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Fertilizers and other farm chemicals

In: Handbook of Agricultural Economics

Author

Listed:
  • Heisey, Paul W.
  • Norton, George W.

Abstract

Demand for fertilizer in developing countries has expanded at a rapid rate over the past forty years. The relative scarcity of agricultural land has been a major underlying cause of this expansion in demand. More proximate causes include the development of complementary Green Revolution technologies - high yielding, fertilizer responsive seed varieties and expansion of irrigation or better water control within irrigated systems. At the same time, real fertilizer prices have declined over time, driven by technical change in fertilizer production. Expansion of fertilizer consumption has been particularly high in many Asian countries, and particularly low in much of Sub-Saharan Africa, where infrastructural and institutional constraints have restricted use. Pesticide use has also expanded in developing countries, albeit in more localized circumstances. Relative scarcity of agricultural labor has been one cause of increased herbicide demand. Disease pressure and the availability of disease-resistant cultivars have influenced insecticide and fungicide demand. Integrated pest management (IPM), over the past 20 years, and genetically modified crops, over the past five to ten years, are new technologies that have the potential to curb the growth in pesticide use. Price policies, environmental policies, and related investments in agricultural research and development, infrastructural expansion, or education all influence the markets for fertilizer and other farm chemicals in developing countries. One major policy issue is how to reduce or eliminate fertilizer subsidies at the same time that measures are taken to increase demand in areas such as Sub-Saharan Africa where fertilizer use is below the social optimum. At the same time, in intensive agricultural systems where agricultural chemical use is high, resource degradation and human health risks from pesticide use compromise productivity growth. In areas of both high and low use of chemical inputs, meeting the production and environmental challenges of the future will require increasing reliance on knowledge-intensive technology.

Suggested Citation

  • Heisey, Paul W. & Norton, George W., 2007. "Fertilizers and other farm chemicals," Handbook of Agricultural Economics, in: Robert Evenson & Prabhu Pingali (ed.), Handbook of Agricultural Economics, edition 1, volume 3, chapter 53, pages 2741-2777, Elsevier.
  • Handle: RePEc:eee:hagchp:5-53
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    Citations

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    Cited by:

    1. Zhu, Wei & Qi, Lixia & Wang, Ruime, 2021. "Impact of Market Price Support Measures on Chemical Fertilizer Use in China," International Journal of Food and Agricultural Economics (IJFAEC), Alanya Alaaddin Keykubat University, Department of Economics and Finance, vol. 9(1), January.
    2. Smale, Melinda & Byerlee, Derek & Jayne, Thom S., 2011. "Maize Revolutions in Sub-Saharan Africa," Working Papers 202592, Egerton University, Tegemeo Institute of Agricultural Policy and Development.
    3. Sheahan, Megan & Black, Roy & Jayne, Thomas S., 2012. "What is the Scope for Increased Fertilizer Use in Kenya?," Food Security International Development Working Papers 135283, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    4. Larson, Donald F. & Gurara, Daniel Zerfu, 2013. "A conceptual model of incomplete markets and the consequences for technology adoption policies in Ethiopia," Policy Research Working Paper Series 6681, The World Bank.
    5. Maria Jones & Florence Kondylis & John Loeser & Jeremy Magruder, 2022. "Factor Market Failures and the Adoption of Irrigation in Rwanda," American Economic Review, American Economic Association, vol. 112(7), pages 2316-2352, July.
    6. Tessema, Yohannis Mulu & Asafu-Adjaye, John & Shiferaw, Bekele, 2018. "The impact of conservation tillage on maize yield and input demand: the case of smallholder farmers in north-west Ethiopia," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 62(4), October.
    7. Sibbir Ahmad & Melinda Smale & Veronique Theriault & Eugenie Maiga, 2023. "Input subsidies and crop diversity on family farms in Burkina Faso," Journal of Agricultural Economics, Wiley Blackwell, vol. 74(1), pages 237-254, February.
    8. Diendéré, Achille & Nguyen, Geneviève & Del Corso, Jean-Pierre & Kephaliacos, Charilaos, 2018. "Modeling the Relationship Between Pesticide Use and Farmers' Beliefs about Water Pollution in Burkina Faso," Ecological Economics, Elsevier, vol. 151(C), pages 114-121.
    9. Wang, Xiang & Shao, Shuai & Li, Ling, 2019. "Agricultural inputs, urbanization, and urban-rural income disparity: Evidence from China," China Economic Review, Elsevier, vol. 55(C), pages 67-84.
    10. Spielman, David J. & Mekonnen, Dawit Kelemework & Alemu, Dawit, 2012. "Seed, fertilizer, and agricultural extension in Ethiopia," IFPRI book chapters, in: Dorosh, Paul A. & Rashid, Shahidur (ed.), Food and agriculture in Ethiopia: Progress and policy challenges, chapter 4, International Food Policy Research Institute (IFPRI).
    11. Abioye O. Fayiga & Mabel O. Ipinmoroti & Tait Chirenje, 2018. "Environmental pollution in Africa," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 20(1), pages 41-73, February.
    12. Huang, Jikun & Huang, Zhurong & Jia, Xiangping & Hu, Ruifa & Xiang, Cheng, 2015. "Long-term reduction of nitrogen fertilizer use through knowledge training in rice production in China," Agricultural Systems, Elsevier, vol. 135(C), pages 105-111.
    13. Byerlee, Derek & Spielman, David J. & Alemu, Dawit & Gautam, Madhur, 2007. "Policies to promote cereal intensification in Ethiopia: A review of evidence and experience," IFPRI discussion papers 707, International Food Policy Research Institute (IFPRI).
    14. Zeng, Di & Alwang, Jeffrey & Norton, George & Jaleta, Moti & Shiferaw, Bekele & Yirga, Chilot, 2018. "Land ownership and technology adoption revisited: Improved maize varieties in Ethiopia," Land Use Policy, Elsevier, vol. 72(C), pages 270-279.
    15. Spielman, David J. & Byerlee, Derek & Alemu, Dawit & Kelemework, Dawit, 2010. "Policies to promote cereal intensification in Ethiopia: The search for appropriate public and private roles," Food Policy, Elsevier, vol. 35(3), pages 185-194, June.

    More about this item

    Keywords

    Farmers; Farm Production and Farm Markets;

    JEL classification:

    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture

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