IDEAS home Printed from https://ideas.repec.org/a/ags/ajfand/334112.html
   My bibliography  Save this article

Factors influencing broiler farmers’ participation in contract farming in Lesotho

Author

Listed:
  • Rantlo, AM
  • Bohloa, M

Abstract

Broiler production is one of the major income generating activities for small-scale broiler farmers in both urban and rural areas, but the sector is currently facing production and marketing challenges in Lesotho. Contract farming as a means for organising the commercial production of both large scale and small scale broiler farmers has been viewed as an effective solution to the sector’s challenges in the tiny southern African Mountain Kingdom. Contract farming is practiced in Lesotho but there are very few Basotho farmers practicing broiler production through contract farming and as a result, the study assessed factors influencing their participation in contractual agreements in two large districts of Lesotho which are Leribe and Maseru. One hundred and eighty (180) broiler farmers were selected using multi-stage sampling techniques and data were collected through structured interview schedule. Data were analysed using descriptive statistics and binary regression model to address objectives one and two which are to describe contract farming arrangements that broiler farmers have with agro firms and to identify factors influencing broiler farmers’ participation in contract farming in Lesotho respectively in this study. Descriptive results showed that broiler farmers (45%) participated in contract farming, while 55% participated in non-contract farming. Empirical results of the binary regression model revealed that broiler flock size (β=1.720, P<0.05), farming experience (β=0.784, P<0.05), farmer group/association membership (β=1.031, P<0.05), access to marketing infrastructure (β=0.699, P<0.05), access to extension services (β=1.950, P<0.05) and knowledge of grades and standards (β=1.600, P<0.05) influence participation in contract farming in Lesotho. Based on the findings, it is concluded that socio-economic, institutional and technical factors influence participation in contract farming which proves to be an efficient mechanism for production and marketing of agricultural products in the value chain in Lesotho. It is recommended that these factors be taken into consideration by national policy making authorities in the design and development of effective marketing structure for the products of broiler farmers in the country.

Suggested Citation

  • Rantlo, AM & Bohloa, M, 2022. "Factors influencing broiler farmers’ participation in contract farming in Lesotho," African Journal of Food, Agriculture, Nutrition and Development (AJFAND), African Journal of Food, Agriculture, Nutrition and Development (AJFAND), vol. 22(09).
    • Handle: RePEc:ags:ajfand:334112
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/334112/files/Rantlo21050.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Maertens, Miet & Vande Velde, Katrien, 2017. "Contract-farming in Staple Food Chains: The Case of Rice in Benin," World Development, Elsevier, vol. 95(C), pages 73-87.
    2. Arouna, Aminou & Michler, Jeffrey D. & Lokossou, Jourdain C., 2021. "Contract farming and rural transformation: Evidence from a field experiment in Benin," Journal of Development Economics, Elsevier, vol. 151(C).
    3. Guillaume Soullier & Paule Moustier, 2018. "Impacts of contract farming in domestic grain chains on farmer income and food insecurity. Contrasted evidence from Senegal," Post-Print hal-02621852, HAL.
    4. Soullier, Guillaume & Moustier, Paule, 2018. "Impacts of contract farming in domestic grain chains on farmer income and food insecurity. Contrasted evidence from Senegal," Food Policy, Elsevier, vol. 79(C), pages 179-198.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nguyen, Thi Cam Van & Magezi, Eustadius Francis & Sumita, Tsuyoshi, 2023. "Inclusion of Smallholders in Staple Food Contract Farming: A Case of Firm-Cooperative-Farmer Coordination in Thai Binh Province, Vietnam," Japanese Journal of Agricultural Economics (formerly Japanese Journal of Rural Economics), Agricultural Economics Society of Japan (AESJ), vol. 25.
    2. Arouna, Aminou & Michler, Jeffrey D. & Lokossou, Jourdain C., 2021. "Contract farming and rural transformation: Evidence from a field experiment in Benin," Journal of Development Economics, Elsevier, vol. 151(C).
    3. Ruml, Anette & Debela, Bethelhem Legesse & Qaim, Matin, 2021. "The effects of contract farming on diets and nutrition in Ghana," 2021 Allied Social Sciences Association (ASSA) Annual Meeting (Virtual), January 3-5, 2021, San Diego, California 307959, Agricultural and Applied Economics Association.
    4. Khan, Muhammad Fawad & Nakano, Yuko & Kurosaki, Takashi, 2019. "Impact of contract farming on land productivity and income of maize and potato growers in Pakistan," Food Policy, Elsevier, vol. 85(C), pages 28-39.
    5. Kumse, Kaittisak & Suzuki, Nobuhiro & Sato, Takeshi & Demont, Matty, 2021. "The spillover effect of direct competition between marketing cooperatives and private intermediaries: Evidence from the Thai rice value chain," Food Policy, Elsevier, vol. 101(C).
    6. Viet Hoang, 2021. "Impact of Contract Farming on Farmers’ Income in the Food Value Chain: A Theoretical Analysis and Empirical Study in Vietnam," Agriculture, MDPI, vol. 11(8), pages 1-16, August.
    7. Otsuka, Keijiro & Ali, Mubarik, 2020. "Strategy for the development of agro-based clusters," World Development Perspectives, Elsevier, vol. 20(C).
    8. Junjin Chen & Hong Zhou, 2023. "The Role of Contract Farming in Green Smart Agricultural Technology," Sustainability, MDPI, vol. 15(13), pages 1-14, July.
    9. Debela, Bethelhem Legesse & Ruml, Anette & Qaim, Matin, 2021. "The Effects of Contract Farming on Diets and Nutrition in Ghana," 2021 Conference, August 17-31, 2021, Virtual 315186, International Association of Agricultural Economists.
    10. Guillaume Soullier & Paule Moustier, 2021. "The modernization of the rice value chain in Senegal: A move towards the Asian Quiet Revolution?," Development Policy Review, Overseas Development Institute, vol. 39(S1), pages 81-101, August.
    11. Odountan Ambaliou Olounlade & Gu-Cheng Li & Sènakpon E. Haroll Kokoye & François Vihôdé Dossouhoui & Kuassi Auxence Aristide Akpa & Dessalegn Anshiso & Gauthier Biaou, 2020. "Impact of Participation in Contract Farming on Smallholder Farmers’ Income and Food Security in Rural Benin: PSM and LATE Parameter Combined," Sustainability, MDPI, vol. 12(3), pages 1-19, January.
    12. Jessica Noromalala Andriamparany & Hendrik Hänke & Eva Schlecht, 2021. "Food security and food quality among vanilla farmers in Madagascar: the role of contract farming and livestock keeping," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 13(4), pages 981-1012, August.
    13. Pandey, Vivek & Nagarajan, Hari K. & Kumar, Deepak, 2021. "Impact of Gendered Participation in market-linked value-chains on Economic Outcomes: Evidence from India," Food Policy, Elsevier, vol. 104(C).
    14. Xufang Zhang & Minghua Zhao & Xiaojie Wang & Rongqing Han, 2022. "Regional Differences of Farmers’ Willingness to Grow Grain and Its Influencing Factors in Shandong Province under the Background of New-Type Urbanization," Agriculture, MDPI, vol. 12(8), pages 1-21, August.
    15. Carlos Manuel Hernández & Aliou Faye & Mamadou Ousseynou Ly & Zachary P. Stewart & P. V. Vara Prasad & Leonardo Mendes Bastos & Luciana Nieto & Ana J. P. Carcedo & Ignacio Antonio Ciampitti, 2021. "Soil and Climate Characterization to Define Environments for Summer Crops in Senegal," Sustainability, MDPI, vol. 13(21), pages 1-17, October.
    16. Yehia Zahran & Hazem S. Kassem & Shimaa M. Naba & Bader Alhafi Alotaibi, 2020. "Shifting from Fragmentation to Integration: A Proposed Framework for Strengthening Agricultural Knowledge and Innovation System in Egypt," Sustainability, MDPI, vol. 12(12), pages 1-25, June.
    17. Emma Tyrou & Vincent Ribier & Guillaume Soullier, 2019. "How do I build my agricultural growth pole?," Post-Print hal-03988919, HAL.
    18. Richard Kwasi Bannor & Yaw Gyekye, 2022. "Unpacking The Nexus Between Broiler Contract Farming and Its Impact in Ghana," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(6), pages 2759-2786, December.
    19. Viet Hoang & Vinh Nguyen, 2023. "Determinants of small farmers' participation in contract farming in developing countries: A study in Vietnam," Agribusiness, John Wiley & Sons, Ltd., vol. 39(3), pages 836-853, July.
    20. Brosseau, Antoine & Saito, Kazuki & van Oort, Pepijn A.J. & Diagne, Mandiaye & Valbuena, Diego & Groot, Jeroen C.J., 2021. "Exploring opportunities for diversification of smallholders' rice-based farming systems in the Senegal River Valley," Agricultural Systems, Elsevier, vol. 193(C).

    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:ags:ajfand:334112. See general information about how to correct material in RePEc.

    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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://www.ajfand.net/ .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.