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Agrifood supply chain, private-sector standards, and farmers' health: evidence from Kenya

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  • Solomon Asfaw
  • Dagmar Mithöfer
  • Hermann Waibel

Abstract

This article evaluates the impact of adoption of European Union (EU) private-sector standards on farmers' health in rural Kenya. The study utilizes cross-sectional farm household-level data collected in 2006 from a randomly selected sample of 439 small-scale export farmers. We estimate the casual impact by utilizing a two-stage Poisson regression model, two-stage standard treatment effect model, as well as by regression based on propensity score, to assess the robustness of the results. Using these techniques, we demonstrate that the pesticide-ascribed incidence of acute illness symptoms and the associated cost of illness significantly decrease with the adoption of standards. "Ceteris paribus", farmers who adopt standards experience 70% lesser incidence of acute illness and spent about 50-60% less on restoring their health than nonadopters. Although standards can potentially prevent resource-poor smallholders from maintaining their position in lucrative export markets, they can also result in positive changes in the health of those farmers who do adopt them, as shown by these results. This implies that, if adopted on a large scale, standards may reduce production externalities, corroborating the view that they may serve as a catalyst to transform production systems in developing countries. Copyright (c) 2010 International Association of Agricultural Economists.

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  • Solomon Asfaw & Dagmar Mithöfer & Hermann Waibel, 2010. "Agrifood supply chain, private-sector standards, and farmers' health: evidence from Kenya," Agricultural Economics, International Association of Agricultural Economists, vol. 41(3-4), pages 251-263, May.
  • Handle: RePEc:bla:agecon:v:41:y:2010:i:3-4:p:251-263
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    Cited by:

    1. Kouser, Shahzad & Qaim, Matin, 2011. "Impact of Bt cotton on pesticide poisoning in smallholder agriculture: A panel data analysis," Ecological Economics, Elsevier, vol. 70(11), pages 2105-2113, September.
    2. PONSSARD Jean-Pierre & SINCLAIR DESGAGNÉ Bernard & SOLER Louis-Georges & GIRAUD HERAUD Eric, 2015. "The Agro-Food Industry, Public Health and Environmental Protection: Investigating the Porter Hypothesis in Food Regulation," Cahiers du GREThA 2015-21, Groupe de Recherche en Economie Théorique et Appliquée.
    3. Chiputwa, Brian & Spielman, David J. & Qaim, Matin, 2015. "Food Standards, Certification, and Poverty among Coffee Farmers in Uganda," World Development, Elsevier, vol. 66(C), pages 400-412.
    4. H.H. Chang & C. van Marrewijk & R. Stringer & W. Umberger, 2013. "Investment, awareness, supermarkets, and profits: heterogeneous chili farmers in Indonesia," Working Papers 13-13, Utrecht School of Economics.
    5. Sarah, Kersting & Meike, Wollni, 2012. "New institutional arrangements and standard adoption: Evidence from small-scale fruit and vegetable farmers in Thailand," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 123537, International Association of Agricultural Economists.
    6. Kouser, Shahzad & Qaim, Matin, 2012. "Valuing financial, health and environmental benefits of Bt cotton in Pakistan," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126544, International Association of Agricultural Economists.
    7. Trifkovic Neda, 2015. "Spillover Effects of International Standards: Work Conditions in Vietnamese Small and Medium Enterprises," WIDER Working Paper Series 047, World Institute for Development Economic Research (UNU-WIDER).
    8. Minor, Travis & Parrett, Matt, 2017. "The economic impact of the Food and Drug Administration’s Final Juice HACCP Rule," Food Policy, Elsevier, vol. 68(C), pages 206-213.
    9. Schuster, Monica & Maertens, Miet, 2013. "Do private standards create exclusive supply chains? New evidence from the Peruvian asparagus export sector," Food Policy, Elsevier, vol. 43(C), pages 291-305.
    10. Hansen, Henrik & Trifković, Neda, 2014. "Food Standards are Good – For Middle-Class Farmers," World Development, Elsevier, vol. 56(C), pages 226-242.
    11. Maertens, Miet & Swinnen, Johan, 2015. "Agricultural trade and development: A value chain perspective," WTO Staff Working Papers ERSD-2015-04, World Trade Organization (WTO), Economic Research and Statistics Division.
    12. Subervie, Julie & Vagneron, Isabelle, 2013. "A Drop of Water in the Indian Ocean? The Impact of GlobalGap Certification on Lychee Farmers in Madagascar," World Development, Elsevier, vol. 50(C), pages 57-73.
    13. Lemeilleur, Sylvaine, 2013. "Smallholder Compliance with Private Standard Certification: The Case of GlobalGAP Adoption by Mango Producers in Peru," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IFAMA), vol. 16(4).
    14. Muriithi, Beatrice W. & Matz, Julia Anna, 2015. "Welfare effects of vegetable commercialization: Evidence from smallholder producers in Kenya," Food Policy, Elsevier, vol. 50(C), pages 80-91.
    15. Lemeilleur, S., 2012. "International standards and small-scale farmer behaviors: evidence from Peru," Working Papers MOISA 201204, UMR MOISA : Marchés, Organisations, Institutions et Stratégies d'Acteurs : CIHEAM-IAMM, CIRAD, INRA, Montpellier SupAgro - Montpellier, France.
    16. Fateh Mamine, 2016. "The incentives to adopt food safety standards: the example of approval and health certificate in the dairy cattle farming sector in Souk Ahras, Algeria," International Journal of Agricultural Resources, Governance and Ecology, Inderscience Enterprises Ltd, vol. 12(1), pages 93-112.
    17. Kabunga, Nassul Ssentamu & Ghosh, Shibani & Griffiths, Jeffrey K., 2014. "Can smallholder fruit and vegetable production systems improve household food security and nutritional status of women? Evidence from rural Uganda:," IFPRI discussion papers 1346, International Food Policy Research Institute (IFPRI).
    18. Kersting, Sarah & Wollni, Meike, 2012. "New institutional arrangements and standard adoption: Evidence from small-scale fruit and vegetable farmers in Thailand," Food Policy, Elsevier, vol. 37(4), pages 452-462.
    19. Ayuya, Oscar I. & Gido, Eric O. & Bett, Hillary K. & Lagat, Job K. & Kahi, Alexander K. & Bauer, Siegfried, 2015. "Effect of Certified Organic Production Systems on Poverty among Smallholder Farmers: Empirical Evidence from Kenya," World Development, Elsevier, vol. 67(C), pages 27-37.
    20. repec:eee:wdevel:v:97:y:2017:i:c:p:79-101 is not listed on IDEAS
    21. Schuster, Monica & Maertens, Miet, 2015. "The Impact of Private Food Standards on Developing Countries’ Export Performance: An Analysis of Asparagus Firms in Peru," World Development, Elsevier, vol. 66(C), pages 208-221.
    22. Rao, Elizaphan J.O. & Qaim, Matin, 2011. "The supermarket revolution and impacts on agricultural labor markets: Empirical evidence from Kenya," Discussion Papers 107745, Georg-August-Universitaet Goettingen, GlobalFood, Department of Agricultural Economics and Rural Development.
    23. Rao, Elizaphan J.O. & Qaim, Matin, 2011. "Supermarkets, Farm Household Income, and Poverty: Insights from Kenya," World Development, Elsevier, vol. 39(5), pages 784-796, May.
    24. Abedullah & Ali, Haseeb & Kouser, Shahzad, 2012. "Pesticide or Wastewater, Which One is Bigger Culprit for Acute Health Symptoms among Vegetable Growers in Pakistan’s Punjab," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126598, International Association of Agricultural Economists.
    25. Subervie, Julie & Vagneron, Isabelle, 2012. "Can Fresh Produce Farmers Benefit from Global Gap Certification? The case of lychee producers in Madagascar," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126704, International Association of Agricultural Economists.

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