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The Economic Potential Of Vegetable Production For Limited Resource Farmers In South Central Alabama

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  • Gan, Jianbang
  • Kebede, Ellene

Abstract

The objective of this study was to evaluate the potential of vegetable production to enhance the declining farm income of limited resource farmers. A survey of 60 limited resource farmers in south central Alabama was undertaken to carry out this evaluation. Results of the survey show that 95% of the farmers had an annual farm income of less than $12,000. Linear programming methodology was applied to perform a whole-farm analysis of a representative farm developed from the data. The overall results show that vegetable production will significantly increase the annual income of these farmers. Some specific conclusions are that: (a) the total return from vegetable production depends on vegetable mixes; (b) vegetable production is labor intensive and sensitive to change in labor cost, implying that an increase in minimum wage might affect the return from vegetable production; and (c) development of labor-saving technology in vegetable production could be considered as a long-term solution to increase the returns of vegetable producers.

Suggested Citation

  • Gan, Jianbang & Kebede, Ellene, 1999. "The Economic Potential Of Vegetable Production For Limited Resource Farmers In South Central Alabama," Journal of Agribusiness, Agricultural Economics Association of Georgia, vol. 17(1), pages 1-13.
    • Handle: RePEc:ags:jloagb:14681
    DOI: 10.22004/ag.econ.14681
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    References listed on IDEAS

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    1. Epperson, J.E. & Lei, L.F., 1989. "A Regional Analysis of Vegetable Production with Changing Demand for Row Crops Using Quadratic Programming," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 21(1), pages 87-96, July.
    2. Dismukes, Robert & Harwood, Joy L. & Bentley, Susan E., 1997. "Characteristics and Risk Management Needs of Limited-Resource and Socially Disadvantaged Farmers," Agricultural Information Bulletins 33622, United States Department of Agriculture, Economic Research Service.
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    Cited by:

    1. Osaki, Mauro & Batalha, Mário Otavio, 2014. "Optimization model of agricultural production system in grain farms under risk, in Sorriso, Brazil," Agricultural Systems, Elsevier, vol. 127(C), pages 178-188.
    2. Sumelius, John & Islam, K.M. Zahidul & Sipilainen, Timo, 2011. "Access to Microfinance: Does it Matter for Profit Efficiency Among Small Scale Rice Farmers in Bangladesh?," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 116067, European Association of Agricultural Economists.
    3. Adhikari, Suraj & Illukpitiya, Prabodh & Fisseha, Tegegne & Enefiok, Ekanem, 2017. "Comparative economic analysis of on-farm biodiesel production," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252766, Southern Agricultural Economics Association.
    4. Janeska Stamenkovska, Ivana & Dimitrievski, Dragi & Erjavec, Emil & Zgajnar, Jaka & Martinovska-Stojcheska, Aleksandra, 2012. "Optimisation Of The Vegetable Production In The Republic Of Macedonia; Linear Programming Approach," 132nd Seminar, October 25-27, 2012, Skopje, Republic of Macedonia 139492, European Association of Agricultural Economists.
    5. Stamenkovska, Ivana Janeska & Dimitrievski, Dragi & Erjavec, Emil & Zgajnar, Jaka & Martinovska-Stojcheska, Aleksandra, 2013. "Optimization of production on vegetable farm in the Republic of Macedonia," Agroeconomia Croatica, Croatian Society of Agricultural Economists, vol. 3(1), pages 1-8, September.
    6. Sanusi, R.A. & Ashaolu, O.F. & Akogun, C.O. & Ayinde, A.F.O., 2016. "Effect of Poverty on Production Efficiency of Vegetable Farming Households in Ogun State, Nigeria," Nigerian Journal of Agricultural Economics, Nigerian Journal of Agricultural Economics, vol. 6(1), October.

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    Production Economics;

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