholders’ interaction platform are made by emerging
strategic crop value chains such as macadamia nuts.
In Zimbabwe, as opposed to other countries such as
South Africa and Kenya, the value addition dimension
is still the missing link in the macadamia nut business
cycle since most farmers sell NIS raw nuts at unfavour-
able prices [8]. There is also untapped potential to increase
access to production resources, enhance marketing op-
portunities, reduce poverty and improve the quality of life
of the poor through improved incomes and employment.
It is therefore critical to conduct a study that looks at the
costs, returns and profit distributed along the macadamia
nuts value chain by each actor. This study seeks to bridge
the research gap in terms of the value chain including
the linkages and relationships between actors especially
between the farmers and middlemen, producers, transport-
ers, buyers and consumers as well as the whole range of
activities required to produce macadamia nuts from the
farm to the final market.
2. Value Chain Models Used by Agricultural
Stakeholders
There is limited information on whether it is purely pol-
icy bias that has kept small-scale macadamia nuts farmers
out of viable markets or it is a combination of household
specific decision-making processes and the value chain
models that are not adequately accommodative. UNIDO [28]
observed that within the framework of product-income
flow processes and networks, there is a notable distinction
among a number of value chain models. The defining dif-
ferences across these value chain patterns are the trade-
off that has to be made between the benefits and risks in-
volved when decisions regarding how outsourcing of key
ingredients such as information and production resources
are made. These fundamental decisions are the key driv-
ers of commercialisation prospects for agricultural enter-
prises in the small-scale sectors of southern Africa [29]. The
value chain models patterns encompass a continuum of
power asymmetry and explicit networking mechanisms
bounded by the pure market-based model at the lower
end and the hierarchy-based models on the upper end. For
stakeholders in their various decision-making contexts to
understand where macadamia nuts have fallen short, there
is need to trace the dominant existing value chain models
practised by the small-scale macadamia nuts markets of
Zimbabwe, as is the motivation of this study. A simplified
value chain from which all the aforementioned models
have emerged is illustrated in Figure 2.
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Figure 1. Macadamia nuts value chain

Source: Adapted from Scheepers [25]
[25]
Figure 1. Macadamia nuts value chain
Source: Adapted from Scheepers [25]

29
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Figure 2. A simplified value chain model
Source: Adopted from Sanogo (2010)
Characteristically, the arm’s length market model is
the most rudimentary value chain model [30,31]. As such,
most small-scale farmers find solace in participating in
this model structure because buyers and suppliers are not
necessarily closely related because the product involved
is apparently logically standardised [32]. However, this has
not been the case with macadamia nuts farmers because
in literature there are reports that farmers and processing
firms are not meeting the demands of customers in various
critical success factor pillars such as the quality, pricing
and reliability of supply. This can therefore be attributed
to land allocation decisions which do not accommodate
macadamia nuts across geo-spatial locations in Zimba-
bwe, therefore creating artificial shortages of the product
in potentially viable markets, while at the same time
negatively impacting on the income generating capacity.
The argument against this value chain model is that, if any
challenges become apparent with the product, then buyers
cannot easily switch to a new different supplier in the pro-
duction zone. This is because the supplier is not available
or will need substantial time to provide the macadamia
nuts given its production cycle. This has created a disin-
centive for macadamia nuts utilisation by local processors
especially in the food industry because it becomes risky
given that the small-scale producers can easily have an
upper bargaining hand using price as the core governance
tool [24]. However, experiences in Kenya show a different
picture where small-scale macadamia nuts farmers in the
southern and drier parts have strong direct linkages with
processors in multiple nodes [8]. The study therefore ar-
gues that the lessons from these environments can be used
to meaningfully support the participation of macadamia
nuts farmers in Zimbabwe if the model is restructured to
suit the local contexts.
Given experiences in Zimbabwe, the immediate ques-
tion then becomes whether the macadamia nuts value
chain stakeholders embrace the modular value chain mod-
el and associated networks to enhance technical efficiency
and overall welfare. As noted by UNIDO [28], in this ar-
rangement, the firms develop information-intensive link-
30
ages with clearly defined core competences among them-
selves. The buyer then comes on board and determines
what is to be produced in terms of the quantity, design
and product specifications. This provides an opportunity
for the highly competent suppliers to provide the product
at the shortest notice since they have a cluster of product
specifications readily available at their disposal. Small
scale macadamia nuts farmers in arid and semi-arid zones
of Zimbabwe have failed to capitalise on this attribute of
consumers through networks which foster information
sharing intensity and allowing buyers to gain confidence
in their competence as suppliers. According to Munoz-
Pina, De Janvry [33], examples of modular value chain
model linkages are successfully exhibited in financed
value chains where buyers are committed to few suppliers
such as in contractual arrangements. Sadly, embracing this
approach has manifested in the form of macadamia nuts
processors choosing the reliable supplies from the large-
scale producers. This has a negative bearing on the sus-
tainability of the small-scale macadamia nuts enterprises
as farmers end up having no reliable markets to supply
their produce.
It can therefore be argued that, given the prevailing
scenario in the small-scale macadamia nuts sector, the best
way is to shift towards captive networks which embrace
and scale out practices such as out-grower contractual ar-
rangements [34]. Alternatively, a hierarchical value chain
model which is characterised by various forms of vertical
integration can be adopted. The strategy will be to isolate
some lead firm which takes overall control and ownership
of some strategic production operations [33], given that
competent farming households cannot easily be found or
it is difficult to codify desired products such as macada-
mia nuts. In the medium to long term, this evolution will
have direct implications on domestic and international
trade along multiple macadamia nuts value chain nodes [35].
This will naturally trigger changes in consumer tastes
and preferences and have a net effect on land allocation
decisions towards the crop and its marketing along many
channels.
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
2.1 Determinants of Emerging Value Chain Mod-
els Used by Macadamia Stakeholders
As alluded to by Scheepers [25], there are numerous de-
terminants of using the value chain models in agricultural
organisations. These emanate from within the organisa-
tions and from within the wider agriculture sector and are
usually context specific depending on the sector’s perfor-
mance. The modern perspective acknowledges that there
are intricate and overlapping relationships among these
various factors. This, according to Quiroz, Kuepper [8]
creates additional pressure on the decision makers to opt
for the traditional models as a hedge against the potential
numerous risks of emerging value chain models’ manage-
ment requirements if not well coordinated. This refined
perspective therefore looks at these core determinants of
value chain model choices in the context of possible value
creation. The foremost factor is the consideration for the
transaction costs associated with the collaboration partners
in most modern value chain models. Fundamental to this
process, the macadamia nuts stakeholders need to com-
mence the search for alliance partners by weighing the
potential of a prospective partner to possess sustainable
harmonising resources which can enhance networking ac-
tivities including the skills to coordinate the coordination.
As such, in most of these decisions, the complementary
resources factor acts as the major driver of cooperation
and precedes the other factors such as the potential for
value creation. However, Parshotam [34] suggests that the
composite set of factors including knowledge-sharing rou-
tines (KSR), complementary resources, relation-specific
assets (RSA) and effective governance (EG) are sources
of value creation and co-determine the use of value chain
Figure 3. Factors affecting the use of value chain models
[38]
Source: Adopted from DAFF
models by stakeholders. This matrix is presented in Figure
3 below.
Limited KSR among the small-scale farmers hinders
continuous production of high-quality nuts, market ac-
cess, value addition, and adoption of competitive pricing
among macadamia nut producers in Zimbabwe. The ex-
cellent uses of macadamia nuts like apple crisp, roasted
nuts give green salads crunch, and chopped macadamia
nuts give white chocolate biscuits a buttery flavour have
limited market in Zimbabwe, affecting its demand and
price in the local market. Macadamia value chains in
Zimbabwe face challenges related to RSA and GA, through
limited financial and policy support. However, Munoz-Pina,
De Janvry [33] further expounded this argument and posited
that the decision makers need to comprehensively inter-
rogate the dynamic relationships among these sources of
value creation, as well as the weights assigned to them by
various stakeholders as they consider venturing in value
chain alliance relationships.
The complexity of emerging value chain models as
presented by Scheepers [25] are that the macadamia nuts
stakeholders need to closely assess availability of tangible
resources such as equipment or intangible resources such
as knowledge or a combination of the two. These factors
guide decision making since they influence the levels of
future investments in RSA and/or KSR for creating long-
term collaborations from the value chain relationships. In
most instances, given the nature of the value chain func-
tions, in many alliances, the value is created by merging
tangible assets. In these instances, the stakeholders benefit
from leveraging and exploiting complementary physical
assets in the value chains. This study argues that this sce-
nario significantly crowds out the small-scale macadamia
31
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
farmers who have no high value assets and resources to
bring on to the alliance platform. As such, as a way of
adding to the body of knowledge, designing an appropri-
ate value chain networking framework becomes unavoid-
able for the macadamia nuts industry at this stage.
Scheepers [25] further argues that another important fac-
tor in the use of emerging macadamia nuts value chain
models the nature of the arrangements in alliances. For
example, they posited that in cases of supplier–buyer al-
liances which are termed to be vertical, within physical
product industries such as macadamia nuts, value is cre-
ated through coordination along the complementary tangi-
ble assets. These alliances are more likely to benefit in the
initial stages from investments in RSA. In contrast, using
experiences from Kenya. Quiroz, Kuepper [8] argues that
the value chain alliances that are designed after consider-
ing factors including intangible resources such as knowl-
edge are more likely to benefit from future and reliable
investments around the KSR factors while creating value
in the execution of functions.
In the Zimbabwean case, statistics from SAMAC [24]
suggest that the main factors considered in the use of
emerging value chain models revolve around government
policy. Poor understanding of statutory instrument 138
of 2019 by small-scale producers may affect their market
participation and penetration. The argument is that most
government strategies that have been recently put in place
to manage macadamia nuts, just like most agricultural en-
terprises are generally unproductive, as shown by reduced
economic benefits. Based on South African observations,
there is further consensus from Scheepers [25] that the lack
of commitment from practitioners in the macadamia nuts
industry to adopt and reinforce a stakeholder inclusive
approach in the design of policies has weakened the in-
dustry’s productivity and created additional technical ef-
ficiency challenges. There is therefore need to realign the
targeted macadamia nuts policy interventions and place
significant emphasis on favourable domestic prices, train-
ing programmes in emerging practices and consolidation
of regulatory institutions’ mandates. All these factors have
a bearing on the appetite of macadamia nuts value chain
stakeholders to engage in collaboration activities as in-
formed by emerging value chain models.
2.2 Economic Analysis through Applying the Val-
ue Chain Concept to Macadamia Nuts
It is one of the aims of this study to also identify chal-
lenges facing the Zimbabwean macadamia nut value
chain. Macadamia imports to Europe increased in recent
years because of the nutritive value of the nuts and their
emerging uses in food products. They are mostly con-
32
sumed as roasted and salted snacks and in snack mixes.
Key countries of origin are South Africa, accounting for
42% of total imports in 2018, followed by Kenya with
24% and Australia with 18%. Other origins all accounted
for less than 10% each [8]. Most macadamia farmers in
Zimbabwe are smallholders with limited livelihood op-
tions other than subsistence agriculture and small-scale
farming. As such the full potential of the macadamia nut
industry is yet to be realized. Smallholders tend to lack
perfect knowledge of their products. This has resulted in
the average price of the macadamia nuts obtaining in Zim-
babwe being low compared to other countries. This there-
fore points to the existence of a problem within the value
chain.
2.3 Stakeholder Networking and Technical Effi-
ciency in Macadamia Value Chain Nodes
The Zimbabwean macadamia nut industry seems to ex-
hibit imperfect market conditions, characterized by insuf-
ficient product and market knowledge. Buyers and sellers
may be lacking adequate knowledge with regard to the
exact specifications, attributes and price of the macadamia
nuts that they demand or supply. Regardless of the limited
value additions on the macadamia, experts still see growth
opportunities in international markets for the nuts like in
Europe. The Zimbabwean farmers can utilize these oppor-
tunities if the quality standards of buyers can be fulfilled.
Value chain participants search and collect informa-
tion on the value and properties of their product such as
transaction costs, coordination and management costs,
value chain activities and governance structures between
buyers and sellers [36]. Understanding of transaction cost
economics, transaction costs may be lowered through ver-
tical coordination and integration [37]. Gaining control over
transaction costs through vertical coordination/integration
improves the competitiveness and thus market position of
a business by leaving greater gains/profits to be distrib-
uted amongst value chain participants in the coordinated/
integrated value chain. This research expects to prescribe
policies that will lead to the macadamia nut value chain
participants in Zimbabwe (particularly the farmers) real-
izing greater and equitable profits. The terms of transac-
tions, especially price, are determined by the balance of
power between buyers and sellers, a balance that is unpre-
dictable and unstable and which might lead to asymmetric
price transmission between value chain participants [38].
The major buyers of Macadamia nuts in Zimbabwe are
Parrogate Pvt Ltd, Cropate, Mac Nut Company, Afri-
China and Sime. The low prices offered to the farmers
by these buyers point to a collusive oligopolistic market
which seems to be a problem within the value chain.
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Industry actors can be identified through value chain
analysis. Through value chain analysis mapping of posi-
tions of industry actors and accounting for individual
actors’ activities is done. It thus also accounts for the gov-
ernance and structure of production that dictates how the
chain operates identifying who controls the diffusion of
technology, standards, value creation and distribution of
rent along the value chain [39,40]. Information obtained from
this research will thus help design appropriate policies and
development interventions, thus improving the position of
marginalized groups such as smallholder farmers falling
along the chain. Furthermore, agribusiness value chains,
of which the macadamia nut value chain is part of, are the
subject of great interest amongst governments and devel-
opment partner institutions. They are viewed as pathways
for economic growth for developing countries since they
do not only contribute to rural livelihoods, but also to pov-
erty alleviation if practiced in a sustainable manner [28,41,42].
On the other hand, a World Bank Report [43] contended
that investments in agriculture have a quadruple impact on
the economy compared to other sectors. Thus, understand-
ing the macadamia nut value chain is projected to have a
positive impact on the lives of the small holders and the
economy in general. The inefficiency of the value chain
can be a problem in the chain and the proposed study is
intended to meet this challenge by mapping, analysing and
making policy recommendations with the aim of improv-
ing the macadamia nut value chain in Zimbabwe focusing
on the Manicaland province.
3. Conclusions
Appropriate value chain modelling has been a source
of competitive advantage among macadamia nuts firms
as is with many businesses. There is limited uptake of
these emerging and effective value chain models among
the firms in the macadamia nuts industries due to numer-
ous and overlapping factors emanating from the society,
the economy, institutions, the policy environment and
the wider global community. Apparently, the macadamia
value chain in Zimbabwe was constrained by limited in-
tegration into the global market, poor market access, lack
of processing technologies, inconsistent institutional ar-
rangements, price volatility, inconsistent market informa-
tion and poor handling of nuts. Limited motivation from
social, economic and institutional frontiers in Zimbabwe
contributes to low technical efficiency in the macadamia
nuts value chain. Particularly, untapped potential to in-
crease access to production resources, poor marketing
opportunities, high poverty levels and poor quality of
life have significant impact on the technical efficiency of
macadamia nuts production in Zimbabwe. This cocktail of
developments has significantly compromised how maca-
damia nuts producers’ response to technical efficiency
challenges using emerging methods within the value chain
contexts. The ultimate effect is that the macadamia nuts
stakeholders, especially the producers, have not extracted
optimum value from their operations due to limited access
to resources, information and core knowledge on the value
chain platforms. Going forward, it becomes unavoidable
for various structures at social, economic, institutional,
and policy levels to be designed in ways which respond to
changes in the value chain modelling landscape.
To increase technical efficiency through enabling di-
versification along strategic value chains and across value
chains, the governments of Zimbabwe need to adopt a
more direct and rigorous policy approach. This will mo-
tivate the production of macadamia nuts in the country.
Further, there is a need to build a funding mechanism
for small-scale macadamia farmers to access to improve
their technical efficiency. Gradual reduction of value
chains length and regulating the existing markets is nec-
essary. Revitalisation of the technical capacity of small-
scale macadamia farmers through improving access to
production resources and enhancing their production and
marketing skills should be done. The formation of a board
that addresses all the needs of the small-scale farmers of
macadamia will be necessary for them to have improved
market access, facilitate training and have a better price
bargaining power. One of the critical success factors for
the industry is to improve competitiveness and optimize
value adding, whilst at the same time enable broader mar-
ket access. A value chain analysis should be conducted to
examine the current and future aspects of the macadamia
industry in Zimbabwe.
Author Contributions
The corresponding author conceived of the paper, gath-
ered the appropriate literature review articles, and wrote
the first draft of the manuscript. The other authors read
and approved the final manuscript.
Data availability
Not applicable.
Conflict of Interest
The authors declare that they have no conflict of interest.
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Research on World Agricultural Economy

https://ojs.nassg.org/index.php/rwae

RESEARCH ARTICLE
Access and Control of Resources by Rural Women in North Shewa
Zone, Amhara Region, Ethiopia
Abiro Tigabie1* Beneberu Teferra2 Amsalu Abe2
1. International Crop Research in Semi-Arid Tropics (ICRISAT), P.O.Box 5698, Addis Ababa, Ethiopia
2. Amhara Agricultural Research Institute Debre Birhan Agricultural Research Center, P.O.Box 112, Debre Birhan,
Ethiopia

Abstract: Gender is one of the crosscutting and the prime importance of any development plan and intervention.
Rural women play vital roles in agricultural activities to reduce poverty and food insecurity. This study focuses on
gender equality in the access and control of agricultural and rural household resources by rural women. The study was
conducted in Bassonawerana, Kewot, and Moretinajiru districts of Northern Shewa Zone Amhara region Ethiopia.
Data were collected using individual interviews, key informant interviews, and focus group discussions. A total of 252
respondents were selected using purposive sampling, categorical, and then simple random sample selection techniques.
Descriptive statistics and Harvard analysis techniques were used to assess the access, control, and utilization of
agricultural and household resources in rural areas. Most of the respondents were married. 95% of the study households
depend on agricultural activities of crop and livestock farming. The average family size was 5 in which 3 of them
were involved in agricultural activities. The average level of education for the households was 2.5 years. Women were
involved in on-farm and off-farm income-generating activities but most women had limited access to extension services
and agricultural-related training. The benefits of different resources were shared by all family members equally except
institutional resources. Poultry was predominantly owned by women while other livestock resources and land resources
were owned by both men’s and women’s family members. Provision of women-targeted training and agricultural
extension services focused on how to access and control institutional and household resources are vital to enhance their
access to institutional resources and improve the production and productivity of women in the rural household and the
entire community for livelihood and food security improvements.

Keywords: Access; Benefit; Control; Equality; Gender

*Corresponding Author:
Abiro Tigabie,
International Crop Research in Semi-Arid Tropics (ICRISAT), P.O.Box 5698 Addis Ababa, Ethiopia;
Email abirotgb723@gmail.com

Received: 25 October 2022; Received in revised form: 7 December 2022; Accepted: 15 December 2022; Published:
30 December 2022

Citation: Tigabie, A., Teferra, B., Abe, A., 2022. Access and Control of Resources by Rural Women in North Shewa Zone,
Amhara Region, Ethiopia. Research on World Agricultural Economy. 3(4), 751. http://dx.doi.org/10.36956/rwae.v3i4.751

DOI: http://dx.doi.org/10.36956/rwae.v3i4.751
Copyright © 2022 by the author(s). Published by NanYang Academy of Sciences Pte. Ltd. This is an open access article under the Creative
Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) License. (https://creativecommons.org/licenses/by-nc/4.0/).

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

1. Introduction agricultural-related information, training, improved tech-

nologies, and extension services.
Gender issues are of prime importance in the present Although awareness of the importance of gender equal-
time, in addition, access to and control over resources is a ity in agricultural policies in improved trends, key gaps
vital concern to think about it. Rural households depend
that inhibited the access to and control of productive
on a wide range of agricultural resources and household
resources predisposition resource ownership positions of
assets for their livelihoods including land, water, trees, and
rural women. Women received less access to extension
livestock. Access refers to the ability to use and benefit
services and production inputs than men [6]. In the produc-
from specific resources (material, financial, human, social,
tion constraint assessment study, rural women lack access
political, etc.) whereas control over resources also entails
to and control of agricultural production resources [8]. This
being able to make decisions over the use of that resource.
situation needs to assess the status of access to and control
According to Paul and Meena [1], access is referred to as a
for the main production resources.
right and opportunity while control over referred to as the
The study was conducted to assess the access to and
right and power over resources.
control for the basic economic resources and services and
Access to production resources of land, extensions,
the distributions of agricultural and household resources
and other institutional services ensures the reduction of
in rural households and to identify the available institu-
poverty and food insecurity [2]. As FAO [3] explained, “If
tions contributing to empowering women’s access to and
women in rural areas had the same access to productive
control for production resources.
activities as men, agricultural and farming production
would increase, and could feed approximately 150 million 2. Methodology
more people.”
Rural women play various roles in agricultural pro- 2.1 Area Description and Sample Selection Methods
duction to increase productivity and enhance economic
The study was conducted in Bassonawerana, Kewot,
growth and reduce poverty [4]. They participate along with
and Moretinajiru districts in the North Shewa zone of
the entire agricultural value chain activities, as producers,
Amhara Regional state, central highland Ethiopia. The ar-
distributors, processors, and marketers [5]. Rural women
eas represented different farming practices and social and
were involved in farm and non-farm enterprises and cov-
economic setups. Furthermore, the study areas represented
ered 42% and 60% of labor demand respectively [6]. Data
different agroecology of high, low, and mid-altitudes.
from the UN Food and Agricultural Organization [3] show
that 43% of the agricultural workforce in developing 2.2 Sampling Methods
countries and 50% in Asia and Africa is made by women.
The importance of agricultural resources and exten- The samples were selected using different approaches.
sion services is vital for rural women, while their access The study areas were selected using purposive sampling
to resources and services is limited (Farming First) [7]. methods and three kebeles were selected randomly from
Women have less access to land and other factors of pro- each study area. Households were grouped into married
duction resources than men [6]. Despite women making up and single which were men and women-headed house-
the biggest workforce in food production, processing, and holds. A total of 252 (181 married and 71 single) repre-
preparation, little is known about how women access and sentative samples were selected in simple random sam-
control production resources. Gender variation exists in pling techniques (Table 1).

Table 1. Area characteristics and sample respondents by the study area

Rural households Temperature (°C) Rainfall (MM) Altitude (masl)
District Sample selected
Male Female Min Max Min Max Min Max
Bassonawerana 18859 10080 88 –2 20 950 1200 1500 3200
Kewot 9992 8778 85 13.3 29 600 900 1500 2500
Moretinajiru 14932 2253 79 18 32 850 1100 1340 2960

Source: Abiro et al. (2017)

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
2.3 Data Collection and Data Analysis Techniques
2.3.1 Data Collection
Both primary and secondary data were collected from
published and unpublished resources. The primary (cross-
sectional) data were collected using focus group discus-
sions, key informant interviews, and individual interview
techniques from the selected respondents with the survey
instruments.
2.3.2 Data Analysis
The qualitative interview was analyzed using both
deductive and inductive content analysis. The cross-
sectional data were analyzed using STATA software pack-
age version 16. Descriptive statistics of mean, percentage,
standard deviations, and frequency were used when nec-
essary to evaluate the status of the most important study
variables.
The most common gender analysis tools and frame-
works (Harvard framework) Harvard gender analysis tool
was used to evaluate and document the differences in the
gendered access and control of resources of land, live-
stock, income, or extension information [9,10]. The Harvard
analysis technique was used to identify the available re-
sources and clarify who has access to resources and who
controls their use in relation to the resources identified.
Using the Harvard analysis method answered the ques-
tions that who has access to and control over resources
and who has access to and control over benefits (training,
income, education, or services) were answered.
The other gender analysis tool used for the study was
Social Relations Framework or Social Relation Approach
developed by Naila Kabeer. The tool was used to assess
the extent of gender inequalities created, maintained, and
reproduced in micro institutions (the household and com-
munity). The framework uses concepts rather than tools to
concentrate on the relationships between people and their
relationship to resources and activities - and how these
are reworked through ‘institutions’ such as the households
and community. The Social Relations Approach (SRA) is
a method of analyzing gender inequalities in the distribu-
tion of resources and power for designing policies and
programs that enable women to be agents of their develop-
ment Useful gender analysis framework handbook [11,12].
Indexes were developed for the different resources
available in rural households to identify the access and
control over resources in the rural livelihood system par-
ticularly, whether by men, women, or jointly in the study
areas. The results were reported concurrently based on the
38
quantitative data and supported by the qualitative data in
explanatory methods in narrations, tables, and figures.
3. Results and Discussions
3.1 Demographic and Socioeconomic Character-
istics
The main family members in rural households include
heads, spouses (for married), sons, and daughters. Those
family members have definite labor contributions for on-
farm and off-farm household economic activities. The
primary family member who was respondents were 100
percent women. The second family member who was men
was 88 percent. Of those 72 percent were couples in the
married respondents and 16 percent were sons for the sin-
gle respondents.
Socioeconomic characteristics and participation in
agricultural activities
The rural women involved in agricultural activities and
access to and control for various resources, information,
extension services, and technologies mainly influenced
by marital status. The majority (72 percent) of them were
married and live with their spouses. The remaining were
single due to being divorced, widowed, and unmarried.
The average family size was 5 per household with a po-
tential of 3 agricultural labor force (2 males and 1 female
family member) involved in income-generating activities.
The average level of education in years of schooling per
household was 2.5 years (Table 2).
Age, years of living in the study area, and a number of
people relayed for critical support. On average they lived
about 25 years with a minimum of 1 and a maximum of
70. Most of them had relatives and non-relatives in their
villages and outside their villages, and they believed in
them during critical issues. Their average age was 39 with
a minimum of 18 and a maximum of 70 was the produc-
tive and potential age for critical decision-making in
household management and livelihood improvement (Ta-
ble 3).
3.2 Dependence Status of the Community during
Critical Challenges and Social Network
Most people relied on their relatives and non-relatives
during critical issues to support their lives consistently.
The majority did not rely on government support during
agricultural production fallers. Half of them know and
have relatives and friends in leadership positions to share
new ideas and information (Table 4).
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Table 2. Demographic characteristics and agricultural labor contribution

Variables Mean St. Dev. [95% Conf. Interval]
Average male family members involved in agriculture 2 0.08 1.68 - 2.02
Average female family members involved in agriculture 1 0.07 1.41 - 1.69
Average family size 5 0.11 5.18 - 5.61
The average level of education in the household in years 2.52 0.25 2.04 - 3.01
Years of experience in agriculture 20.14 0.65 18.86 - 21.42

Source: Own survey data analysis

Table 3. Relatives and non-relatives people relayed critical issues

Variable Mean Std. Dev. Min Max
Age 39.04 11.02 18 70
Number of years living in this area 24.65 14.35 1 70
Number of relatives relay in critical issues in your village 6.69 13.28 1 100
Number of non-relatives relay to critical issues in your village 5.57 5.48 0 45
Number of relatives relay in critical issues outside your village 6.63 12.38 1 100
Number of non-relatives relay to critical issues outside your village 6.448 9.94 0 60

Source: Own survey data

Table 4. People’s dependence on others and the government during critical problems
Dependence and social relationships Response Percent

Yes 79.76
Do you have peoples you can rely on for critical issues within this village
No 20.24

Yes 75.79
Do you have peoples you rely on for critical issues outside this village
No 24.21

Yes 47.22
Do you rely on government support during agricultural production fallers?
No 52.78

3.2.1 The Social Groups and Their Most Impor-
tant Functions
The most frequently observed group in which most ru-
ral women participated as ordinary members and officials
was the funeral association in Amharic called “Edir” fol-
lowed by saving and credit cooperatives and input supply
farmers cooperatives. Most women are involved in the
memberships of those social groups as a family of the
member or independently (Figure 1).
The main functions of the groups were governed by the
rules and regulations of the group bylaws. Edir provided
burial services during the death of their relatives and
group members. The cooperatives played an economic
role in the provision of input, product marketing, and fi-
nancial services of savings and credits (Figure 2).
3.2.2 Women Targeted Social Group and Members
Relationships
Different women-targeted groups were established in
the study areas for different purposes. Women association
is the common women group that is open to memberships
for all interested women and available at lower admin-
istration level in the study areas. Women league is the
other women-targeted group composed of model women
participants who have access to different exposures and
are found in the front lines established in lower adminis-
tration. Women federations which are the representatives
of all women’s associations and women league leaders in
all areas by and available at the district level. Coalitions
of the women’s development team are the integration of
different women’s development teams. There are also

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Religious group
Equb (Money go round)
Edir (Funeral groups)
Water user’s association
Saving and credit groups
religious association
Women association
Local administration
Crop/seed producer coops
Input supply farmers cooperatives

0 10 20 30 40 50 60

Figure 1. Types of the social groups most rural women participated

Produce marketing
Input marketing
Seed production
Farmers research group
Saving and credit
Funeral services
Tree planting
Soil and water conservation
Religious congregation
Input credit
Others

Figure 2. The most important functions of social groups

other types of women-targeted groups such as one to five
groups, development teams, and Common Interest Groups
(CIG) particularly focused on girls and organized for the
purpose of business operation on different economic ac-
tivities.
Rural women and their family members participated
in a social group as members of the community. They also
interested to continue their memberships in the groups in the
future. Most of them had good social networks and share
ideas with their relatives and non-relatives.
3.3 Access to, Control for, and Benefits Share of
Different Resources
3.3.1 Household Resource
The major resources owned and controlled by the
household in this research include land, trees, livestock,
money in the bank, grain in the store, and household fur-
niture. The benefits generated from the resources include
rental income, market income, and products. The family
members had access to and control over the resources and
shared the benefits at different levels and proportions.
Access to household resources
Households owned different resources in different
magnitudes. From the entire sample 179, 235, 231, 240,
and 125 households owned trees, land, furniture, grain in the
store, and cash in the bank, respectively. Though there was
little dominance in some households, most of the household
resources were accessed by the household members equally.
No one had a priority to access those household resources.
This study resulted in similar findings to Paul and Radha [13].
Relatively women had high access to grain and home fur-
niture. There were few gender differences seen in access to
some resources from the results (Table 5).
Control for and decision-making on household resources
Households made decisions on the various resources
owned by different family members with different pro-
portions. Women had high decision-making power to use
the home furniture and grain in the store than men. Some
resources like trees, land, and cash in the bank had power
dominance of men’s decision-making (Table 6).
Benefits share and use of household resources

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Table 5. Access to household resources

Access to household resources (%)
Who accesses the resources (ownership)?
Trees Land Furniture Grain Money
Predominantly men 12.85 11.91 2.16 3.75 13.6
Predominantly women 15.64 14.89 42.42 27.5 25.6
Exclusively men 0 0 0 0 0.8
Exclusively women 2.23 3.83 3.9 4.17 4.8
Men first 0 0.43 0 0 0.8
Women first 0.56 0.43 1.3 0.83 0.8
All family members equally 30.73 32.77 29.87 27.08 15.2
Husband and wife equally 37.99 35.74 20.35 36.67 38.4

Table 6. Control of household resources

Household resources decision-making (frequency)
Who controls the resources in your household?
Trees Land Furniture Grain Money
Predominantly men 40 53 7 18 23
Predominantly women 39 50 115 88 36
Exclusively men 6 7 0 4 4
Exclusively women 16 23 29 26 9
Men first 8 13 0 5 4
Women first 5 6 10 9 6
All family members equally 4 11 12 7 3
Husband and wife equally 61 72 58 83 40

In most households, all family members benefited from
the household resources equally. The benefits of house-
hold resources were shared with the family members
when the resources are exchanged or sold for consumable
items in the households. Some resources like money were
owned by individuals and benefited those owners sepa-
rately (Table 7).
3.3.2 Livestock Resources
The livestock resources found and considered for the
analysis purposes include cattle (dairy cows, oxen, heifer,
calf), small ruminants (sheep and goat), equines (horse,
donkey, and mule), and poultry. Due to agrochemical ef-
fects, no one had a chance to own honeybee colonies.
In this study majority had the livestock resources as 210
owned cattle, 178 owned shoat (sheep and goat), 159
owned equines, and 202 owned poultry.
Access to and ownership of livestock resources
The livestock resources are owned and controlled by
the household family members with different proportions.
The chicken was the only resource in which 44 percent
of it was predominantly owned by women while other
livestock resources were owned by both men and women
(Table 8).
Control for and decision-makers on livestock resources
Women’s predominantly made decisions on poultry.
The couples (husband and wife) had a high rate of equal
decision-making power on the livestock resources. How-
ever, in some men-headed households’ men had a priority
decision-making power on most livestock resources ex-

Table 7. Benefits from household resources

Household resources decision-making (frequency)
Who benefited from household resources?
Trees Land Furniture Grain Money
Predominantly men 3 0 2 0 3
Predominantly women 5 7 19 10 7
Exclusively men 4 1 0 1 1
Exclusively women 3 8 8 9 4
Men first 0 2 1 0 1
Women first 0 0 2 2 0
All family members equally 122 161 155 162 75
Husband and wife equally 45 56 44 56 35

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Table 8. Access to livestock resources

Who accesses the different livestock resources? Access to different livestock resources (frequency)
(ownership) Cattle Sheep and goat Equines Chicken
Predominantly men 20 12 13 1
Predominantly women 19 28 15 88
Exclusively men 0 0 1 0
Exclusively women 3 4 3 9
Men first 0 0 0 0
Women first 2 2 1 5
All family members equally 72 65 59 50
Husband and wife equally 94 67 67 48

Table 9. Control on livestock resources

Control of different livestock resources (%)
Who controls the different livestock resources?
Cattle Sheep and goat Equines Chicken
Predominantly men 13.33 10.11 10.06 1.49
Predominantly women 17.14 24.16 18.24 56.72
Exclusively men 2.38 1.12 2.52 0
Exclusively women 6.67 7.87 5.66 13.93
Men first 3.81 2.81 3.14 0.5
Women first 2.38 1.69 1.89 7.96
All family members equally 5.24 6.18 8.81 2.49
Husband and wife equally 49.05 46.07 49.69 16.92

cluding poultry (Table 9).
Benefits from livestock resources
All family members had a great share of benefits from
all livestock resources. In some paired households, the
spouses and partners had a relative benefit share from
the livestock resources beyond their sons and daughters
(Table 10).
3.3.3 Institutional Service Provider Resources
The institutional and service provider resources have
significant contributions to improve the triple roles of
women in production, reproduction, and social roles in-
volvement. These resources were identified by the com-
munity and used for the analysis. The resources include
household decisions, agricultural technologies, political
power, and extension services.
Access to institutional service provider resources
Many of the rural households had access to different
institutional services. The agricultural extension support
was accessed for 93 percent through training and expe-
rience-sharing visits. The majority 99.6 percent of them
have access to participate in the household decision, the
access to improved technologies weighted 92 percent and
nearly 64 percent of the households had access to partici-

Table 10. Benefit share from livestock resources

Who benefited from the livestock resources products and income? Benefit share from the livestock resources (%)
(When sold) Cattle Sheep and goat Equines Chicken
Predominantly men 0.95 0.63 1.26 0
Predominantly women 0.95 1.12 1.26 8.96
Exclusively men 0 0.63 0 0
Exclusively women 1.43 2.25 1.26 3.98
Men first 0 0 0 0
Women first 0.48 0.63 0.63 1
All family members equally 70.95 73.6 69.81 64.18
Husband and wife equally 25.24 21.35 25.79 21.89

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

pate in political power.
Men and women had equal access to political power
and household decision. Women had relatively low access
to improved technologies. Single women had access to ag-
ricultural extension services compared to married women
(Table 11).
Control for and decision-making roles on institutional
resources
Different institutional resources controlled by the
household family members with different magnitudes.
Men and women had the predominant decision power to
use extension support services. Relatively men had a large
share of control power over improved technologies. Women
also had higher decision power on political power and house-
hold decisions. Most household decisions also exposed to
participatory or shared approaches (Table 12).
Benefit share from the institutional resources
Husband and wife benefited equally from the extension
support but not for the boys and girls who are actively
engaged in agricultural production activities. Most of the
family members benefited from the household decisions.
The improved technologies benefited the women because
the technologies improved the productivity of most of the
agricultural products managed by women and should be
accepted by them (Table 13).
3.3.4 Access to Extension Support Services and
Information
The majority (75 percent) of the women accessed
extension services either by themselves or through their
family members. The major extension support services
identified and provided to the rural households were
training, advice, and consultancy. These services were
accessed predominantly by household heads. This agreed
with the findings [14]. Sons and daughters accessed training

Table 11. Access to institutional resources

Who accesses the services from the institutional Access to the institutional resources (frequency)
resources? Extension support Household decisions Improved technologies Political power

Predominantly men 58 34 70 54

Predominantly women 66 62 54 54

Exclusively men 1 1 0 0

Exclusively women 12 15 11 3

Men first 7 1 7 5

Women first 4 2 3 1

All family members equally 39 43 40 9

Husband and wife equally 47 93 46 34

Total 234 251 231 160

Table 12. Control of family members for different institutional resources in percent
Control power of the institutional resources (%)
Who controls (makes decisions) to get the
services from institutions? Extension Household management Improved Political
support decisions technologies participation

Predominantly men 27.78 12.75 30.3 28.75

Predominantly women 27.78 23.11 22.08 35
Exclusively men 0.85 1.99 1.3 5
Exclusively women 9.4 11.16 9.52 5
Men first 6.84 3.19 5.63 5
Women first 4.27 2.79 3.46 2.5
All family members equally 2.56 3.98 3.9 0.63
Husband and wife equally 20.51 41.04 23.81 18.13
Total 100 100 100 100

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Table 13. Benefits of institutional resources

Benefit share from the institutional resources (%)
Who benefits from (used) the services of
institutions? Extension Household management Improved Political
support decisions technologies participation

Predominantly men 6.84 0.4 4.76 8.13

Predominantly women 6.84 4.38 3.46 10

Exclusively men 0 0.56 0 0.63

Exclusively women 9.4 3.98 2.6 1.88

Men first 2.99 0 0.43 2.5

Women first 1.28 0.8 64.94 0.63

All family members equally 0.43 64.14 23.81 43.75

Husband and wife equally 58.12 26.29 2.6 32.5

Do your family memebers access In your household who access

to extension services? (%) extension services? (%)

3%
23%
21%
Head

Yes
Head &
No Spouse
77% 76% Son &
daughter

Figure 3. Access to extension services and family members addressed for extension services

rarely for business operations (Figure 3).
Frequency of extension contacts
Majority accessed extension services monthly and
every three months. Few of them contacted extension ser-
vice providers every six months and others communicated
weekly (Figure 4).
Market information access
Most of them had access to market information to sell
their produce and buy farm inputs. Most (87 percent) had
access to market information when purchasing farm inputs
of improved seed and fertilizer and 76 percent accessed
the market information when selling farm outputs.
Many (92 percent) of the women used radio, phones,
and television to access information and new ideas from
different sources. Some of them used combinations of
various media types.
3.4 Women’s Supportive Institutions and Contri-
butions
Various public institutions and organizations supported
women to empower gender capacity targeted to develop-
ment support. Some of those focused on gender issues and
others mainstreamed the gender issues in the intervention.
From those institutes, women and child affairs is an inde-
pendent public institution responsible to support women
in advice, capacity building (provision of training), organ-
izing of women in different groups and associations, and
monitoring and following up on women’s targeted inter-
ventions and action plans across all sectors.
Others mainstreamed gender issues in the entire staff.
These are the offices of agriculture and police and justice.
The office of agriculture gender experts is responsible to

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Figure 4. How frequently of households contacted to extension service providers (percent)

Fig.4
support women in agricultural-related services of train-
ing, input access, monitoring, and follow-ups. The office's
justice and police allocated individuals to follow women’s
cases in all legal issues and the focal persons are women it
makes easy to discuss criminal cases and women are con-
fident to discuss with them. In addition, gender command
posts were established at the district and kebele (lower
administration) levels. The command post is led by vice
heads of the district and the kebele chairmen targeted to
support women in all cases.
3.5 The Gender Needs
The practical gender needs particularly focused on
women include pure water, school, grain mill services,
and market infrastructures. The status of the gender needs
found in the study areas found relatively in excellent
conditions. Farmers perceived the status of the extension
services and agricultural training delivered by different
actors found in good conditions. Health service provider
institutes also found in good status in both access and
quality service delivery. The gender needs of labor-saving
technologies were not available and were in poor condi-
tions (Figure 5).
3.6 Gender-targeted Challenges in Rural Women
Major challenges were the venerability of women for
labor abuse, social frustrations, and biasedness. Gender
is one of the cross-cutting issues to be addressed in all
aspects of the study area but the focus to address all the
issues was low.

70

60 Fig.5
50

40

30

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Figure 5. Practical development of gender needs and their status

45
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Though there was the availability of affirmative ac-
tion in all development approaches, women were not well
competent due to the lack of a conducive environment for
competition.
Low wage prices for women laborers, low achievement
(57-60 percent) of women-targeted activity plans, low at-
tention, and commitments of political leaders at the lower
level, and less attention for women in resource distribu-
tion during the separation of marriages.
4. Conclusions and Recommendations
The resources accessed and controlled in rural house-
holds by different family members in different propor-
tions. From the livestock resources, poultry was the only
livestock resource predominantly owned by rural women
while other livestock resources were owned by both men
and women family members. The decision for the live-
stock resources was made by husband and wife equally
for the male-headed households.
Rural women involved in different agricultural produc-
tion activities to increase productivity and food security.
Many women were involved in off-farm income-generat-
ing activities in addition to agricultural activities.
Various institutes supported women in capacity build-
ing, legal protection, advisory services, and women em-
powerment. Different household resources were owned by
various family members in different proportions and con-
trolled by the resource owners. The benefits mostly shared
by all family members equally.
Women participated in various social groups available
in their areas. Women association was the only women-
targeted group available in all study areas with open mem-
bership for all women.
Most of the extension programs targeted household
heads which are mainly men while the women, girls, and
boys had less access to agricultural extension supports and
services.
The provision of women-targeted agricultural produc-
tion and off-farm business management activities related
to training and extension service is very important to im-
prove women’s production and resource productivity.
Awareness creation for both men and women on ac-
cess, control, and use of agricultural resources for women
is very important to improve the decision-making power
of women in the household and the community.
Author Contributions
The first author contributed to proposal development,
research design, instrument development, team coordina-
tion, data collection, data management, data analysis, and
46
report writing. The second and third authors contributed
to data collection and report writing.
Acknowledgments
The team wants to express their gratitude to the Am-
hara Region Agricultural Research Institute (ARARI) for
funding to conduct this research. I want to appreciate the
researchers involved in data collection during the study
time. My thankfulness was also stated to the respondents
in the study areas who gave their time to share experi-
ences and express their feelings during data collection.
Conflicts of Interest
There are no conflicts of interest.
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[3] FAO, 2011. The state of food and agriculture: Wom-
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[4] Sraboni, E., Malapit, H.J., Quisumbing, A.R., et al.,
2014. Women’s empowerment in agriculture: What
role for food security in Bangladesh? World Devel-
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[5] Jafry, T., Sulaiman, V.R., 2013. Gender inequality
and agricultural extension. The Journal of Agricultur-
al Education and Extension. 19(5), 433-436.
[6] Buehren, N., Gonzalez, P., Copley, A., 2019. What
are the economic costs of gender gaps in Ethiopia?
[Internet] Foreign, Commonwealth & Development
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https://www.gov.uk/research-for-development-out-
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ethiopia.
[7] Suboh, L., 2022. Intern Essays. Farming First [In-
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[8] Tigabie, A., Chanyalew, Y., Wondale, L., et al., 2018.
Participatory agricultural production system analysis:
Implication for research and development interven-
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[9] Nelson, S., Sisto, I., Crowley, E., et al., 2012. Women
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in agriculture: Closing the gender gap for develop-
ment1. Feeding a Thirsty World. 25.
[10] March, C., Smyth, I.A., Mukhopadhyay, M., 1999.
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opment. 3(3), 51-63.
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Research on World Agricultural Economy

https://ojs.nassg.org/index.php/rwae

RESEARCH ARTICLE
Climate Adaptation in Rain-fed Agriculture: Analyzing the Determinants
of Supplemental Irrigation Practices in Nepal
Ganesh Raj Joshi1* Ramchandra Bhandari2
1. Department of Agricultural Economics and Agribusiness Management, Agriculture and Forestry University, Rampur,
Chitwan, Nepal
2. Institute for Technology and Resources Management in the Tropics and Subtropics, University of Applied Sciences,
Cologne, Germany

Abstract: Climate change has severely impacted the rain-fed agricultural production system which is dominant in
Nepal. This situation demands implementable strategies like supplemental irrigation for mitigating adverse impacts. In
spite of the importance of supplemental irrigation, it is not adopted on a wider scale. Hence, this paper aims to assess
perceptions of climate change and identify factors that influence the adoption of supplemental irrigation practices.
Climate change impact survey data for Province No. 1 (one of the seven provinces in Nepal) with a sample of 800
households were analyzed by using the probit regression model. The results showed that the majority of the farmers
perceived increasing temperature and decreasing precipitation, resulting in climate-induced disasters such as drought.
Similarly, only about 27% of the households have adopted supplemental irrigation practices. The significant factors
influencing the adoption of supplemental irrigation practices were the household head’s number of years of farming
experience and education level, distance to motorable roads, operational size of landholding, membership in community-
based organizations, and the perception of changes in summer temperature. Considering the empirical results, it is
necessary to undertake research on sustainable practices and develop support measures for scaling up this practice as
the adoption of this practice is very low in Province No. 1. The policy and strategy should also emphasize enhancing
the capacity of farmers in technical and managerial aspects of supplemental irrigation practices, raising awareness
about climate change and its impact, and strengthening community-based organizations for sharing and exchanging
knowledge and skills. In addition, creating additional employment opportunities to enhance the income of the farmers
for mitigating the capital constraint and increasing investment in infrastructures like roads for improving physical access
thereby promoting adoption.

Keywords: Agriculture; Adaptation; Climate; Supplemental irrigation; Perceptions; Nepal

*Corresponding Author:
Ganesh Raj Joshi,
Department of Agricultural Economics and Agribusiness Management, Agriculture and Forestry University, Rampur, Chitwan, Nepal;
Email: grjoshi20@gmail.com

Received: 2 November 2022; Received in revised form: 11 December 2022; Accepted: 19 December 2022; Published: 30
December 2022

Citation: Joshi1, G.R., Bhandari, R., 2022. Climate Adaptation in Rain-fed Agriculture: Analyzing the Determinants
of Supplemental Irrigation Practices in Nepal. Research on World Agricultural Economy. 3(4), 761. http://dx.doi.
org/10.36956/rwae.v3i4.761

DOI: http://dx.doi.org/10.36956/rwae.v3i4.761
Copyright © 2022 by the author(s). Published by NanYang Academy of Sciences Pte. Ltd. This is an open access article under the Creative
Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) License. (https://creativecommons.org/licenses/by-nc/4.0/).

48
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
1. Introduction
Agriculture is the main sector of the economy in terms
of its contribution to the Gross Domestic Product (GDP)
and providing employment to the economically active
population. The indicators such as labor productivity,
productivity gaps, trade and competitiveness, poverty and
malnutrition, and infrastructure highlight that the Nepa-
lese agricultural sector is in a low development stage. The
production system in Nepal is mostly subsistence and cul-
tivated under rain-fed conditions. Nepalese agriculture is
characterized by low input use with low land (USD 1804/
ha) and labor productivity (USD 794/person) [1]. The per
capita GDP in Nepal was USD 708 in 2012/2013 which
has reached USD 1381 in 2021/2022 [2].
In Nepal, the agricultural production system is heav-
ily dependent on monsoon rain, hence more sensitive to
climate change. The agricultural production and produc-
tivity of crops and commodities are affected by the time,
duration, and intensity of precipitation and its pattern. The
majority of the people earn their livelihood from the cul-
tivation of crops such as paddy, maize, wheat, millet, and
potato, and rearing different types of livestock, changes in
the pattern of precipitation especially the monsoon rainfall
highly aggravate the poverty and inequality in the country.
Although there may be some short-run location-specific
positive effects, these would be offset by the negative ef-
fects of rising temperatures and frequent occurrences of
drought [3].
The diverse topography and social vulnerability have
made Nepal prone to geological and climate-related disas-
ters. Different climatic hazards have led to increased soil
erosion, landslides, flash floods, and droughts in recent
years across the country with increased intensity and im-
pact on the lives and livelihoods of the people in Nepal [4].
Because of the occurrence of such extreme weather events
between 2000 and 2019, Nepal is the 10th most vulner-
able country with 0.82 fatalities per 10,000 inhabitants
and 0.39% losses per unit GDP [5] despite Nepal’s very lower
share (0.06%) to global greenhouse gas (GHG) emission [6].
Combining political, geographic, and social factors, UNM
(2020) estimated ND-GAIN Index and considered Nepal
as vulnerable to climate change impacts with a rank of
126th position out of 181 countries with a low score of
41.7.
The long-term impact of climate change on agriculture
and food security is inevitable, which will have dispro-
portionately bigger impacts on women, Dalits, indigenous
people, and other marginalized communities. About 90%
of crop loss in Nepal can be attributed to weather-related
events, increased temperature, and hazards such as irregu-
lar rainfall, droughts, and floods triggered by them. When
crops, livestock, and fisheries are combined, climate
change induced losses in production is equivalent to 10%
to 30%. Among them, drought is the most critical hazard.
Between 1971 and 2007 droughts accounted for 38.9%
and floods for 23.2% of all losses caused by weather and
climate-related events [7]. The increasing temperature
negatively affects animals in terms of gaining weight,
reproduction, breeding patterns, feed consumption, and
conversion efficiency.
The agricultural sector suffers significantly in the years
to come from climate change. It is estimated that South
Asia would lose 1.8% of its annual GDP by 2050 while
this would increase to 8.8% by 2100 if countries lack in
implementing adaptation strategies. This figure for Ne-
pal will be 9.9% by 2100. It is estimated that the direct
cost of current climate variability and extreme events is
equivalent to 1.5% ~ 2% of the current GDP per year in
Nepal. This amount would be approximately USD 270
~ 360 million per year in 2013 prices. It would be much
higher in years with extreme climatic events [8]. Agricul-
tural production is anticipated to be impacted by changes
in precipitation patterns, leading to significant annual
yield fluctuation and increased production risks. In addi-
tion, croplands and yields are predicted to be negatively
impacted by climate change if weather-related risks such
as droughts and floods occur more frequently [9].
The contribution of irrigation is immense to increasing
agricultural production. On average, irrigated agriculture
is at least twofold as productive per unit of land in com-
parison to rain-fed agriculture, leading to more intensifica-
tion and diversification of crops [10]. Irrigation is the most
important variable affecting the growth of Agricultural To-
tal Factor Productivity (ATFP) in Nepal. In the context of
the high variability of rainfall in Nepal, assured irrigation
water supply complements the potentiality of biological
techniques such as variety thereby resulting in increased
productivity. The irrigation ratio shows that with a one
percent increase in irrigated area, the ATFP would in-
crease by 1.38% [11]. The contribution of irrigation and va-
riety alone would contribute respectively to 29% and 30%
of total incremental yield while their interactions would
contribute 41% to total incremental yield [12]. Under the
rice-wheat cropping pattern, as we go up from improved
variety-unirrigated to improved variety-irrigated farming,
the incremental grain yield would be 41% in the case of
paddy and 35% in the case of wheat in Nepal [11].
Although irrigation is an important production input
for increasing agricultural production and productivity, it
has not been available as per the need of the crops and is
also not under the control of the farmers. Over 60% of the
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
cultivated area still depends on monsoon and winter rain
for crop cultivation in Nepal. Investments in the ponds
and collecting rainwater for supplemental irrigation have
been one of the coping strategies to mitigate the impacts
of droughts and irregular rainfall in Nepal. Supplemen-
tal irrigation can be described as the addition of small
amounts of water to mainly rain-fed crops during times
when rainfall fails to deliver enough moisture for normal
plant growth, in order to improve and stabilize yields [13].
It is a simple but highly effective technology that facili-
tates the farmers to plant and manage crops at the optimal
time, without being dependent on erratic rainfall [14]. When
a limited amount of water is utilized properly during
the critical stages of crop growth, this may lead to crop
growth and can result in a substantial increase in yield
and water productivity. This strategy can be considered an
efficient response to lessen the undesirable impact of soil
moisture stress during dry spells on the yield of rain-fed
crops.
The adoption of supplemental irrigation practices such
as rainwater harvesting, collection of water in ponds, and
use of non-conventional methods (drip and sprinkler irri-
gation) would help lessen the over-dependence on rainfall
with proper planning and management [15]. However, the
adoption of such practices is low in spite of their effective-
ness and viability as a coping strategy to climate change,
most importantly in the resource-constraint rain-fed envi-
ronment. There could be several reasons for the slow and
low adoption of such important practices for climate adap-
tation but are not well documented in the previous litera-
ture. Province No. 1 (one of the seven provinces in Nepal)
in general and hilly and mountain districts in particular
are experiencing mid-season dry spells and an increase in
the incidence of drought, which is mainly because of cli-
Figure 1. Map of Nepal Showing Province No. 1.
50
mate variability and change. This creates high risks in ag-
ricultural production, which further worsens poverty and
food insecurity in the province. In this context, this paper
intends to assess climate change perceptions and identify
factors that affect the adoption behavior of farmers toward
supplemental irrigation practices.
2. Materials and Methods
2.1 Description of the Study Area
2.1.1 General Background
Province No. 1 has an area of 25905 square kilometers
with an elevation from 60 m to 8848 m. Mt. Everest, the
highest peak in the world lies in this province. This prov-
ince has 14 districts covering mountains, hills, and Terai
ecological region. Out of the total land area, 23% of the
area is cultivated. The total agricultural (cultivable) land
in this province is 783595 ha out of which surface irriga-
tion is available in 284863 ha while groundwater irriga-
tion is in 48155 ha with a total of 333018 ha irrigated. It
reveals that 42.5% of the total cultivable area has received
irrigation facilities [16]. However, the year-round irrigation
water available is lower than this figure.
2.1.2 Climatic Information
There is a wide spatial and temporal variation in cli-
matic variables across the province. It was observed that
the precipitation (mm/day) in pre-monsoon is 3.38 mm,
summer 12.05 mm, post-monsoon 1.63 mm, and winter
0.37 mm with an average of 5.26 mm [7]. As the monsoon
starts from the eastern part of Nepal, Province No. 1 has
the highest pre-monsoon rainfall. The winter precipitation
in Nepal is influenced by westerlies, and consequently,
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

the Far-western (Sudurpaschim) Province of Nepal gets
higher precipitation. The winter precipitation gradually
decreases as westerlies become weak from west to east of
the country with the lowest precipitation in Province No. 1
and Madhes Province [17]. A study in the Koshi river basin
found that by the end of the century, there will be 4oC in-
crease in temperature [18], the minimum and maximum tem-
peratures are projected to increase by 6.33 °C and 3.82 °C
respectively [19], and the likelihood of an increase in tempera-
ture will be higher in the mountains than in the plains [20].
The future projection of climatic variables is based on
the two Representative Concentration Pathways (RCPs) -
RCP4.5 and RCP8.5 [21]. Compared to the reference period
(1981-2010), the precipitation is likely to increase in all
the scenarios and periods for all districts, while higher for
mountains and hills than for Terai. In the medium term,
the precipitation would increase by 2.79 to 4.31% while it
is projected to increase by 2.12 to 8.32% in the long term.
The temperature increase ranged between 0.79% to 4.07%
in the medium term and 0.98% to 1.76% in the long term
compared with the reference period. It also shows that
compared to the reference period, the number of rainy
days and consecutive dry days is likely to decrease in all
the districts. There will be an increase in warm days in
all the districts which can be inferred about the overall
temperature rise in the future. The changes in climatic pa-
rameters for the sample districts (of this study) are given
in Table 1.

Table 1. Changes in climatic parameters in different periods

Reference Period (days) RCP4.5 RCP8.5
S.N. Districts
1981-2010 2016-2045 2036-2065 2016-2045 2036-2065
1 Dhankuta
Change in Precipitation (%) 1916 mm 2.79 3.34 2.24 6.92
Change in Temperature (°C) 17.2 0.79 1.13 0.99 1.68
Change in no. of Rainy days (%) 180.3 –0.78 –0.36 –1.87 –1.30
Change in Consecutive Dry Days (%) 44.8 1.96 –0.39 –0.95 –1.78
Change in Consecutive Wet Days (%) 92.4 –8.34 –5.46 –5.41 –11.88
Change in Warm Days (%) 37 8.12 10.97 9.13 15.22
2 Khotang
Change in Precipitation (%) 1717 mm 2.88 4.07 3.01 7.67
Change in Temperature (°C) 15.9 0.79 1.13 0.99 1.67
Change in no. of Rainy days (%) 174.4 –0.87 –0.31 –1.86 –1.40
Change in Consecutive Dry days (%) 45.9 2.01 –2.07 –0.28 –0.62
Change in Consecutive Wet Days (%) 90.9 –8.85 –5.75 –1.52 –8.96
Change in Warm Days (%) 36.9 7.65 10.30 8.51 14.31
3 Morang
Change in Precipitation (%) 2015 mm 2.88 3.53 2.12 6.49
Change in Temperature (°C) 23.2 0.84 1.2 1.04 1.76
Change in no. of Rainy days (%) 173.8 –0.75 –0.52 –1.97 –1.34
Change in Consecutive Dry Days (%) 51.8 2.99 –0.66 –0.34 –4.86
Change in Consecutive Wet Days (%) 92.8 –5.91 –2.75 –4.73 –10.71
Change in Warm Days (%) 37.3 7.63 10.36 8.93 14.94
4 Panchthar
Change in Precipitation (%) 2235 mm 3.52 3.68 2.21 7.79
Change in Temperature (°C) 14.3 0.77 1.11 0.98 1.64
Change in no. of Rainy days (%) 193.3 –1.18 –0.24 –1.44 –0.78
Change in Consecutive Dry Days (%) 40.4 4.09 –0.54 –2.68 –5.57
Change in Consecutive Wet Days (%) 103.9 –5.02 –1.55 –4.66 –10.35
Change in Warm Days (%) 37.4 8.13 11.40 9.94 16.00
5 Taplejung
Change in precipitation (%) 2607 mm 3.45 4.31 2.68 8.32
Change in Temperature (°C) 2.5 0.84 1.19 1.04 1.74
Change in no. of Rainy days (%) 224.6 –1.01 –0.18 –0.78 –0.06
Change in Consecutive Dry Days (%) 31.5 3.80 2.16 –2.28 –6.26
Change in Consecutive Wet Days (%) 129.4 –1.09 –1.41 –3.44 –7.26
Change in Warm Days (%) 37 7.32 10.49 8.40 14.39

Source: MoFE, 2019.

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
2.2 Sampling and Data Collection
In this paper, the data collected by the Central Bureau
of Statistics for the National Climate Change Impact
Survey 2016 [22] has been used. This data from CBS is
still pertinent in analyzing the factors contributing to the
adoption of irrigation practices such as supplemental ir-
rigation in the rain-fed production system of Nepal. The
sample selection was carried out in three stages: in the
first stage the districts were selected, in the second stage
the Primary Sampling Unit (PSU), and in the final stage
the households. This process was adopted for each of the
16 domains distinctly which were treated as a stratum.
Independent samples in each stratum were selected. For
sample selection, the Probability Proportional to Size
(PPS) sampling technique was used in all stages, where
the size measure adopted for each was the number of ex-
pected households in that district.
After selecting districts with 16 domains, a sample of
PSUs was selected to represent each district. The num-
ber of PSUs chosen from each district was governed by
dividing the number of households to be selected in each
domain by 20, divided by the number of districts selected
in that domain. The listing of the households was based
on 45 years or older age of the potential respondents and
living in that area for at least 25 years. Furthermore, large
PSUs were sub-divided into a more convenient size and
one of these sub-divided PSUs was carefully chosen to
represent the whole PSU using PPS sampling. In addition,
the PSUs with more than 500 households were subdivided
into smaller units. A total of 253 PSUs were selected as a
sample consisting of a sample of 5060 households.
Among the seven provinces of Nepal, this study is focused
on Province No. 1 comprising 5 districts - one each from the
Mountains (Taplejung) and Terai (Morang) and three from
the hilly (Panchthar, Dhankuta, and Khotang) ecological re-
gion of Nepal. The Primary Sampling Unit (PSU) from 101-
140 (representing Province No. 1) with a sample size of 800
households was considered as a sample size.
The data was collected by using a pre-tested question-
naire. The data included broad topics such as demogra-
phy, socioeconomic aspects, knowledge and perception,
climate-induced disasters and socioeconomic impacts,
natural resources, and adaptation practices adopted by
households to cope with adverse situations created due to
changing climate. The data collection was primarily based
on the memory recall method. The respondents provided
information related to changes in temperature, precipita-
tion, and seasonal shift in the last 25 years and on the im-
pact of climate-induced disasters in the last 5 years.
2.3 Analytical Framework
Many adoption studies assume that farmers behave
52
rationally whose goal is to maximize an unobserved ex-
pected utility function [23]. Farmers’ adoption of climate
change adaptation practices like supplemental irrigation is
assumed to be based upon utility maximization. Farmers
maximize the utility of the adoption of such practices than
not adopting them. In other words, farmers adopt prac-
tices only when the utility they get from such practices
is higher than the utility they get without adopting them.
Although one cannot directly observe the utility farmers
get, the decision of farmers to adopt can be observed. The
utility function which motivates the farmers in deciding on
adopting technology can be given as:
𝑈𝑖1 = 𝛽1𝑋𝑖 + 𝜀𝑖1 (1)
𝑈𝑖0 = 𝛽0𝑋𝑖 + 𝜀𝑖0(2)
Equation (1) is for adoption whereas Equation (2) is for
not adopting practice/technology. In the above equations,
𝑈𝑖1 and 𝑈𝑖0 represent perceived utilities from adoption and
non-adoption, respectively. 𝑋𝑖 is the vector of explanatory
variables that are assumed to affect the perception of the
household’s utility. 𝛽1 and 𝛽0 are the parameters to be esti-
mated and 𝜀𝑖1 and 𝜀𝑖0 are error terms with a zero mean.
If the ith household makes a decision to adopt the prac-
tice/technology, the utility from the adoption is greater
than the utility received from not adopting it, which can be
described as:
𝑈𝑖1(𝛽1𝑋𝑖 + 𝜀𝑖1) > 𝑈𝑖0(𝛽0𝑋𝑖 + 𝜀𝑖0)(3)
Hence, the probability that the ith household will adopt
an adaptation practice can be defined as:
𝑃(1) = 𝑃(𝑈𝑖1 > 𝑈𝑖0)
𝑃(1) = 𝑃(𝛽1 𝑋𝑖 + 𝜀𝑖1 > 𝛽0 𝑋𝑖 + 𝜀𝑖0)
𝑃(1) = 𝑃(𝜀𝑖0 − 𝜀𝑖1 < 𝛽1 𝑋𝑖 − 𝛽0 𝑋𝑖)(4)
𝑃(1) = 𝑃(𝜀𝑖 < 𝛽𝑋𝑖)
𝑃(1) = Ψ(𝛽𝑋𝑖)
where P is a probability function and 𝑈𝑖1, 𝑈𝑖0 and 𝑋𝑖 are as
defined above. 𝛽 is a vector of parameters that will be es-
timated by maximum likelihood. Ψ is a cumulative distribu-
tion function of the standard normal distribution.
As the values of the dependent variable are dichoto-
mous (0, 1), the probit model is used. This model is used
in several previous studies on irrigation technology adop-
tion [24,25] as it permits the analysis of farmers’ decisions be-
tween adoption and non-adoption, with a binary variable
as a dependent variable. It is generated by a latent model
in the form shown in the following equation:
Yi ∗ = 𝛽i Xi + 𝜀i 𝜀i ∽ N(0,1) (5)
Yi = 1 𝑖𝑓 Yi ∗ > 0
0 𝑖𝑓 Yi ∗ ≤ 0
where Yi∗ is a latent variable representing the ith house-
hold’s utility from adopting adaptation practice depends
on a vector of characteristics, Xi. Yi denotes an observable
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
variable taking a value of 0 or 1.
2.4 Variables Used
Different types of variables related to demographic,
socioeconomic, topographical and institutions affect the
adoption of irrigation practices among farming house-
holds. Based on the previous studies and considering the
context, the explanatory variables considered include gen-
der, operational land holding, education, location of the
farm, farming experience, proximity to the market, mem-
bership in community organizations, perception of the in-
crease in temperature and decrease of winter precipitation
and receiving remittance (Table 2).
The dependable variable (PracAdopt) is the adoption
of supplemental irrigation practice by each household (a
binary variable). The explanatory variables are related to
socio-economic, demographic, institutional, and climate
change perceptions.
PracAdopt = β
 0 + β1 GENDER + β2 EXPERI
+ β3 EDUCATION + β4 LANDHOLD
+ β5COMMUNORG + β6 LOCATION
+ β7 DISTANCE + β8 TINSUMMER
+ β9 PRECDEC + β10 REMIT + εἱ
β0 ... β10 are the parameters to be estimated, εἱ is the er-
ror term.
Table 2 presents the definition of variables used in this
analysis. It shows that over three-fourths of the house-
holds are headed by males, on average the household head
has 33 years of experience in farming, no. of years of for-
mal education is 3 years, the distance of the household is
5.87 km from the motorable roads, and a farming house-
Table 2. Definition and summary statistics of variables
Definition of Variables
GENDER- Gender of the household head (1 for male and 0 otherwise)
EXPERI- No. of years of experience in farming
EDUCATION-No. of years of schooling of household head
LANDHOLD-Operated landholding (ropani)
COMMUNORG- Membership in community organization (1 for memebership, and 0 otherwise)
LOCATION- Ecological region (1 for the district in Terai, and 0 otherwise)
DISTANCE- Distance to motorable roads (km)
TINSUMMER- Perception about the increase in summer temperature (1 for increase, and 0 otherwise)
RECDEC- Perception about the decrease in winter
precipitation (1 for decrease, and 0 otherwise)
REMIT-Household receiving remittance (1 for receiving household, and 0 otherwise)
Source: Authors’ estimation
a 1 ropani equals 508.74 square meter
hold is having about 17 ropania of operational landhold-
ing. Furthermore, 41% of the households have received
membership in a community organization, 33% of the
households are located in Terai, and 27% of households
receive remittances. In terms of climate change percep-
tion, 86% of the households have perceived increasing
summer temperatures while 77% of the households per-
ceived decreasing winter precipitation. Only 26.7% of the
households have used supplemental irrigation practices as
a coping strategy/adaptation to climate change.
3. Results and Discussion
3.1 Descriptive Analysis
This section summarizes the percentage distribution of
households under different categories of perceptions on
changes in temperature and rainfall, facing droughts and
the level of its impact over the last 25 years period, and
adoption of supplemental irrigation practices. Such infor-
mation is analyzed and described below:
3.1.1 Perceptions on Climatic Factors
It is revealed that around 50% of households have heard
about climate change [22]. Households reported a significant
change in summer and winter temperatures over the period
of the last 25 years. The households’ perception regarding
the summer temperature shows that over three-fourths of
the households perceived increasing temperature. This is
the highest in Dhankuta district while lowest in Taplejung
district. On the other hand, the majority of the households
in Taplejung and Panchthar perceived no change in winter
temperature while households in the other three districts
perceived decreasing winter temperature (Table 3).
Mean Standard deviation
0.78 0.41
33.25 18.82
3.00 3.94
16.87 19.72
0.41 0.51
0.33 0.47
5.87 9.85
0.86 0.35
0.77 0.42
0.27 0.44
53
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Table 3. Perception of changes in temperature in the last 25 years period (% of households)

Summer Temperature Winter Temperature
Districts
Increased Decreased No Change Increased Decreased No Change
Taplejung 76.7 1.1 22.2 9.4 32.8 57.8
Panchthar 87.5 0.8 11.7 25.8 20.8 53.3
Morang 88.8 3.8 7.3 31.2 57.7 11.2
Dhankuta 92.5 0.0 7.5 27.5 55.0 17.5
Khotang 87.5 5.8 6.7 20.8 70.0 9.2

In case of changes in the monsoon and winter rainfall,
households reported significant changes over the last
25 years. Most of the households in all districts (except
Taplejung) perceived that monsoon is decreasing while
there is a mixed perception among the households in
Taplejung. Over two-thirds of the households in Taplejung
perceived no change in winter rainfall while over 97% of
households perceived decreasing winter rainfall in other
districts (except Panchthar). In Panchthar, 57.5% of the
households felt decreasing monsoon rainfall while 40.8%
felt no change in winter rainfall (Table 4).
3.1.2 Drought Occurrence and Impacts
A significant number of households have been facing
drought in the last 25 years. Over one-third of the house-
holds in Taplejung, all households in Dhankuta, and about
96-97% in other districts were experiencing drought (Ta-
ble 5). Among the climate-induced disasters, most of the
households incurred losses from drought in the last five
years [19].
The distribution of households on the extent of drought
in the last 25 years is given in Table 6. It is observed that
extremely low response for drought was the highest in
Morang district whereas extremely high response was in
Panchthar district. In other districts, the majority of the
response was from moderate to high.
3.1.3 Application of Supplemental Irrigation
Practices
The households have used different supplemental irri-
gation practices as one of the coping strategies for climate
change adaptation (Table 7). Overall, it is revealed that
only about 27% of households have adopted this practice.
Among the districts, the households adoption is the high-
est in Dhankuta (47.5%) followed by Taplejung (31.1%),
Morang (24.2%), and Panchthar (15.8%). This is the low-
est in Khotang (8.3%).
3.2 Factors Influencing Adoption of Supplemental
Irrigation
The factors affecting the adoption of supplementation
irrigation practices as a coping strategy for climate change
are analyzed by using the probit model. The result of the
analysis is presented in Table 8. The Likelihood Ratio
Chi-square value was 126.10 indicating that the model fits
very well with the data, that is, the probability of the null

Table 4. Perception of changes in rainfall in the last 25 years period (% of households)

Monsoon rain Winter rain
Districts Increased Decreased No Change Increased Decreased No Change
Taplejung 31.1 38.3 30.6 1.1 32.2 66.7
Panchthar 5.0 78.3 16.7 1.7 57.5 40.8
Morang 1.9 95.8 2.3 0.8 96.5 2.7
Dhankuta 0.80 97.50 1.7 0.00 98.30 1.7
Khotang 11.7 85.8 2.5 0.8 97.5 1.7

Table 5. Households facing drought in the last 25 years period

Districts No. of households Percentage
Taplejung (n=180) 62 34.4
Panchthar (n=120) 116 96.7
Morang (n=260) 251 96.7
Dhankuta (n=120) 120 100
Khotang (n=120) 115 95.8

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Table 6. The level of impact of drought in the last 25 years (%)
Districts Extremely Low Low
Taplejung 7.5 20.8
Panchthar 7.5 20.8
Morang 38.1 23.2
Dhankuta 0.0 0.0
Khotang 3.3 11.7
Table 7. Households adopting supplemental irrigation practices
Districts No. of households
Taplejung 56
Panchthar 19
Morang 63
Dhankuta 57
Khotang 10
hypothesis which states that the coefficients are equal to
zero being correct is extremely low.
Out of ten variables estimated, 7 variables were sta-
tistically significant in explaining the adoption of sup-
plemental irrigation. Most of the variables analyzed had
the expected hypothesized signs. The results indicate that
farmers’ decisions to adopt climate change adaptation
practices like supplemental irrigation are determined by
some factors. It shows that farming experience, education,
operational landholding size, and location were significant
at a 1% significance level while the distance to motorable
roads and membership in community-based organizations
were significant at a 5% level. On the other hand, the per-
ception of summer temperature increase was significant at
the 10% level. Other variables such as gender, perception
of the change in winter rainfall, and remittance were posi-
tive but not significant.
Several years of experience in farming have a positive
effect on the adoption of practices as the household head’s
average experience is over 33 years. They are believed to
have added skills and technical knowledge over time and
therefore have a better position to adopt such practices.
This is in harmony with the findings of the previous stud-
ies [26-28]. For a unit increase in farming experience, the
likelihood of adoption of supplemental irrigation practices
would increase by 0.74 percent.
Education is explained as the number of years spent in
formal schooling positively influencing the adoption of
supplemental irrigation. In this case, the average year of
formal schooling is 3 years and over 25% of household
heads are having 5 years and above of education. It can be
said that as farmers spend more years in formal school-
ing, their understanding of the gains from the adoption of
coping strategies like supplemental irrigation for climate
Moderate High Extremely High
33.3 23.3 15
33.3 23.3 15.0
25.2 13.3 0.2
60.0 40.0 0.0
47.5 34.2 3.3
Percentage
31.1
15.8
24.2
47.5
8.3
adaptation enhances. In addition, more educated farmers
have better access to information, respond to expected
changes, and have the capacity to forecast future scenarios
than uneducated or less educated ones. For a unit increase
in education, the likelihood of adoption of supplemental
irrigation practices would rise by 1.54 percent. This is
consistent with the previous findings [29,30].
The size of the operational landholding significantly
and positively affected the adoption decision as the house-
hold’s average operation landholding is about 17 ropani.
With one unit increase in the size of land holding, the like-
lihood of adoption of climate change adaptation practices
would increase by 0.36%. This implies that the bigger the
size of operational landholding, the higher the probability
of adopting supplemental irrigation for adapting to climate
change. Adopting supplemental irrigation practices such
as constructing different types of ponds and application
of water needs financial resources for procuring materials
that are affordable to bigger farmers than the smaller ones.
The probability of adopting supplemental irrigation
practice is higher for those households that have mem-
bership in community-based organizations (CBO) than
the non-members. In this case, 41% of households have
membership in CBOs and are involved in social learning.
Through their participation, they learn more by sharing
their experience and knowledge, also they may have the
opportunity to observe the practices adopted by other
members, which enhances their confidence. In addition,
the farmers have the chance to see the adaptation options
of other CBO members, which may improve their trust in
adaptation strategies and increase adoption rates which is
consistent with the findings of previous researchers [31,32].
The adoption would be higher by 8.46% for CBO mem-
bers than the non-members.
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

The location of the household (ecological dummy) is egy among households.

also positive and significant which implies that the prob- In the study province, the average level of pre-monsoon
ability of adoption to households located in the Tarai (plain precipitation is higher while the winter precipitation is
area) is higher (19.49%) than the households located in lower than in other provinces. There is a spatial and tem-
other ecological regions. This is because the farmers in poral variation in precipitation and temperature changes
Tarai have better physical access, access to information across the province. Compared with the reference period,
and communication, and technologies. On the other hand, the precipitation would increase for all districts. However,
the significant and positive coefficient of the distance of it will be higher for the hills and mountains than in Terai.
household to market suggests that the likelihood of adop- The temperature is projected to increase in the future. In
tion of supplemental irrigation practices would be higher addition, the number of rainy days will decrease while
for those households that are at a distance from the road warm days will increase.
heads than those near road heads. This is contrary to the There was a variation in households’ perceptions of
findings of a previous study [33]. Usually, the households temperature and rainfall. Most of the households per-
residing near road heads may have access to information ceived increasing summer temperature while there is no
and materials required for irrigation than the households such response in the case of winter temperature. It either
in interior parts. However, there could be variations in the decreased or remained constant. The household perceived
quality and nature of roads (fair-weather, graveled, and decreasing levels of both monsoon and winter rainfall.
blacktopped) in Nepal, especially in the rural areas that As the households have perceived these changes, they
may have some effect on adoption. have also been affected by weather-related risks such as
The dummy variable for households who have per- drought although its impact is not uniform across districts.
ceived increasing summer temperature (86% in this case) The households have used different supplemental irriga-
enhances the probability of adoption. This may be true tion practices as one of the coping strategies for climate
because the households might have perceived the threat of change. However, only about one-fourth of the house-
increasing temperature with the anticipation of droughts holds are adopting this practice and a wide variation was
and dry spells and adopting supplemental irrigation as a observed across districts. The adoption of supplemental
response to mitigate the likely effects. which is consistent irrigation practice is influenced by socio-economic, demo-
with previous findings [34,35]. graphic, institutional, and climate-related variables.
Table 8. Probit regression estimates The agricultural sector in Nepal would be affected im-
mensely due to increasing temperatures, and erratic time
Variables Coefficient Marginal effects1
and intensity of rainfall which may result in dry spells and
GENDER 0.1806 0.0533
***
droughts in the future. In this context, proper considera-
EXPERI 0.0242 0.0074
tion needs to be given to such variables that are influential
EDUCATION 0.0502*** 0.0154
in making adoption decisions by the households while
LANDHOLD 0.0119*** 0.0036
formulating policy. The policy and strategy should focus
**
COMMUNORG 0.2710 0.0846 on enhancing the capacity of farmers through organizing
LOCATION 0.5986*** 0.1949 different types of technical and managerial training on
**
DISTANCE 0.0128 supplemental irrigation practices and their appropriate-
0.0039
TINSUMMER 0.3025*
0.0852 ness to mitigate the impact of climate change. It is equally
PRECDEC 0.1308
REMIT 0.1493
0.0390 important to raise awareness about climate change and its
0.0469 impact on the agricultural sector through different media
CONSTANT –2.8038***
and campaigns, workshops, and publications. The signifi-
No. of observations = 800 Log likelihood = –400.5449
cant effect of membership in community-based organiza-
LR chi2 (10) = 126.10, Prob>chi2 = 0.0000
tions implies strengthening such social networks to make
Pseudo R2 = 0.1360, Predicted value of y = 0.2344
1 them effective for sharing and exchanging knowledge and
Marginal effects refer to the partial derivatives of the expected
skills. Currently, the adoption level of supplemental irriga-
value with respect to the vector of characteristics.
tion practices is quite low in the province. In this regard,
it is necessary to further carry out research and studies on
4. Conclusions and Policy Implications
the sustainable complementary practices for diverse com-
This paper has analyzed the perceptions on climate modities and ecosystems considering social, economic,
change and identified the factors influencing the adoption and technical perspectives and devising support measures
of supplemental irrigation practice as an adaptation strat- for different tiers of governments and private sectors for

56
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
scaling up. As this practice also involves some financial
investment, creating additional on-farm and off-farm
income-generating opportunities is essential to mitigate
the capital constraint, and improve physical access which
demands further investment increment.
Author Contributions
This work was carried out in collaboration between
both authors. Both authors read and approved the final
manuscript.
Acknowledgments
The authors are grateful to the Alexander von Hum-
boldt Foundation for granting renewed research stay of the
first author at the Institute for Technology and Resources
Management in the Tropics and Subtropics (ITT), Univer-
sity of Applied Sciences Cologne, Germany. The authors
would like to acknowledge the financial support from
the German Federal Ministry of Education and Research
through its Project Management Agency Jülich under the
framework of RETO-DOSSO project. The authors also
would like to thank Nepal’s Central Bureau of Statistics
for availing datasets.
Conflict of Interest
The authors declare that they have no conflict of interest.
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Research on World Agricultural Economy

https://ojs.nassg.org/index.php/rwae

RESEARCH ARTICLE
Cattle Marketing System in Bena-Tsemay District of South Omo,
South-Western Ethiopia
Zelalem Adane1 Denbela Hidosa2*
1. Livestock for Livelihood (L4L) Project, Jinka Coordination Office, Farm Africa, Jinka, Ethiopia
2. Livestock Research Directorate, Jinka Agricultural Research Center, P. O. Box 96, Jinka, Ethiopia

Abstract: The absence of information on cattle marketing systems is a major challenge for cattle producers and
policymakers in Ethiopia. Therefore, this study was conducted in the Bena-Tsemay district with the aim of assessing
the cattle marketing system. The household survey involved the interviewing of 150 households of eight Kebeles,
which were purposefully selected from the three cattle production systems. The qualitative parameters, such as cattle
market infrastructures, cattle transportation facilities, cattle market information, cattle marketing channels, cattle market
actors, and the extent of extension service in the cattle marketing system, were analyzed using non-parametric methods,
while the means of the quantitative parameters, such as cattle price and a number of cattle supplies, were analyzed
using a one-way ANOVA of SPSS, version 20. The results revealed that the majority (73.2%) of the cattle keepers in
three production systems sold their cattle; while very few (24.8%) did not. Approximately 58.33% of respondents said
they bought and sold cattle at the local market using eyeball estimation, while only 12.2% used a bartering system.
The majority of cattle keepers (69.30%) have access to cattle market information, while a few of them (30.7%) do
not have access to cattle market information. The prices of selling and purchasing cattle were determined via peaceful
negotiations between cattle sellers and traders (66.7%), while a small percentage (33.3%) was determined only by the
cattle seller’s decision. The lack of cattle market and transportation facilities, the lack of cattle market price promotion
centers, the lack of credit services, and the lack of capacity buildings were the major cattle marketing constraints.
Thus, based on the results, the authors concluded that capacity-building and development efforts should be designed
for cattle market transport facilities, legal cattle market promotion centers, credit services, and cattle feeding and health
improvement strategies.

Keywords: Cattle; Cattle marketing; Production systems; Market channel; Marketing prices

1. Introduction crop-livestock production systems. The pastoral produc-

Ethiopia has approximately 70 million cattle, which tion system is one in which pastoralists extensively rely
have been reared in pastoral, agro-pastoral, and mixed only on cattle; there is no crop production practice in

*Corresponding Author:
Denbela Hidosa,
Livestock Research Directorate, Jinka Agricultural Research Center, P. O. Box 96, Jinka, Ethiopia;
Email: denbelahidosa@gmail.com

Received: 28 October 2022; Received in revised form: 8 December 2022; Accepted: 16 December 2022; Published:
30 December 2022

Citation: Adane, Z., Hidosa, D., 2022. Cattle Marketing System in Bena-Tsemay District of South Omo, South-
Western Ethiopia. Research on World Agricultural Economy. 3(4), 758. http://dx.doi.org/10.36956/rwae.v3i4.758

DOI: http://dx.doi.org/10.36956/rwae.v3i4.758
Copyright © 2022 by the author(s). Published by NanYang Academy of Sciences Pte. Ltd. This is an open access article under the Creative
Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) License. (https://creativecommons.org/licenses/by-nc/4.0/).

59
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
this system. The agro-pastoral production system is char-
acterized by the dominance of livestock husbandry and
limited crop production practice, while the mixed crop-
livestock system is the dominant livestock production
system in which crops and livestock play interdependent
roles, with livestock providing draught power and manure
for crop agriculture while crop residues provide feed for
the livestock. Of the 70 million cattle population, about
68,180,000 (97.4%) are indigenous cattle, 1,610,000
(2.3%) are hybrid cattle, and 210,000 (0.3%) are exotic
breeds [1]. Cattle are the leading livestock species in the
country and have a tremendous role in being a source of
cash income, food (meat and milk), fulfilling cultural ob-
ligations, and delivering about 68 million tons of organic
fertilizer and almost 617 million days of animal traction
to 3.85 million rural households in the highlands and 7.15
million rural households in the lowlands [2]. The cattle
consist of cows, oxen, heifers, and steers and have the
capability to adapt to the varying agroecological zones of
Ethiopia to produce milk, meat, and traction [3,4]. It is evi-
dent that the average lactation period and milk yield per
cow per day at the country level is estimated to be about
seven months and 1.482 liters, respectively [1]. The beef
cattle here refer to all cattle reared exclusively for meat
that is used either for home consumption or for sale [1]. Of
the annually produced meat from the beef, about 56.9%
was used for household consumption, 29.41% was sold
at the local market, 1.9% was paid for wages in kind, and
11.8% was used for other products [5]. Despite the huge
share of the cattle population in the country, the economic
and social merits that have been generated from the cattle
production systems in Ethiopia are generally very low due
to different technical and non-technical constraints [1,2].
The lack of much-updated information on the cattle mar-
keting system related to cattle market infrastructures,
cattle market transportation facilities, the cattle market in-
formation delivery system, cattle handling facilities at the
abattoir and export level, the absence of a market-oriented
cattle production system, excessive cross-border illegal
trade, and stiff competition are among the major non-
technical constraints that have been challenging the cattle
marketing system in Ethiopia [6,7]. The market is defined as
the set of actual and potential buyers of a product, while
marketing is defined as the performance of all business
activities involved in the flow of goods and services from
the point of initial production until they are in the hands
of ultimate consumers [8]. The “market price” is the quan-
tity of payment or compensation given by one party to
another in return for goods or services [9]. The marketing
channel is an organized network of various agencies and
institutions that, when combined, perform all of the activi-
60
ties required to connect producers and consumers in order
to complete marketing tasks [10]. Similarly, in the Bena-
Tseamy district where this study was conducted, there is
a lack of updated information on cattle market infrastruc-
tures, cattle transportation facilities, cattle market infor-
mation sources, cattle marketing channels, cattle market
actors, cattle marketing prices, the source of cattle supply,
the extent of extension service in promoting on-time cattle
market prices, the credit service delivery system, and cat-
tle market constraints due to absence of capacity-building
and development interventions. Understanding the cattle
marketing system and cattle market constraints is there-
fore critical for developing cattle marketing system de-
velopment strategies for interventions that would improve
the efficiency of the cattle marketing system in a way that
would benefit livestock producers, traders, government or-
ganizations, and non-governmental organizations (NGOs).
Thus, the objective of the study was to assess the effect of
the production systems and seasons on the cattle market-
ing system.
2. Materials and Methods
The assessment study on the cattle marking system was
conducted in the Bena-Tseamy district which is indicated
in Figure 1. The Bena-Tseamy district is located between
5°0’1” and 5°73’0” feet north latitude and 36°38’0” and
37°07’0” feet east longitude in the South Omo region of
southwestern Ethiopia. The district is characterized by
semi-arid and arid climatic conditions, with mean annual
rainfall averaging from 350 mm to 838 mm. The long rainy
season began in March and lasted until June, while the
short rainy season lasted from September to October [11].
The average ambient temperature of the study area ranged
from 26 °C to 35 °C, and the district is predominantly
covered with different masses of Acacia, Grewia, and
Solanum woody species [12,13]. Agro-pastoralism is the
most common land-use system [13,14], with cattle and goats
grazing and browsing on more than 48% of the district’s
total land area [12]. Rain-fed agriculture is practiced, and
sorghum, maize, millet, beans, wheat, barley, and vegeta-
bles are the major crops grown in the study area [12]. The
Bena are an ethnic group that lives in the higher altitudes
of the Bena-Tsemay district and is more involved in crop
production, whereas the Tsemay are an ethnic group that
has practiced pastoralism and lives in the lower altitudes
of the Bena-Tsemay district and relies on livestock pro-
duction [12]. The estimated human population of the Bena-
Tsemay district is about 86,691, of which 44,591 are male
and 42,100 are female [15], and the population of livestock
is estimated to be 525,941 cattle, 211,818 sheep, 910,252
goats, 235,363 poultry, and 36,387 donkeys [16].
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Figure 1. Map of study area
3. Study Design
3.1 Sample Selection Procedure and Sample Size
A multistage sampling procedure was employed to
select the study Kebeles. For the first stage, 34 Kebeles
(the smallest administrative subunit) of the Bena-Tsemay
district were stratified into three categories based on the
cattle production systems that prevailed in the district
(pastoralists, agro-pastoralists, and a mixed crop-livestock
system). In the second stage, a purposive sampling tech-
nique was used to select the sample study Kebeles from
each cattle production system based on the number of
cattle they supplied to the cattle market, their cattle mar-
keting experience and potential for the cattle emanated
from a different place to market. Thus, from the pastoral
production system, three Kebeles (Sitemba, Luka, and
Anesonda); from the agro-pastoral production system,
four Kebeles (Argo, Shaba, Gurdo, and Sile); and one
from the mixed crop-livestock production system (Chali)
were acknowledged for the face-to-face household survey.
Finally, a simple random sampling technique was used to
select households from each selected kebele that have ex-
perience in the cattle marketing system. The sample size
from each kebele was determined based on proportion to
the total human population in each selected Kebele, and
thus, a total of 150 households (57 HHs from pastoral, 55
HHs from agro-pastoral, and 38 HHs from mixed crop-
livestock production systems) were selected according to
the sampling technique [17].
no
Z
2
* ( P)(q)
no = → n1 =
d 2 (1 + no / N)
where, no = desired sample size according to Cochran’s
(1977) when population greater than 10,000; n1 = finite
population correction factors population less than 10,000;
Z = standard normal deviation (1.96 for 95% confidence
level); P = 0.11 (proportion of the population to be in-
cluded in the sample i.e. 11%); q= 1-0.11 i.e. (0.89); d = is
degree of accuracy desired (0.05), 5% error term.
3.2 Data Collection Methods
3.2.1 Household Survey
Primary data were collected by interviewing the house-
holds using a semi-structured questionnaire. During the
face-to-face interviews, respondents raised important
points such as cattle marketing practices, cattle marketing
locations, access to cattle market information, source of
cattle market information, main actors in the cattle mar-
ket, cattle marking prices, cattle price determiners, cattle
market efficiency, and cattle marketing channel. The rapid
cattle market assessment study was conducted at the five
cattle marketing centers (Key-Afer, Alduba, Kako, Woito,
and Luka). Figure 2 indicated cattle in Alduba during the
cattle market monitoring study.
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Figure 2. Alduba market monitoring during cross sec-
tional study
3.2.2 Focus Group Discussions (FGDs)
A Focus Group Discussion (FGD) is a qualitative re-
search method and data collection technique in which a
selected group of people discusses a given topic or issue
in-depth. In each selected Kebele, one FGD was conduct-
ed by using a checklist prepared for this purpose. The par-
ticipants in the focus group discussions were comprised of
12–25 interviewees, of which about 6–10 were women’s
households. The participants for FGD were drawn from
pastoralists, agro-pastoralists, farmers from crop-livestock
production systems, and local collectors, medium traders,
large traders, and butcher men with the aid of develop-
ment agents based on their cattle marketing experiences.
Respondents raised key points during the FGD about
cattle market infrastructures, cattle market information
sources, cattle marketing channels, cattle market actors,
cattle marketing prices, and cattle supply sources which
are indicated in Figure 3.
Figure 3. FGD with respondents during cross sectional
study in Shaba Aregmenda Kebele
62
3.2.3 Key Informants Interviews
Key informant interviews are qualitative, in-depth in-
terviews with people who know what is going on in the
community to collect information from a wide range of
people, including community leaders and professionals.
The three key informant interviews were conducted with
developmental agents, livestock production experts, and
marketing experts based on their knowledge of cattle
marketing and their willingness to cooperate in providing
information to the cattle marketing system.
3.3 Methods of Data Analysis
Data collected from the face-to-face survey were
coded using the MS Excel program. The collected data
from the qualitative parameters were analyzed using non-
parametric methods, while the means of the quantitative
parameters were analyzed by using One-Way ANOVA us-
ing SPSS, version 20. The following models were used to
analyze the effects of cattle production systems and cattle
marketing seasons on cattle marketing systems and prices
in the Bena-Tsemay district.
Model 1: The statistical model for the analysis of the
effect of livestock production systems on cattle marketing
systems:
Yijk = µ + PSi + eijk;
where Yij = cattle marketing system; µ = Overall population
means; PSi = the effect of ith cattle production system (i =
pastoral, agro-pastoral and mixed crop-livestock); eijk =
Random residual error.
Model 2: The statistical model for the analysis of the
effect of cattle marketing seasons on prices of cattle:
Yij = µ + Si + eij
where Yij = the observation on prices of cattle at different
seasons; µ = Overall; population mean; Si = effect of ith
seasons (i = Dry and Wet); eij = Random residual error.
4. Results and Discussion
4.1 Purchasing and Selling of Cattle
The purchasing and selling practices of cattle in the
Bena-Tsemay district are presented in Table 1. The major-
ity (73.2%) of the households with pastoral, agro-pastoral,
and mixed livestock production systems reported that
they sold cattle, while a few (26.8%) did not. Those who
sold cattle were due to settle government expenses, cover
social obligations, cover health bills, buy replacement
stock, restock, and cover school fees. More respondents
from agro-pastoralists and crop-livestock production sys-
tems participated in cattle-selling practices than pastoral
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
production systems. The respondents of the former of the
two production systems that sold the cattle reasoned out
that they had more access to market information and were
partly engaged in pasture-crop-residue-based cattle fatten-
ing operations. Respondents from the pastoral production
system (35.10%) who did not sell cattle argued that cat-
tle are a source of food (milk and meat) for their family
members as well as an indicator of who is the wealthiest
in the community. As a result, they preferred to increase
the cattle population rather than decrease it by selling the
cattle. In line with the present study, the studies [18] and
Teshager et al. [19] indicated that the major reasons for the
selling of cattle were to settle government expenses, ful-
fill social obligations, cover health bills, buy replacement
stock, restock, and cover school fees. Regarding the pur-
chase of cattle, about 51.3% reported they purchased cat-
tle from the local market, while about 48.7% replied that
they did not participate in cattle purchasing from the local
market. More respondents were involved in purchasing
cattle in the pastoral production system than in the agro-
pastoral and crop-livestock production systems. They
reasoned that they were involved in purchasing more cat-
tle in order to increase the number of cattle as an indicator
of the wealthiest members of the community. The fewer
respondents that did not participate in cattle purchasing
from agro-pastoral and crop-livestock production systems
as compared to pastoral production systems were due to
more grazing land being converted into cropland, so they
faced a shortage of grazing land. Similarly, the study [13]
showed that in the Bena-Tsemay district, most of the com-
munities have transitioned from purely pastoralist liveli-
hoods into agro-pastoralist livelihoods. As a result, a large
portion of the former browsing and grazing rangelands is
being converted to farmland.
4.2 Cattle Buying System
The cattle buying system in the study area is presented
Table 1. Purchasing and selling practice of cattle in Bena-Tsemay district
Production systems
Pastoral Agro- pastoral
Variable
(N = 57) (N = 55)
Do you sell cattle?
• Yes 64.90 76.40
• No 35.10 23.60
Do you buy cattle?
• Yes 56.40 54.40
• No 43.60 45.60
The value observed between the three cattle production system are significantly different at (X2 < 0.001); X2 = Pearson Chi-square;
N = number of respondents.
in Table 2. The majority of pastoral, agro-pastoral, and
mixed crop-livestock production households (58.33%)
reported that they bought and sold cattle from the local
market using eyeball estimation, while only a small per-
centage (12.2%) used the bartering system, and the major-
ity of respondents used both methods. According to the
group discussants, eyeball estimation was the preferred
method used by all buyers in the study area due to a lack
of weighing facilities, and producers (sellers) had no skill
in reading weighing scales. The bartering methods of price
determination refer to an act of trading goods or services
between two or more parties without the use of money.
According to the findings of this study, cattle selling or
buying methods using bartering systems are more preva-
lent in pastoral production systems than in agro-pastoral
production systems, but not in crop-livestock production
systems. As a result, the respondents from pastoral areas
have reported that they have less access to education and
cattle marketing information. As a result, they exchange
cattle with goats or with grains. Similarly, different schol-
ars reported that eyeball pricing was practiced in the in-
formal marketing system in many parts of Ethiopia [20-22].
4.3 Cattle Marketing Place
The places where the cattle are marketed in Bena-
Tsemay Woreda are illustrated in Figure 4. In the Bena-
Tsemay district, there are about five cattle marketing
places, such as Key-Afer, Kako, Alduba, Woyito, and
Luka, which are legalized. During market monitoring
time, with the exception of the Key-Afer, Alduba, and
Kako markets, the village markets such as Woyito and
Luka are undeveloped and characterized by poor market
infrastructure or are not fenced. However, Key-Afer and
Kako markets were fenced with locally available woody
materials, while the Alduba market is well developed and
has cattle loading facilities that were constructed by the
Lowland Land Resilience Project (LLRP). The majority of
Crop-livestock Over all
X2 P-value
(N = 38) (N =150)
1.3 0.52
78.30 73.20
21.70 26.80
39.50 51.30
60.50 48.70
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Table 2. Purchasing and selling practice of cattle in Bena-Tsemay district

Production systems
Pastoral Agro- pastoral Crop-livestock Over all
Variable X2 P-value
(N = 57) (N = 55) (N = 38) (N =150)
Buying cattle based on 3.8 <0.001
a b c
• Eyeball estimation 33.30 41.70 100 58.33
• Bartering system 21.10a 14.50b 0.00 12.20
• Both 45.60a 43.60a 0.00 29.73

The value observed between the three cattle production system are significantly different at (X2 < 0.001); X2 = Pearson Chi-square;
N = number of respondents.

respondents (68%) of pastoral, agro-pastoral, and mixed
crop-livestock production systems reported that they pur-
chased and sold their cattle in the legalized markets (Key-
Afer Kako, Alduba) and however, very few respondents
(6%) purchased and sold cattle within the village market
such as Woyito, and Luka, which is not well organized. In
all identified marketplaces, there is only one market day
per week. Consequently, the Kay-Afer market will be held
on Thursday, the Kako and Luka markets on Monday, the
Alduba market on Tuesday, and the Woyito market on Sat-
urday. Legalized cattle marketing was more prevalent in
the crop-livestock production system than in the pastoral
and agro-pastoral systems. On the other hand, in the pas-
toral production system, more cattle were sold at the vil-
lage market than crop-livestock, while in the agro-pastoral
production system, there were no cattle sold or bought
at the village market. As a result of the present study, the
studies [18,23] demonstrated that the cattle marketing sys-
tems in Harshin and Borana districts were undeveloped
(69.30%) from pastoral, agro-pastoral, and mixed crop-
livestock production systems replied that they have ac-
cess to cattle market information, while a few of them
(30.7%) reported that they do not have access to cattle
market information. Access to market information refers
to whether the actors obtain information on current cattle
prices from available public media, co-farmers, friends,
and farmers’ organizations [19]. Market information is dy-
namic in order to reduce information uncertainties at the
production site, and it is required by producers in their
production planning and marketing strategy [19]. Similarly,
in the Borena and Ilu Aba Bora areas, most of the cattle
producers get market information before taking their live-
stock to marketplaces, and they decide to sell at a good
price [18,19].
80
72.7
68.4 69.3
70 65.8
60
50
Have acess to cattle market

and characterized by inadequate market infrastructure, and 40

31.6
34.2
30.7
Have no access to cattle market
27.3
cattle were marketed in open spaces. Similarly, the study 30

reported by Kassa et al. [24] indicated that the cattle mar- 20

10
keting place in the Moretna Jiru district of North Shoa did
0
not have any shade or fence, but it had a boundary with Pastoral Agro-pastoral Cro-livestock Over all

other livestock, which did not have any fence or mark.

Figure 5. Access to market information and source of mar-
80
68.4
72.7
68 ket for cattle market in Bena-Tsemay district
70 60.5
60
50
Village 4.5 Source of Cattle Market Information
36.8
40
30
27.3 26 Legal Market The source of cattle market information is presented in
20 14
17.5 Figure 6. Regarding the source of cattle market informa-
6
10
0 2.6 Both tion, the majority of respondents (30.7%) in the pastoral,
0 agro-pastoral, and mixed crop-livestock systems got it
from friends and relatives, while only a few (12.70%) got
A

O
C
P

it from the previous week’s market in the study area. Sim-

Figure 4. Cattle marketing places in Bena-Tsemay district
4.4 Access to Cattle Market Information
As indicated in Figure 5, the majority of respondents
ilarly, Borana pastoralists used previous market informa-
tion, relatives and neighbors, extension agents, coopera-
tives, and traders as sources of market information before
selling cattle to the local market [18].

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

45
40.4
4.7 Cattle Price Determination
40

35 31.6
34.2
31.6
The cattle price determination in the Bena-Tsemay
30.9 30.9 30.7 30.7
30 27.3 26 district is presented in Table 3. According to the present
Friend
25
Market
study, the prices of selling and purchasing cattle at the
18.4
20 17.5
15.8
Relative market centers were determined through peaceful ne-
15 12.7 Market&Friend

10
10.5
10.9 gotiations between sellers and buyers (66.7%) based on
5
visual estimations of the body weight of cattle, while few
0 (33.33%) of the respondents from pastoral, agro-pastoral,
Pastoral Agro-pastoral Cro-livestock Over all
and mixed crop-livestock production systems reported
Figure 6. Source of cattle market information in Bena- that the selling and buying price of the cattle in the study
Tsemay district area was determined only by seller decision. The seller
that has decided on the selling price of cattle did so based
4.6 Buyer and Seller Linkage on previous marketing price information. Thus, if the
price of the present market is below the price of the previ-
As indicated in Figure 7, the majority of cattle sellers ous market, the seller has decided to take their cattle back
(59.30%) were linked to cattle buyers in the study area home, and if the price of the present market is higher than
through direct contact and brokers at the marketing place, the previous market price, the seller has decided to sell
while about 40.70% of respondents replied that they were cattle at that price. Similarly, cattle prices are mainly de-
directly contacted by cattle buyers in the market place termined through negotiations between seller and buyer in
during market day. In terms of production systems, cat- the pastoral area of Borana Zone, Southern Ethiopia [18,19].
tle sellers from the agro-pastoral production system were
contacted directly by cattle buyers or traders in the cattle 4.8 Impact of Seasons on Cattle Marketing Price
market more than cattle sellers from the pastoral (36.6%) The seasonal cattle marketing price in the Bena-Tsemay
or crop-livestock (31.6%) production systems, while there district is presented in Table 4. According to the findings
was no sole broker role in the cattle marketing system in of this study, the pooled cattle marketing price was signifi-
the three production systems. cantly higher (P < 0.001) during wet seasons, which lasted
80 from mid-March to December, than during dry seasons. In
70 63.2
68.4 this study, the higher cattle price observed in wet seasons
59.3
60
50.9 49.1
is due to higher rainfall availability across wet seasons,
50 Direct
36.8 40.7 resulting in a sufficient supply of feed from rangeland
40
30
31.6
Broker only with good nutritive values to meet cattle requirements,
20 causing the animal to attain a higher body weight and,
10
Direct and Broker
thus, fetch a higher price. However, in dry seasons, which
0
Pastoral Agro-pastoral Crop-livestock Over all
lasted from January to mid-March, where there is a criti-
cal feed and water shortage and thus cattle producers were
Figure 7. Cattle buyer and seller linkage in Bena-Tsemay forced to take their cattle to the market, the selling prices
district of cattle are significantly lowered. Similarly, Getachew
Table 3. Cattle price determination in Bena-Tsemay district
Production system
Pastoral Agro- pastoral Crop-livestock Over all X2
Particulars P-value
(N = 57) (N = 55) (N = 38) (N =150)

Price determination 0.24 0.88

• Seller 35.10 30.90 34.20 33.30
• Buyer 0 0 0 0
• Broker 0 0 0 0
• Negotiation b/n seller and buyer 64.90 69.10 65.80 66.70

The value observed between the three production system are not significantly different at **(X2 > 0.01); X2 = Pearson Chi-square;
N = Number of respondents.

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

et al. [25] reported that the body conditions of animals high-
ly influences the price at cattle markets, which indicated
that buyers paid a significantly higher price for cattle with
excellent body weight than those with poor body condi-
tion. In the dry season, the shortage of feed and water may
also increase the supply of cattle in the local market and,
hence, lower the selling price of cattle as reported [26]. Dif-
ferent researchers reported different selling prices of cattle
in Ethiopia, which are lower than the reported price values
from the present study. Accordingly, the average selling
price for an ox ranges between 4,500 and 6,000 ETB in
Turmi and Dimeka districts, while the price of ox in the
town of Arbaminch ranges from 8,00 to 9,00 ETB [27].
The other study [28] indicated that the average selling price
of breeding cattle in the Sebeta terminal market was 4,880
ETB for heifers and bulls, while the selling price of oxen
is 6,427 ETB, and Fikru [23] reported an average selling
price of 9,500 ETB for cattle in the Harshin district of So-
malia’s regional state.
The price of cattle compositions that have been af-
fected by marketing seasons at the Key-Afer terminal
cattle market is presented in Figure 8. The result declared
that the cattle marketing price decreased from January
to mid-March and reached its peak price in April for all
categories of cattle. However, it fell again between May
and July before beginning a steady rise that culminated in
September. It was unusual with the sharp drop in market-
ing prices of all cattle compositions that got higher prices
in December than in October, except for the price of heif-
ers used for breeding purposes, during October and No-
vember. The sharply decreased marketing prices of differ-
ent cattle categories from January to February are due to
the critical feed and water shortages from January to mid-
March, which forced cattle producers to take their cattle
to the market, resulting in the cattle selling prices being
significantly lowered. The higher cattle buying capacity of
traders in the months of April, September, and December
in the study area is due to holy ceremonies and the New
Year’s festival, which require the supply of large numbers
of cattle at local and national markets.

Table 4. The seasonal cattle marketing price in Birr in Bena-Tsemay Woreda

Seasons
Cattle species Wet season Dry season Overall SL
P-value
(Mean± SEM) (Mean±SEM) (Mean± SEM)
• Heifer 7,503a±63.2 6, 350b±53 6, 923±53 <0.001 ***
a b
• Bull 11,492 ±96.6 9, 992 ±67 10, 737±73 <0.001 ***
• Cow 9,689a±91.3 8, 214b±82 8, 947±75 <0.001 ***
a b
• Ox 18, 593 ±202 16,403 ±15 17,491±146 <0.001 ***

Means with different superscripts (a, b) within across a row in seasons for cattle price are significantly different (P< 0.001); SEM=
Standard error of mean; SL = Significance level; ETB= Ethiopian Birr; ***= significantly differed at P = 0.001.

30000

25000
Cattle market price in ETB

Fatten ox
20000
Fatten cow
15000 Aged ox
Aged cow
10000
Bull
Heifer
5000

0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Figure 8. Extent of the prices of various categories of cattle supplied to Key-Afer cattle market in 2020

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4.9 Marketing Routes for Cattle
The cattle marketing route is a pathway through which
producers flow into different market destinations. The
Key-Afer market is the legalized terminal cattle market in
the Bena-Tsemay district for the inflow of cattle popula-
tion to different destinations. The main source of cattle in
the Key-Afer terminal market is the bush market such as
Kako, Woyito, Alduba, Luka and Dimeka market. Accord-
ing to FGDs, there were three cattle market routes identi-
fied in the Bena-Tsemay district:
1) Bushmarket>Kako/Woyito/Luka/Dimeka/Beneta/
Alduba>Key-Afer>Modjoexport abattoir;
2) Kako/Woyito/Luka/Dimeka/Alduba> Keyafer > Ad-
dis Ababa;
3) Bush market > Kako/Key-Afer>Jinka;
4.10 Cattle Marketing Channel
A marketing channel is a pre-planned network of vari-
ous agencies and institutions that, when combined, per-
form all of the activities required to connect producers
with consumers in order to complete marketing tasks [29].
According to respondents, in the Bena-Tsemay district,
there were about 10 cattle marketing channels were iden-
tified. These cattle marketing channels began at the cattle
production gate and flowed out through various paths to
final consumers. These channels represent the full range of
available outlets through which cattle move from the dif-
ferent collection points into the terminal markets to meet
end-users requirements. Key-Afer Market is the terminal
cattle market in the Bena-Tsemay district for the inflow of
cattle. The main sources of cattle in the Key-Afer market
are village markets such as Kako, Beneta, Woito, Alduba,
Luka, and Hamer Woreda (Dimeka market). The follow-
ing cattle marketing channels were identified based on the
cattle marketing channels depicted in Figure 9:
Channel 1: Producers > Consumers
Channel 2: Producers > Producers (for breeding purpose)
Channel 3: Producers > NGOs > Producers
Channel 4: Producers> Local hotels & restaurants > Con-
sumers
Channel 5: Producers > Local collectors’ > Local hotels &
restaurants > Consumers
Channel 6: Producers > Local collectors > Consumers
Channel 7: Producers > Local collectors > Small scale
traders > Addis Ababa
Channel 8: Producers > Small scale traders > Arbaminch/
Wolaita >Addis Ababa baba
Channel 9: producers > Local collectors > Medium scale
trader > Modjo export abattoirs

Dimeka Market

Jinka
Market

Kako
Market

Benata
Market

Figure 9. The cattle marketing routes in Bena-Tsemay district

Figure 9. The cattle marketing routes in Bena-Tsemay district
4.10 Cattle Marketing Channel

A marketing channel is a pre-planned network of various agencies and institutions that,

when combined, perform all of the activities required to connect producers with consumers in 67
order to complete marketing tasks . According to respondents, in the Bena-Tsemay district,
[29]

there were about 10 cattle marketing channels were identified. These cattle marketing channels
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
Channel 10: Producers > Medium scale trader > Modjo
export abattoirs
Channel 1: Producers > Consumers
According to respondents, in this channel, individual
consumers at Key-Afer, Kako, Jinka, and Woyito markets
bought the cattle from producers for home consumption
during the holiday festivity. In this case, there was no inter-
mediary share and, thus, the producers were getting all the
margin of transactions there was a middleman who shared
intermediary costs. Moreover, the Jinka market is a big-
ger market where a number of buyers and sellers meet on
the weekend. The cattle from the Kako market chain end
partly when purchased by butchery men and farmers for
farm-land traction. Some of the traders purchased heifers
and oxen from the Jinka market and transported them to the
Gofa area for breeding and farmland traction, respectively.
Channel 2: Producers > Producers
Under this cattle marketing channel, producers partici-
pated directly in the selling of cattle in their local area,
either for breeding or for farm-land traction purposes. The
producers sell the cattle to other producers because they
prefer to they know to get the basic historical evidence
about the adaptability of the cattle to their extent. They
also stated that during critical feed shortages caused by
climate change, they lost a large number of cattle com-
positions, and the producer desired to obtain replacement
stock from the local market to restock their farm. They
also mentioned that they bought cattle for breeding pur-
poses because agro-pastoralists feel contented to buy from
other agro-pastoralists since they can get reliable histori-
cal information about the cattle breeding performance and
this is more of an advantage of traceability in case some-
thing goes wrong with ownership of cattle.
Channel 3: Producers > NGOs > Producers
The respondents reported that sometimes they faced
drought incidences, and thus the producers quickly lost
a number of cattle and were vulnerable to the menacing
condition. Therefore, under these circumstances, different
NGOs purchased cattle from their local market or other
areas and donated them to the affected cattle producers so
that they could be used for restocking purposes.
Channel 4: Producers >Local hotels & restaurants >
Consumers
The respondents reported that the hotels and restaurants
in Key-Afer town, Kako, Woyito, and Alduba Kebeles were
buying live cattle from the cattle producers. In this channel,
68
producers and hotels benefited from transactions due to the
fact that there were no intermediaries that shared benefits
from cattle selling. This direct transaction between produc-
ers and hotels/restaurants would boost the proportion of the
final price of the cattle that would reach producers and also
induce buyers to purchase more cattle at lower prices.
Channel 5: Producers > Local collectors > Local
hotels & restaurants > Consumers
Under this channel, the local collectors bought cattle
from producers and resold them to local hotels and restau-
rants in the market or directly to the hotel customer. Ac-
cording to respondents, the local collectors were involved
in the selling of cattle to local restaurants/hotels and made
a profit of 1,500–2,000 ETB per head while the local res-
taurant/hotel made up to 3,000 ETB profit from the trans-
action that made producers less benefit.
Channel 6: Producers > Local collectors > Con-
sumers
Individual consumers who live in Jinka and Key-Afer
towns have little or no chance to buy cattle from the pro-
ducers, who usually buy cattle from the local collectors,
especially during religious holidays.
Channel 7: Producers > Local collectors > Small
scale traders > Aribaminch/Sodo > Addis Ababa
The respondents reported that there were many small-
scale traders who collect cattle from local collectors and
supply live cattle to Arbaminch/Sodo and Addis Ababa
from the Key-Afer market. They purchased cattle with a
higher body weight and in good condition in order to sup-
ply Arba Minch, Sodo, and Addis Abeba.
Channel 8: Producers > Small-scale traders > Ar-
baminch/Wolaita > Addis Ababa baba
Under this channel, the small-scale traders directly
bought the cattle from producers and transported the live
cattle to Arbaminch/Wolaita/Addis Ababa and made ben-
efit transactions. On market days, they were mostly col-
lected from local cattle markets in the study area. They
sometimes could not get a sufficient number of cattle from
one market day, so they waited for the next market day
and were transported to Addis Ababa.
Channel 9: Producers > Local collectors > Me-
dium scale trader > Modjo export abattoirs
Under this channel, the local collectors would collect
cattle from producers and resell them to medium-scale
 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
traders. Then medium-scale traders collect cattle from dif-
ferent collectors at different locations until they get full of
the truck load and supply them to Modjo’s modern export
abattoirs.
Channel 10: Producers > Medium scale trader >
Modjo export abattoirs
This channel refers to the channel in which medium-
scale traders in the Key-Afer market get cattle from differ-
ent destinations into the study area through brokers. The
brokers sell or collect the cattle to medium-scale traders
who truck them to Modjo modern export abattoirs.
5. Cattle Marketing Constraints
5.1 Lack of Transportation Facilities
The respondents from the three cattle production sys-
tems reported that they transported cattle a long distance
by foot from the production gate to the market. As an
example, they mentioned that cattle are transported from
Dimeka to Alduba market for about 40 km, from Alduba
market to Key-Afer market for about 17 km, from Woyito
market to Key-Afer for 42 km, from Luka to Key-Afer
market for 21 km, and from Key-Afer to Jinka market for
about 42 km. They mentioned that cattle were transported
the whole day from the production gate to the market-
place, which exposed them to different stresses due to a
lack of feed and water. As a result, considerable weight
losses were incurred, which, in turn, accounted for the
significant fall in market prices. During the FGDs with the
local collectors and medium traders at the Key-Afer mar-
ket, they mentioned that they incurred additional costs for
cattle keepers and transporters for the whole day for hoof
transportation.
5.2 Lack of Feed Shortage
The respondents replied that the lack of cattle feed as
a result of climate change is the major constraint that has
been greatly affecting cattle market prices for the last ten
years by inducing considerable weight losses, especially
during dry seasons, of the weight that was made in wet
seasons. The traders wanted to pay more for cattle with
good or excellent body conditions than for cattle with
poor body conditions. Similar to the results from the pre-
sent study, the study reported by Zelalem et al. [30] demon-
strated that the seasonal fluctuation in the availability and
quality of feed is a major constraint that has affected cattle
production in the Bena-Tsemay district.
5.3 Lack of Extension Service in Market Promotion
The promotion of cattle market prices is a key aspect
in price determination due to the fact that cattle producers
know what prices were estimated in the market, and the
cattle producers can easily negotiate with traders or take
their cattle to markets where prices are higher rather than
sell them to the local traders at lower prices. In the study
areas, cattle producers replied that they had obtained the
weekly cattle market price information from neighbors
and friends, but they had not obtained the weekly or
monthly cattle market price information from the market
experts or heard from radio or other media, which has
greatly reduced the benefit to cattle producers.
5.4 Lack of Credit Service
The respondents from the three cattle production sys-
tems replied that they do not have access to credit services
that allow them to borrow money to produce more cattle
for the market or fatten them and supply them to the local
market due to a lack of credit-providing organizations or
services in the study area. Similarly, Shewangizaw et al. [22]
reported that the lack of initial capital is the first-ranked
constraint due to the lack of credit provision organiza-
tions for the cattle market in the Central Southern Region
of Ethiopia. Also, the study reported by Belete et al. [31]
showed that farmers found in Fogera plain are willing to
get involved in beef cattle fattening activity and supply,
but they are not able to purchase cattle to be fattened due
to a lack of initial capital.
5.5 Lack of Training on Cattle Marketing
Providing capacity-building training to cattle producers
is important to promote cattle producers concerning when,
how, for whom and how many cattle to produce and sup-
ply to the market. The respondents from the three produc-
tions mentioned that they had not received any capacity-
building training related to cattle marketing and supply
which adversely affected them.
6. Conclusions
The majority of the households with pastoral, agro-pas-
toral, and mixed livestock production systems sold cattle,
while very few did not. The majority of respondents from
pastoral, agro-pastoral, and mixed crop-livestock produc-
tion systems purchased and sold their cattle in the village
and legalized markets, while very few purchased and sold
cattle within the village market, which is not legalized.
The majority of respondents in pastoral, agro-pastoral,
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
and mixed crop-livestock production have access to cattle
market information, while a few of them have no such ac-
cess. The more cattle sellers were connected to cattle trad-
ers and deals through direct contact and brokers, the more
cattle traders were contacted directly in the marketplace.
The prices of selling and purchasing cattle were deter-
mined via peaceful negotiations between cattle sellers and
traders, while a small percentage were determined only
by the cattle seller’s decision. The impact of seasons on
cattle marketing prices revealed that higher cattle market-
ing prices were observed in wet seasons while lower ones
were observed in dry seasons. The lack of cattle trans-
portation facilities, a feed shortage, a lack of cattle mar-
ket price promotion, a lack of credit service, and a lack
of capacity building were cattle marketing constraints.
Based on the results of this study, it was concluded that
the government should design strategies for cattle market
infrastructure development (Federer, waterer, loading
and animal health facilities), transportation facilities, the
introduction and promotion of improved feeds and feed-
ing strategies, the establishment of legal cattle market
promotion centers, and the provision of capacity-building
services to improve the cattle marketing system as policy
implications of this study.
Author Contributions
Mr. Zelalem Adane prepared the proposal, conducted
research, collected data. Mr. Denbela Hidosa analyzed
data, wrote and edited the whole paper and formatting the
paper according to journal protocol.
Acknowledgments
We are extremely thankful to the livestock and market-
ing experts of the Bena-Tsemay district for collaboration
and participation during the field data collection. Finally,
we are grateful to acknowledge pastoral, agro-pastoral and
farmers of three production systems for their patience dur-
ing data collection time.
Data availability
All data are available in the main text or in the support-
ing materials, and raw data can be obtained from the cor-
responding author upon request.
Conflict of Interest
The authors declare that they have no conflict of interest.
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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022

Research on World Agricultural Economy

https://ojs.nassg.org/index.php/rwae

EDITORIAL
Agriculture Economic Overview
Cheng Sun*
World Academy of Productivity Science (WAPS), Beijing, 102600, China

Agriculture is vital to economic growth: It accounts for
4% of global gross domestic product (GDP) and in some
least developed countries can account for more than 25%
of GDP. By 1890, the world agricultural economy had
taken shape, accompanied by complex changes in patterns
of labour mobility, capital flows, ecology and technology.
Food no longer came from nearby villages or towns, but
from thousands of miles away.
The last 50-100 years have seen dramatic changes in
agricultural production and productivity, driven in large
part by public and private investment in agricultural re-
search, with a profound impact on the world’s poor in par-
ticular [1].
In this issue, we begin by discussing the further de-
velopment of agriculture in Europe, under conditions of
post-war recovery like in Ukraine [2]. In particular, the
integration of the agricultural sector into the global eco-
nomic space. Then, in the next three articles we analyse
the problems in the agricultural development of the Afri-
can country Ethiopia, such as: One of the main obstacles
to livestock production in South Omo—the lack of infor-
mation on the state of production and commercialisation
of improved Panicum grass [3]; the essential role of rural
women in agricultural activities to reduce poverty and
food insecurity. The research focused on gender equity in
rural women’s access to and control over agricultural and
rural household resources [4]; as well as the cattle market
transport facilities, legal cattle market promotion centres,
credit facilities, and cattle feeding and health improve-
ment strategies [5]; and on the value chain of Macadamia
nuts (Macadamia integrifolia) technical efficiency among
the small-scale farmers in Zimbabwe in the article by Dr.
Wellington Bandason et al. [6]. Finally, accelerating climate
change could further cut crop yields, especially in the
world’s most food-insecure regions, therefore, an article
by Dr. Ganesh Raj Joshi and Dr. Ramchandra Bhandari
assesses perceptions of climate change in the Asian coun-
try Nepal and identifies factors influencing the adoption of
complementary irrigation practices [7].
COVID-19 had some impact on the development of the
world agricultural economy and food security. The main
effect of the pandemic was to exacerbate the existing de-

*Corresponding Author:
Cheng Sun,
World Academy of Productivity Science (WAPS), Beijing, 102600, China;
Email: 1225zkl@sohu.com

Received: 23 December 2022; Accepted: 27 December 2022; Published: 31 December 2022

Citation: Sun, C., 2022. Agriculture Economic Overview. Research on World Agricultural Economy. 3(4), 803.
http://dx.doi.org/10.36956/rwae.v3i4.803

DOI: http://dx.doi.org/10.36956/rwae.v3i4.803
Copyright © 2022 by the author(s). Published by NanYang Academy of Sciences Pte. Ltd. This is an open access article under the Creative
Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) License. (https://creativecommons.org/licenses/by-nc/4.0/).

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 Research on World Agricultural Economy | Volume 03 | Issue 04 | December 2022
clining trend in food security. Food insecurity increases
considerably in countries in Asia through income shocks
rather than prices effects [8].
Conflict of Interest
There is no conflict of interest.
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