IDEAS home Printed from https://ideas.repec.org/p/qed/dpaper/237.html
   My bibliography  Save this paper

A Cost-Benefit Analysis Of White Pea Beans Production In Ethiopia: A Case Of Limited Domestic Demand

Author

Listed:
  • Glenn P. Jenkins

    () (Department of Economics, Queen's University, Canada, Eastern Mediterranean University, Mersin 10, Turkey)

  • Mikhail Miklyaev

    () (Eastern Mediterranean University, Famagusta, Mersin 10, Turkey)

  • Katarzyna Pankowska

    () (University of British Columbia, Vancouver, Canada)

Abstract

The aim of this study is to evaluate the profitability of white pea beans production in the context of a pro-poor intervention. The aim of the intervention is to graduate chronically food-insecure households from poverty through an increase of their annual income by US$365. The households have a limited land holding of only 0.25 ha and are currently growing maize. The assistance is coming from a loan enabling mechanism allowing the households to benefit from a subsidized interest rate. The interest rate on the loans is set at 15 percent as compared to the approximately 48 percent free market interest rate. The study revealed that the main risk factor is the international price for white pea beans. The commodity is traditionally perceived as a “food for donkeys” has a very limited demand in the local market. Ethiopia already exports white pea beans, hence, there is a ready market for the commodity. As in case of any internationally tradable commodity, however, the market price of white pea beans will fluctuate independently of domestic market conditions.

Suggested Citation

  • Glenn P. Jenkins & Mikhail Miklyaev & Katarzyna Pankowska, 2014. "A Cost-Benefit Analysis Of White Pea Beans Production In Ethiopia: A Case Of Limited Domestic Demand," Development Discussion Papers 2013-13, JDI Executive Programs.
  • Handle: RePEc:qed:dpaper:237
    as

    Download full text from publisher

    File URL: https://cri-world.com/publications/qed_dp_237.pdf
    Download Restriction: no

    File URL: https://cri-world.com/publications/qed_dp_237_a1.xlsx
    Download Restriction: no

    More about this item

    Keywords

    cost-benefit analysis; investment appraisal; stakeholder analysis; pulses; white pea beans; value chain; mono-cropping; pro-poor interventions; chronic food insecurity; poverty reduction; sustainable development; Ethiopia;

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
    • D62 - Microeconomics - - Welfare Economics - - - Externalities

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:qed:dpaper:237. 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: (Bahman Kashi). General contact details of provider: http://edirc.repec.org/data/qedquca.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.