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Factors Affecting Farmers` Higher Gain from Paddy Marketing: A Case Study on Paddy Farmers in North Central Province, Sri Lanka

Author

Listed:
  • Prasanna, R.P.I.R.
  • Bulankulama, S.W.G.K.
  • Kuruppuge, R.H.

Abstract

This study focused to identify the likelihood factors affecting on farmers’ higher gain from paddy marketing in the North Central Province of Sri Lanka, where the main paddy cultivation area of the country. The required data was drawn from the field survey carried out in three irrigation systems covering 257 farmers during July to August 2010. The empirical logit model was used to assess factors. The study found that imperfections of existing paddy marketing system in the area due to concentrated market power among few oligopolistic buyers. Furthermore, land size, land ownership, poor accessibility in formal sector credit market and farmers involvement in informal sector credit sources are critical to farmers’ decisions to gain higher returns from paddy marketing. The results further showed the need of reviewing the roles and functions of government extension services and farmer organizations with regard to the paddy marketing.

Suggested Citation

  • Prasanna, R.P.I.R. & Bulankulama, S.W.G.K. & Kuruppuge, R.H., 2012. "Factors Affecting Farmers` Higher Gain from Paddy Marketing: A Case Study on Paddy Farmers in North Central Province, Sri Lanka," International Journal of Agricultural Management and Development (IJAMAD), Iranian Association of Agricultural Economics, vol. 2(01), pages 1-13, March.
    • Handle: RePEc:ags:ijamad:147581
    DOI: 10.22004/ag.econ.147581
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    References listed on IDEAS

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    1. Rafeek, M.I.M & Samaratunga, P.A, 2000. "Trade Liberalisation and its Impact on the Rice Sector of Sri Lanka," Sri Lankan Journal of Agricultural Economics, Sri Lanka Agricultural Economics Association (SAEA), vol. 3, pages 1-14.
    2. Davidson, Russell & MacKinnon, James G., 1984. "Convenient specification tests for logit and probit models," Journal of Econometrics, Elsevier, vol. 25(3), pages 241-262, July.
    3. World Bank, 2010. "Food Price Increases in South Asia : National Responses and Regional Dimensions," World Bank Publications - Reports 2885, The World Bank Group.
    4. World Bank, 2003. "Sri Lanka : Promoting Agricultural and Rural Non-farm Sector Growth, Volume 1. Main Report," World Bank Publications - Reports 14879, The World Bank Group.
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    Keywords

    Crop Production/Industries; Marketing;

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