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Aspects of profitability that influence smallholder cash-crop preferences in northern Mozambique

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  • Gastao Lukanu
  • J Maryann Green
  • Steve Worth

Abstract

This study analyses profitability in terms of relationships between various aspects, indicators and cash-crop cultivation preferences. Both financial and pragmatic aspects of profitability were found to be related to cash-crop preferences. Apart from the need to promote a crop with a good farm gate price and to reduce production and marketing costs, promoters need to strengthen the wider system by supporting profitability as well as household consumption requirements. The correlation between indicators of expected profitability improved as more financial and pragmatic aspects were incorporated. Smallholder farmers' rankings of profitability correlated better with cash-crop preferences when the analysis incorporated more aspects of profitability. In addition, the results indicated the institutional support needed to improve the profitability of cash crops. This simple method of identifying smallholder preferences for one cash crop among many is of paramount importance in the design of strategies for improving agricultural market participation.

Suggested Citation

  • Gastao Lukanu & J Maryann Green & Steve Worth, 2009. "Aspects of profitability that influence smallholder cash-crop preferences in northern Mozambique," Development Southern Africa, Taylor & Francis Journals, vol. 26(5), pages 755-777.
    • Handle: RePEc:taf:deveza:v:26:y:2009:i:5:p:755-777
    DOI: 10.1080/03768350903303332
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    References listed on IDEAS

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    1. Bias, Calisto & Donovan, Cynthia, 2003. "Gaps and Opportunities for Agricultural Sector Development in Mozambique," Food Security Collaborative Working Papers 56058, Michigan State University, Department of Agricultural, Food, and Resource Economics.
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    1. TerAvest, Dan & Wandschneider, Philip R. & Thierfelder, Christian & Reganold, John P., 2019. "Diversifying conservation agriculture and conventional tillage cropping systems to improve the wellbeing of smallholder farmers in Malawi," Agricultural Systems, Elsevier, vol. 171(C), pages 23-35.
    2. Bazzana, Davide & Zaitchik, Benjamin & Gilioli, Gianni, 2020. "Impact of water and energy infrastructure on local well-being: an agent-based analysis of the water-energy-food nexus," Structural Change and Economic Dynamics, Elsevier, vol. 55(C), pages 165-176.
    3. Bazzana, Davide & Gilioli, Gianni & Simane, Belay & Zaitchik, Benjamin, 2021. "Analyzing constraints in the water-energy-food nexus: The case of eucalyptus plantation in Ethiopia," Ecological Economics, Elsevier, vol. 180(C).

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