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Small-Scale Apple Farmers' Willingness to Invest - the Case of Korça Region Farmers in Albania

Author

Listed:
  • Myslym Osmani

    (Department of Economics and Rural Development Policies, Faculty of Economics and Agribusiness, Agricultural University of Tirana, Kamez-Tirana, Albania)

  • Arben Kambo

    (Department of Economics and Rural Development Policies, Faculty of Economics and Agribusiness, Agricultural University of Tirana, Kamez-Tirana, Albania)

Abstract

In this study we aim at assessing the willingness to invest of small-apple farms in Korça region-Albania. Furthermore, we want to identify and assess what are major determinants, as percept by farmers', willingness to invest. To this purpose we used data collected through face-to-face interviews with apple farmers. We used descriptive statistics, as well as classical and multinomial logistic regression. Most of farmers are willing to invest in view of their positive expectations for investment climate. Other important factors of willingness to invest are access to loans, advisory extension services, market competition, willingness to cooperate and willingness to take loans, and farm income, while socio-demographic factors such as age, education, and farming experience do not have significant effect on willingness to invest. Large farms are generally more willing to invest. We present also a general framework of constraints and policy levers to improving the investment climate which is almost valid also for Albania. Improving farmers' access to private credit sources, policy stability, providing information and public advisory services to small farmers, support farmers to adopt new technology, support to the creation of farmers' formal and informal groups, and mitigate risks of various type are some but essential policy measures to motivate farmers to invest more in apple.

Suggested Citation

  • Myslym Osmani & Arben Kambo, 2019. "Small-Scale Apple Farmers' Willingness to Invest - the Case of Korça Region Farmers in Albania," Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, Mendel University Press, vol. 67(1), pages 309-323.
    • Handle: RePEc:mup:actaun:actaun_2019067010309
    DOI: 10.11118/actaun201967010309
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    References listed on IDEAS

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    1. Lefebvre, Marianne & Gomez y Paloma, Sergio & Viaggi, Davide, 2014. "EU farmers' intentions to invest in 2014-2020: complementarity between asset classes," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182737, European Association of Agricultural Economists.
    2. Ihli, Hanna Julia & Musshoff, Oliver, 2013. "Understanding the Investment Behavior of Ugandan Smallholder Farmers: An Experimental Analysis," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150331, Agricultural and Applied Economics Association.
    3. World Bank, 2007. "Albania : Strategic Policies for a More Competitive Agriculture Sector," World Bank Publications - Reports 7563, The World Bank Group.
    4. Ihli, Hanna Julia & Musshoff, Oliver, 2013. "Investment Behavior of Ugandan Smallholder Farmers: An Experimental Analysis," GlobalFood Discussion Papers 154775, Georg-August-Universitaet Goettingen, GlobalFood, Department of Agricultural Economics and Rural Development.
    5. Edward Martey & Prince Etwire & Alexander Wiredu & Wilson Dogbe, 2014. "Factors influencing willingness to participate in multi-stakeholder platform by smallholder farmers in Northern Ghana: implication for research and development," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 2(1), pages 1-15, December.
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