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The impact of cooperatives’ transportation services on farm income: Evidence from tobacco farmers in Guizhou, China

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  • Junying Lin
  • Zhonggen Zhang
  • Ziming Liu
  • Jens Rommel

Abstract

In mountainous areas, access to markets and transportation services is particularly important for farmers. Following government initiatives, agricultural cooperatives in China have begun to offer transportation services as part of their service portfolio. This study estimated the impact of cooperatives’ transportation services on tobacco farmers’ farm income. Using survey data from 337 households in Guizhou Province, China, a two‐step control function was used to correct for selection bias. Results showed that access to transportation services increased yearly farm income by up to 4,636 RMB Yuan. The possible reasons for this large increase are discussed and conclusions were drawn for rural development policy. [EconLit citations: Q13, L23]

Suggested Citation

  • Junying Lin & Zhonggen Zhang & Ziming Liu & Jens Rommel, 2020. "The impact of cooperatives’ transportation services on farm income: Evidence from tobacco farmers in Guizhou, China," Agribusiness, John Wiley & Sons, Ltd., vol. 36(1), pages 146-158, January.
    • Handle: RePEc:wly:agribz:v:36:y:2020:i:1:p:146-158
    DOI: 10.1002/agr.21620
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    1. Wanglin Ma & Hongyun Zheng & Yueji Zhu & Jianling Qi, 2022. "Effects of cooperative membership on financial performance of banana farmers in China: A heterogeneous analysis," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 93(1), pages 5-27, March.
    2. Hongyun Zheng & Puneet Vatsa & Wanglin Ma & Dil Bahadur Rahut, 2023. "Does agricultural cooperative membership influence off‐farm work decisions of farm couples?," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 94(3), pages 831-855, September.

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