Economic Analysis of Improved Potato Technologies in Rwanda
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The Rwanda Agricultural Research Institute (ISAR), in collaboration with the international potato research center (CIP) and PRAPACE, generated and disseminated over the last three decades improved potato-based technologies. Conducted in two major potato-producing agroecological zones in Rwanda (hautes terres de laves and hautes terres du Buberuka), this study aimed at identifying the best-bet technological packages out of five alternatives. Based on the minimum acceptable marginal rate of return criterion, results from a two-season on-farm trial revealed that three technological packages, T2 (improved seeds + fertilizer “NPK” + fungicide “dithane”), T3 (improved seeds + fertilizer “DAP” + fungicide “dithane”), and T4 (improved seeds + fertilizer “NPK” fungicide “ridomil+ dithane”), were profitable in both zones. T5 (improved seeds + fertilizer “DAP” + fungicide “ridomil + dithane”) was profitable only in the terres de laves zone. T1 (improved seed + farmer practices) would be attractive to farmers only in Buberuka zone. The sensitivity analysis showed that all the treatments have almost the same trend and are very sensitive to a fall in potato prices. However, T5 was the least sensitive to changes in fertilizer prices. T2 was least sensitive to changes in pesticide prices in the terres de laves zone. The sensitivity analysis in Buberuka zone revealed that although T4 was superior to the other options, it became most sensitive to change in potato price beyond a 25% increase.
KeywordsTechnological packages Partial budget Stochastic dominance Marginal analysis Sensitivity analysis
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