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Measuring Welfare Benefits from Improvements in Storage Technology with an Application to Tunisian Potatoes

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  • Keith O. Fuglie

Abstract

A multimarket model is used to explore equity and efficiency implications of improving crop storage technology. Two types of technical change are explored. Producers capture most of the benefits from new technology that reduces the cost of marketing inputs, whereas consumers gain more from technologies that reduce storage losses. In an application of the model to potatoes in Tunisia, improved pest control during storage is estimated to have significantly reduced seasonal variation in market prices and quantities during the 1980s. The rate of return to research on potato storage is estimated to lie between 44% and 74%.

Suggested Citation

  • Keith O. Fuglie, 1995. "Measuring Welfare Benefits from Improvements in Storage Technology with an Application to Tunisian Potatoes," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 77(1), pages 162-173.
    • Handle: RePEc:oup:ajagec:v:77:y:1995:i:1:p:162-173.
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    File URL: http://hdl.handle.net/10.2307/1243898
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    Cited by:

    1. Minten, Bart & Reardon, Thomas & Singh, K.M. & Sutradhar, Rajib, 2010. "The benefit of cold storages: Evidence from Bihar," MPRA Paper 54345, University Library of Munich, Germany, revised 14 Dec 2010.
    2. Didier Kadjo & Jacob Ricker‐Gilbert & Tahirou Abdoulaye & Gerald Shively & Mohamed N. Baco, 2018. "Storage losses, liquidity constraints, and maize storage decisions in Benin," Agricultural Economics, International Association of Agricultural Economists, vol. 49(4), pages 435-454, July.
    3. Bart Minten & Thomas Reardon & K.M. Singh & Rajib Sutradhar, 2014. "The Quiet Revolution In Agri-Food Value Chains In Asia: Understanding The Fast Emergence Of Cold Storages In Poor Districts In India," World Scientific Book Chapters, in: Ralph D Christy & Carlos A da Silva & Nomathemba Mhlanga & Edward Mabaya & Krisztina Tihanyi (ed.), INNOVATIVE INSTITUTIONS, PUBLIC POLICIES AND PRIVATE STRATEGIES FOR AGRO-ENTERPRISE DEVELOPMENT, chapter 12, pages 313-340, World Scientific Publishing Co. Pte. Ltd..
    4. Walker, Thomas S., 2000. "Reasonable expectations on the prospects for documenting the impact of agricultural research on poverty in ex-post case studies," Food Policy, Elsevier, vol. 25(4), pages 515-530, August.
    5. Minten, Bart & Reardon, Thomas & Singh, K.M. & Sutradhar, Rajib, 2011. "The potato value chain in Bihar: An assessment and policy implications," MPRA Paper 54350, University Library of Munich, Germany, revised 14 Jan 2011.
    6. Gregg Frasco & Chulho Jung, 2001. "When producer surplus underestimates rents," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 29(4), pages 393-405, December.
    7. Gregg Frasco, 2002. "A comparison of rents and producer surplus when industry input supply functions are interdependent," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 30(4), pages 403-413, December.
    8. Ephraim M. Nkonya & Joe L. Parcell, 1999. "Redistribution of social benefits from advances in extension and research in the Tanzanian maize industry," Agricultural Economics, International Association of Agricultural Economists, vol. 21(3), pages 231-239, December.
    9. Christiaensen,Luc & Kaminski,Jonathan & Christiaensen,Luc & Kaminski,Jonathan, 2014. "Post-harvest loss in Sub-Saharan Africa -- what do farmers say ?," Policy Research Working Paper Series 6831, The World Bank.
    10. Wondimagegn Tesfaye & Gebrelibanos Gebremariam, 2020. "Consumption smoothing and price enhancement motives for grain storage: empirical perspectives from rural Ethiopia," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 8(1), pages 1-19, December.
    11. Tesfaye, Wondimagegn & Tirivayi, Nyasha, 2018. "The impacts of postharvest storage innovations on food security and welfare in Ethiopia," Food Policy, Elsevier, vol. 75(C), pages 52-67.
    12. Minten, Bart & Reardon, Thomas & Singh, K.M. & Sutradhar, Rajib, 2012. "The New and Changing Roles of Cold Storages in the Potato Supply Chain in Bihar," MPRA Paper 61109, University Library of Munich, Germany, revised 14 Sep 2014.

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