IDEAS home Printed from https://ideas.repec.org/a/ags/roaaec/316627.html
   My bibliography  Save this article

Determinants Of Vertical Coordination Option Choices Among Smallholder French Beans Producers In Kenya

Author

Listed:
  • CHELANGA, Naomi Chebiwot
  • KARIUKI, Isaac Maina
  • OBARE, Gideon Aiko

Abstract

Research background: With market liberalization and the introduction of the new Global GAP measures, several vertical coordination options have emerged, presenting smallholder farmers with multiple market outlets. The choice of any vertical coordination option (VCO) is likely to be entwined by farm, farmer and vertical coordination attributes, yet the selection of an appropriate market outlet for delivering farm produce is not clear-cut. Purpose of the article: This study determines factors influencing the choice of vertical coordination options among smallholder French beans producers in Murang’a South Sub-County Methods: Using data from a sample of 215 smallholder producers, the study employed a multivariate probit model (MVP) to explain the determinants of vertical coordination option choices among French beans farmers in four wards located in Murang’a South Sub-County. Findings & Value added: The results indicate that the choice of vertical coordination option was significantly influenced by gender, household size, education stock, group membership, extension service, training access, farming experience, off-farm income, credit access, distance and market reliability. This implies that the promotion of collective action as an institutional tool for linking farmers to high-value markets, matters. These networks will aid in sharing knowledge, increasing borrowing power and thus, producers can improve French bean quality as required by the market. Additionally, financial institutions stakeholders should develop policies that favour the acquisition of credit at affordable rates. Further, the government with other relevant stakeholders should conduct more training on global gap standards.

Suggested Citation

  • CHELANGA, Naomi Chebiwot & KARIUKI, Isaac Maina & OBARE, Gideon Aiko, 2021. "Determinants Of Vertical Coordination Option Choices Among Smallholder French Beans Producers In Kenya," Review of Agricultural and Applied Economics (RAAE), Faculty of Economics and Management, Slovak Agricultural University in Nitra, vol. 24(2), October.
  • Handle: RePEc:ags:roaaec:316627
    DOI: 10.22004/ag.econ.316627
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/316627/files/RAAE_2_2021_Chelanga_et_al.pdf
    Download Restriction: no

    File URL: https://libkey.io/10.22004/ag.econ.316627?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Stefano Pascucci & Cornelis Gardebroek & Liesbeth Dries, 2012. "Some like to join, others to deliver: an econometric analysis of farmers' relationships with agricultural co-operatives," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 39(1), pages 51-74, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Carlos Omar Trejo-Pech & Roselia Servín-Juárez & Álvaro Reyes-Duarte, 2023. "What sets cooperative farmers apart from non-cooperative farmers? A transaction cost economics analysis of coffee farmers in Mexico," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 11(1), pages 1-24, December.
    2. Stefano Ciliberti & Angelo Frascarelli & Gaetano Martino, 2020. "Drivers of participation in collective arrangements in the agri‐food supply chain. Evidence from Italy using a transaction costs economics perspective," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 91(3), pages 387-409, September.
    3. Benmehaia, Mohamed Amine & Brabez, Fatima, 2016. "The Propensity To Cooperate Among Peasant Farmers In Algeria: An Analysis From Bivariate Approach," International Journal of Food and Agricultural Economics (IJFAEC), Alanya Alaaddin Keykubat University, Department of Economics and Finance, vol. 4(4), pages 1-14, October.
    4. Federica Di Marcantonio & Enkelejda Havari & Liesbeth Colen & Pavel Ciaian, 2022. "Do producer organizations improve trading practices and negotiation power for dairy farms? Evidence from selected EU countries," Agricultural Economics, International Association of Agricultural Economists, vol. 53(S1), pages 121-137, November.
    5. Eeva Alho, 2015. "Farmers’ self-reported value of cooperative membership: evidence from heterogeneous business and organization structures," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 3(1), pages 1-22, December.
    6. Viergutz, Tim & Zubek, Nana & Schulze-Ehlers, Birgit, 2016. "How Spatial Pricing Affects Cooperative Members’ Switching Decisions," 149th Seminar, October 27-28, 2016, Rennes, France 244772, European Association of Agricultural Economists.
    7. Agbo, Maxime & Rousselière, Damien & Salanié, Julien, 2015. "Agricultural marketing cooperatives with direct selling: A cooperative–non-cooperative game," Journal of Economic Behavior & Organization, Elsevier, vol. 109(C), pages 56-71.
    8. Hao, Jinghui & Bijman, Jos & Gardebroek, Cornelis & Heerink, Nico & Heijman, Wim & Huo, Xuexi, 2018. "Cooperative membership and farmers’ choice of marketing channels – Evidence from apple farmers in Shaanxi and Shandong Provinces, China," Food Policy, Elsevier, vol. 74(C), pages 53-64.
    9. Smaïl Amghrous & Damien Rousselière, 2019. "L’implication des agriculteurs dans les coopératives dans un pays en transition vers une économie de marché : Une application aux coopératives agricoles de services algériennes," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(4), pages 724-749, September.
    10. Jan Falkowski & Pavel Ciaian, 2016. "Factors Supporting the Development of Producer Organizations and their Impacts in the Light of Ongoing Changes in Food Supply Chains: A Literature Review," JRC Research Reports JRC101617, Joint Research Centre.
    11. Jos Bijman Jan Brusselaers & Krijn Poppe & Tomas Garcia Azcarate, 2014. "Dp Policy Measures Impact the Position and Performance of Farmers' Cooperatives in the EU?," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 85(4), pages 531-553, December.
    12. Maxime Agbo & Damien Rousselière & Julien Salanié, 2013. "A Theory of Agricultural Marketing Cooperatives with Direct selling," Working Papers halshs-00906894, HAL.
    13. Jan Falkowski & Aleksandra Chlebicka, 2018. "Fruit and vegetables producer organisations – some insights on their functioning based on data from Poland," JRC Research Reports JRC108869, Joint Research Centre.
    14. Solomon Bizuayehu Wassie & Kusakari, Hitoshi & Sumimoto, Masahiro, 2020. "Do Members Commit to Their Cooperatives? An Econometric Analysis of Members' Commitment in Ethiopia," Japanese Journal of Agricultural Economics (formerly Japanese Journal of Rural Economics), Agricultural Economics Society of Japan (AESJ), vol. 22.
    15. repec:hal:journl:halshs-01098762 is not listed on IDEAS
    16. Kamila Ruzickova & Petr Korab, 2013. "Does horizontal cooperation create value? A residual income approach application on Czech agricultural data," MENDELU Working Papers in Business and Economics 2013-32, Mendel University in Brno, Faculty of Business and Economics.
    17. Anna Milford, 2014. "Co-operative or coyote? Producers’ choice between intermediary purchasers and Fairtrade and organic co-operatives in Chiapas," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 31(4), pages 577-591, December.
    18. Mujawamariya, Gaudiose & D’Haese, Marijke & Speelman, Stijn, 2013. "Exploring double side-selling in cooperatives, case study of four coffee cooperatives in Rwanda," Food Policy, Elsevier, vol. 39(C), pages 72-83.
    19. Arcas-Lario, Narciso & Martín-Ugedo, Juan Francisco & Mínguez-Vera, Antonio, 2014. "Farmers’ Satisfaction with Fresh Fruit and Vegetable Marketing Spanish Cooperatives: An Explanation from Agency Theory," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 17(1), pages 1-20, February.
    20. da Silva César, Aldara & Conejero, Marco Antonio & Barros Ribeiro, Eliene Cristina & Batalha, Mário Otávio, 2019. "Competitiveness analysis of “social soybeans” in biodiesel production in Brazil," Renewable Energy, Elsevier, vol. 133(C), pages 1147-1157.
    21. Lin Li & Hongdong Guo & Jos Bijman & Nico Heerink, 2018. "The influence of uncertainty on the choice of business relationships: The case of vegetable farmers in China," Agribusiness, John Wiley & Sons, Ltd., vol. 34(3), pages 597-615, June.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:roaaec:316627. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/feuagsk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.