Institutional Models for Accelerating Agricultural Commercialization: Evidence from Maize, Cotton and Horticulture
Although a majority of Zambians work in agriculture, only a small minority of smallholders succeed in transitioning to high-productivity, high-value commercial agriculture. Only 20% of cotton farmers and less than 5% of maize and horticulture farmers succeed as top-tier commercial growers (Table 1). By tracing the long-term agricultural trajectories of successful commercial cotton, maize and horticulture farmers, this study identifies two broad agricultural pathways out of poverty. The low road, exemplified by cotton production, involves a two-generation transition via low-value but with well-structured markets. The more restrictive high road, epitomized by horticulture production, offers a steeper ascent, enabling prosperity within a single generation, but requires commensurately higher levels of financing, management and risk. Personal characteristics that define successful commercial smallholders include: • strict discipline; • treatment of farming as a business; • good management of crop production, labor and finances; • a strong propensity to save; and • willingness to invest in their children’s education. Key institutions affecting smallholder performance include: • management and marketing support provided by the cotton companies to their contract farmers; • land allocation systems, particularly those permitting land consolidation in communal areas and smallholder transitions to farm blocks in state lands; • savings systems (both financial and livestock-based) that permit successful smallholders to rebound from period shocks.
|Date of creation:||May 2013|
|Date of revision:|
|Contact details of provider:|| Postal: Justin S. Morrill Hall of Agriculture, 446 West Circle Dr., Rm 202, East Lansing, MI 48824-1039|
Phone: (517) 355-4563
Fax: (517) 432-1800
Web page: http://www.aec.msu.edu/agecon/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Jayne, Thomas S. & Mason, Nicole M. & Burke, William J. & Shipekesa, Arthur M. & Chapoto, Antony & Kabaghe, Chance, 2011. "Mountains of Maize, Persistent Poverty," Food Security Collaborative Policy Briefs 118476, Michigan State University, Department of Agricultural, Food, and Resource Economics.
When requesting a correction, please mention this item's handle: RePEc:ags:midcpb:154940. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search)
If references are entirely missing, you can add them using this form.