The impact of agri-environment schemes on farm productivity: a DID-matching approach

2019 ◽  
Vol 47 (3) ◽  
pp. 1045-1093 ◽  
Author(s):  
Philipp Mennig ◽  
Johannes Sauer

Abstract According to WTO standards, agri-environmental schemes (AES) payments should distort neither trade nor production but instead only compensate for income forgone and costs incurred. At the same time, contract design shall give farmers enough flexibility to react to changing market and production conditions. We apply a difference-in-difference propensity score matching estimator to test if AES have an unintended effect on farm productivity. Our results suggest that schemes designed for arable land overcompensate farmers and thus do fail to comply with WTO rules. For dairy farms, we find that AES participation reduces farm productivity, implying that action-based scheme design not considering changing market and production situations might be too restrictive, potentially preventing farmers from participating.

Author(s):  
Caroline Dubbert ◽  
Awudu Abdulai

Abstract Many studies show that participation in contract farming has positive impacts on farm productivity and incomes. Most of the literature, however, does not take into account that contracts vary in their specifications, making empirical evidence scarce on the diverse impacts of different types of contracts. In this study, we investigate the driving forces of participation in marketing and production contracts, relative to spot markets. We also study the extent to which different contract types add additional benefits to smallholder farmers, using recent survey data of 389 cashew farmers in Ghana. To account for selection bias arising from observed and unobserved factors, we apply a multinomial endogenous switching regression method and implement a counterfactual analysis. The empirical results demonstrate that farmers who participate in production contracts obtain significantly higher cashew yields, cashew net revenues, and are more food secure compared to spot market farmers. We also find substantial heterogeneity in the impact of marketing and production contracts across scale of operation. Small sized farms that participate in production contracts tend to benefit the most. Marketing contracts, however, do not appear to benefit cashew farmers.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tongwei Qiu ◽  
Qinying He ◽  
S.T. Boris Choy ◽  
Yifei Li ◽  
Biliang Luo

PurposeThis study investigates the effect of renting in land on farm productivity, and the impacts of rented-in land size and transaction partner type on farm productivity.Design/methodology/approachData from the 2015 China Household Finance Survey are analyzed using an extended regression model and the two-stage least squares method.FindingsFarm households that rent in land are likely to achieve higher farm productivity, and ignoring endogeneity underestimates the positive effect of land renting-in. Further evidence indicates that rented-in land size has an insignificant impact on farm productivity, and that there is no difference in farm productivity between lessees renting-in land from acquaintances and those renting-in land from non-acquaintances. These results may be caused by the higher degree of marketization of land rentals between acquaintances in China. With increasing competition in agricultural factor markets, in theory, rented-in land size should not affect farm productivity.Practical implicationsOverall, the analysis suggests that renting in land improves farm productivity, which supports the land transfer policies that have been rolled out in recent decades in China. However, our finding that rented land size does not affect farm productivity, consistent with the results in the literature, implies that the Chinese government should no longer subsidize or prefer large farms with low productivity. More attention should be paid to small lessees and market-oriented land rentals between acquaintances. Promoting the marketization of land transfers inside acquaintance networks could realize the potential of the land market, especially if land transfers decrease.Originality/valueThis study identifies the effects of renting in land, rented-in land size and type of rental transaction partner on farm productivity using nationally representative data. The findings imply that the government should pay more attention to the marketization of land rentals between acquaintances. Although existing studies regard land rental between acquaintances as informal and of low efficiency, the recent evidence shows that China's land markets are changing, and policy makers should adjust their policies accordingly.


2019 ◽  
Vol 11 (3) ◽  
pp. 536-554 ◽  
Author(s):  
Yi Qing ◽  
Moyu Chen ◽  
Yu Sheng ◽  
Jikun Huang

Purpose The purpose of this paper is to investigate the impact of mechanization services on farm productivity in Northern China from an empirical perspective, with the aim to identify the underlying market and institutional barriers. Design/methodology/approach The authors apply the regression method with the control of village fixed effects to examining the relationship between capital–labor ratio, mechanization service ratio and farm productivity, using the panel data collected in 2013 and 2015 by CCAP. Findings Mechanization services improve farm productivity through substituting labor, but it may generate a less positive impact on farms who do not have self-owned capital equipment. Originality/value It is the first study to investigate how mechanization services affect farm productivity for grain producers in Northern China.


2014 ◽  
Vol 15 (2) ◽  
pp. 130-134 ◽  
Author(s):  
Walter M. Guterbock

AbstractThe primary source of data on bovine respiratory disease (BRD) prevalence in US adult dairy cattle is producer surveys, which estimate that 2.4–2.9% of cattle are affected. This estimate appears low when compared to calculations based on limited data regarding on-farm deaths due to BRD and the number of carcasses at slaughter with severe BRD. These calculations indicate that approximately 3% of dairy cows die on farm or go to slaughter with severe BRD. Not included in these data are cows that are treated for BRD and retained. The primary manifestation of BRD on dairy farms is in calves. Nationwide surveys have estimated that 12.4–16.4% of preweaned dairy heifer calves are affected with BRD, and 5.9–11% of calves are affected after weaning. More detailed prevalence studies have generally included a limited number of small farms, with limited calf age range studied. All studies relied on producer diagnosis. Prevalence in these studies ranged from 0 to 52%, with many cases occurring before weaning, and with BRD being associated with increased calf death rates. BRD affects heifer growth. It appears to have a small effect on age at first calving, and some studies have shown small effects on performance and herd life after calving. First lactation performance of heifers depends on many factors that can obscure the effects of calfhood BRD.


Author(s):  
Norma Gomez

Purpose – This paper aims to assess the vulnerability of the farmer-respondents in Southern Philippines, specifically Region XI and XII, to climate change. Design/methodology/approach – This study conducted an empirical analysis of the impact of climate change on maize (Zea mays), banana (Musa sapientum) and durian (Durio zibethinus) production. Furthermore, it estimated the determinants of adaptation to climate change and its corresponding effect on farm productivity. The analysis used primary data from 541 farmer-respondents producing maize, banana and durian in the 6 provinces and 18 municipalities of the sample areas. Findings – Based on the probit estimate results, farmers adaptation decisions were influenced by information about future climate change conditions, social capital, access to formal extension and farmer-to-farmer extension. The author found from the stochastic frontier estimation in the production function that climate change adaptations exerted a significant impact on farm productivity. It helped in coping with the adverse effects and risk of climate change while increasing agricultural productivities of the farmer-respondents. Originality/value – This research paper will be an addition to the body of knowledge on the socioeconomic aspects on the climate change and adaptation on the production of maize, banana and durian in the case of a developing country like Southern Philippines. This will bring more insights into the adaptation strategies that are crucial to cope with climatic variability and change.


2019 ◽  
Vol 65 (No. 12) ◽  
pp. 579-586
Author(s):  
Imron Zahri ◽  
Elisa Wildayana ◽  
Agus Thony Ak ◽  
Dessy Adriani ◽  
M. Umar Harun

This paper aims to investigate the impact of land conversion from rice farming to oil palm plantations on the socio-economic aspects of ex-migrants in the South Sumatra tidal swamp, Indonesia. Land conversion from rice farming to oil palm plantations is a form of adaptation for ex-migrant farmers and will increase food deficits in Indonesia. Ex-migrant farmers initially cultivated food crops with conventional technology. This pattern has been changing, which have led to the formation of two large groups of farms, namely rice-based farms implementing mechanisation, and oil palm-based plantations. The results showed that changes from rice farming to oil palm plantations did not make the economy of farm households better. Between the two groups of farmers, there is no difference in arable land, the labour allocation for agriculture and the farmers’ income. In addition, there is not much difference between farmers’ participation in on-farm and out-farm activities. The area of arable land owned, the husbands’age, and family size variables are determinants of farmers’ choice to participate in other jobs activities and influence farmers’ income. Thus, changes in crops from rice to oil palm have no impact on cultivation area, labour allocation, income, on-farm and out-farm activities.


2018 ◽  
Vol 58 (5) ◽  
pp. 937 ◽  
Author(s):  
K. M. Christie ◽  
R. P. Rawnsley ◽  
C. Phelps ◽  
R. J. Eckard

Every year since 1990, the Australian Federal Government has estimated national greenhouse-gas (GHG) emissions to meet Australia’s reporting commitments under the United National Framework Convention on Climate Change (UNFCCC). The National Greenhouse Gas Inventory (NGGI) methodology used to estimate Australia’s GHG emissions has altered over time, as new research data have been used to improve the inventory emission factors and algorithms, with the latest change occurring in 2015 for the 2013 reporting year. As measuring the GHG emissions on farm is expensive and time-consuming, the dairy industry is reliant on estimating emissions using tools such as the Australian Dairy Carbon Calculator (ADCC). The present study compared the emission profiles of 41 Australian dairy farms with ADCC using the old (pre-2015) and new (post-2015) NGGI methodologies to examine the impact of the changes on the emission intensity across a range of dairy-farm systems. The estimated mean (±s.d.) GHG emission intensity increased by 3.0%, to 1.07 (±0.02) kg of carbon dioxide equivalents per kilogram of fat-and-protein-corrected milk (kg CO2e/kg FPCM). When comparing the emission intensity between the old and new NGGI methodologies at a regional level, the change in emission intensity varied between a 4.6% decrease and 10.4% increase, depending on the region. When comparing the source of emissions between old and new NGGI methodologies across the whole dataset, methane emissions from enteric fermentation and waste management both increased, while nitrous oxide emissions from waste management and nitrogen fertiliser management, CO2 emissions from energy consumption and pre-farm gate (supplementary feed and fertilisers) emissions all declined. Enteric methane remains a high source of emissions and so will remain a focus for mitigation research. However, these changes to the NGGI methodology have highlighted a new ‘hotspot’ in methane from manure management. Researchers and farm managers will have greater need to identify and implement practices on-farm to reduce methane losses to the environment.


Author(s):  
Tam T. Tran ◽  
Andrew Scott ◽  
Yuan-Ching Tien ◽  
Roger Murray ◽  
Patrick Boerlin ◽  
...  

The present study investigated the impact of on-farm anaerobic digestion on the abundance of enteric bacteria, antibiotic resistance-associated gene targets and the horizontal transfer potential of extended-spectrum β-lactamase (ESBL) genes. Samples of raw and digested manure were obtained from six commercial dairy farms in Ontario, Canada. Digestion significantly abated populations of viable coliforms in all six farms. Conjugative transfer of plasmids carrying β-lactamase genes from manure bacteria enriched overnight with buffered peptone containing 4 mg/l cefotaxime into a β-lactam sensitive gfp-labelled E. coli as a recipient strain was evaluated in patch matings. Digestion significantly decreased the frequency of the horizontal transfer potential of ESBL genes. Twenty-five transconjugants were sequenced revealing six distinct plasmids with a size range of 40 – 180kb. A variety of ESBL genes were identified: blaCTX-M-1, blaCTX-M-14, blaCTX-M-15, blaCTX-M-27, blaCTX-M-55, blaPER-1. The blaCTX-M-15 was the most prevalent ESBL gene detected on plasmids harboured by transconjugants. Various mobile genetic elements were found located proximal to resistance genes. Ten gene targets including sul1, strA, strB, ermB, ermF, intI1, aadA, incW, blaPSE and blaOXA-20 were quantified by quantitative PCR on a subset of 18 raw and 18 digested samples. Most targets were significantly more abundant in raw manure, however ermB and ermF targets were more abundant in digested samples. Overall, on-farm digestion of dairy manure abated coliform bacteria, a number of antibiotic resistance-associated gene targets, and the potential for in vitro conjugation of plasmids conferring resistance to extended-spectrum β-lactams and other classes of antibiotics into E. coli CV601. IMPORTANCE Using livestock manure for fertilization can entrain antibiotic resistant bacteria into soil. Manure on some dairy farms is anaerobically digested before being land applied. Recommending the widespread implementation of the practice should be founded on understanding the impact of this treatment on various endpoints of human health concern. Although lab-scale anaerobic treatments have showed potential of reducing antibiotic resistance genes, there are very few data from commercial farms. Anaerobic digestion of manure on six dairy farms efficiently abated coliform bacteria and E. coli and a majority of antibiotic resistance-associated gene targets. In addition, the conjugation potential of plasmids carrying ESBL genes into introduced E. coli CV601 was reduced. Overall, anaerobic digestion abated coliform bacteria, the genes that they carry and the potential for ESBL-carrying plasmid transfer.


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