Abstract
This paper investigates the welfare impacts of improved groundnut adoption in Ghana, Mali, and Nigeria using three-year balanced panel data collected from 2,868 households. We apply the Cragg double hurdle model to understand the adoption process and a fixed-effects instrumental variable approach to estimate the impact on gross margins, household income, per capita income, food security, and poverty. The results show that a 10% increase in the area planted with improved groundnut varieties is associated with a 25.6%, 14.8%, 6.9%, and 23.6% increase in groundnut gross margins, household income, per capita income, and food consumption score, respectively. Likewise, this leads to a 3.6% poverty reduction. The highest average impact is found in Nigeria, followed by Ghana and Mali. Furthermore, disaggregating the impacts by adoption history reveals that households that continuously adopted the improved groundnut varieties benefited more than other categories of adopters. They enjoy a 6.6% poverty reduction compared to 1.9% for households that cultivated improved groundnut varieties for a single year. We conclude that improved groundnut varieties' adoption is a promising pathway for rural poverty alleviation and food security improvement. Hence, encouraging households to adopt improved groundnut varieties for consecutive years could help capitalize on income gains and contribute to raising households above the poverty threshold.
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Acknowledgements
We gratefully acknowledge financial support from the USAID through the project “Improving groundnut productivity”, implemented by ICRISAT from 2015-2019. The views expressed in this paper are those of the authors and do not necessarily represent USAID or ICRISAT. We are also grateful to the households and community leaders as well as enumerators and research technicians who have made this research possible in each country. We thank the Associate Editor and the anonymous reviewers for the constructive and helpful comments that significantly improve the manuscript. We are responsible for any remaining mistakes.
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Appendix 1 Correlated random effects probit model of access to improved seeds
Appendix 1 Correlated random effects probit model of access to improved seeds
Pooled | Ghana | Mali | Nigeria | |
|---|---|---|---|---|
Social network (1 = yes) | 0.569*** | 3.102*** | -0.320* | 0.670*** |
(0.061) | (0.632) | (0.173) | (0.104) | |
Extension service (# of visits) | 0.086*** | -0.407*** | 0.195*** | 0.251*** |
(0.021) | (0.137) | (0.050) | (0.046) | |
Sex of head (1 = male) | 0.794*** | 0.392 | 0.291 | 0.418 |
(0.194) | (0.666) | (0.417) | (0.275) | |
Age head (years) | 0.060*** | 0.170 | 0.141*** | 0.002 |
(0.023) | (0.129) | (0.054) | (0.028) | |
Squared age head | -0.000** | -0.002* | -0.001** | 0.000 |
(0.000) | (0.001) | (0.001) | (0.000) | |
Education head (years) | 0.039*** | 0.016 | 0.076** | -0.005 |
(0.010) | (0.050) | (0.031) | (0.011) | |
Household size (no.) | 0.003 | 0.103** | -0.035*** | 0.023** |
(0.005) | (0.050) | (0.013) | (0.010) | |
Dependency ratio | -0.016 | -0.282* | -0.026 | -0.035 |
(0.019) | (0.152) | (0.073) | (0.028) | |
Experience in groundnut production (no. of years) | -0.008* | 0.119*** | -0.008 | -0.028*** |
(0.004) | (0.034) | (0.009) | (0.005) | |
Belonging to farming groups (1 = yes) | 0.526*** | 0.835* | 0.868*** | 0.474*** |
(0.066) | (0.448) | (0.321) | (0.106) | |
Credit in cash (1 = yes) | 0.491*** | -2.053* | 1.057*** | -0.205 |
(0.151) | (1.181) | (0.322) | (0.272) | |
Credit in kind (1 = yes) | 0.678*** | 1.200** | 1.040*** | 0.553*** |
(0.099) | (0.586) | (0.328) | (0.161) | |
Off-farm income (1 = yes) | -0.003 | -0.006 | -0.358 | 0.022 |
(0.084) | (1.301) | (0.398) | (0.116) | |
Log total land available (ha) | 0.028 | -0.632* | 0.528*** | -0.004 |
(0.069) | (0.374) | (0.174) | (0.136) | |
Log distance to nearest market (km) | -0.238*** | 0.759* | -0.109 | -0.316*** |
(0.030) | (0.441) | (0.088) | (0.054) | |
Sandy soil type (1 = yes) | -0.328*** | 0.283 | -0.019 | -0.873*** |
(0.102) | (0.641) | (0.225) | (0.256) | |
Mixed soil (1 = yes) | 0.021 | 0.349 | -0.206 | 0.028 |
(0.061) | (0.554) | (0.267) | (0.093) | |
Male-managed plot (1 = yes) | -0.041 | 0.738 | 0.037 | -0.170 |
(0.092) | (0.694) | (0.250) | (0.167) | |
Jointly-managed plot (1 = yes) | 0.306*** | 1.101* | -0.049 | 0.211 |
(0.110) | (0.570) | (0.266) | (0.254) | |
Crop mixt (1 = yes) | -0.042 | -1.935*** | 0.039 | 0.086 |
(0.058) | (0.445) | (0.199) | (0.090) | |
Crop rotation (1 = yes) | -0.188*** | -0.310 | -0.529** | -0.138 |
(0.068) | (0.401) | (0.218) | (0.115) | |
Rho | 0.676 | 0.875 | 0.674 | 0.584 |
(0.018) | (0.040) | (0.044) | (0.024) | |
Observations | 8,604 | 1,494 | 2,520 | 4,590 |
Households | 2,868 | 498 | 840 | 1,530 |
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Lokossou, J.C., Affognon, H.D., Singbo, A. et al. Welfare impacts of improved groundnut varieties adoption and food security implications in the semi-arid areas of West Africa. Food Sec. 14, 709–728 (2022). https://doi.org/10.1007/s12571-022-01255-2
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DOI: https://doi.org/10.1007/s12571-022-01255-2