IDEAS home Printed from https://ideas.repec.org/p/ags/aaae19/295785.html
   My bibliography  Save this paper

Managing climate risk through crop diversification in rural Kenya

Author

Listed:
  • Ochieng, Justus
  • Kirimi, Lilian
  • Ochieng, Dennis
  • Njagi, Timothy
  • Mathenge, Mary
  • Gitau, Raphael
  • Ayieko, Miltone

Abstract

Climatic variability and change continue to militate against efforts to increase agricultural productivity and food and nutrition security in many developing countries. Several studies propose crop diversification as a climate risk management strategy to increase production and food security. Most of the empirical studies are based on cross-sectional data that do not account for unobserved factors that may affect crop diversification. A disaggregated analysis of the influence of climatic variability and change on crop diversification by agroecological profiles is less explored. Panel studies also do not combine more than one climatic variability and change indicator as we do. We employ panel data models on farm household and 31-year rainfall and temperature data to analyze the effects of climatic variability and change on crop diversification among small-scale farmers disaggregated by agroecological zones in Kenya. We find widespread crop diversification among small farms in warmer regions as a risk management strategy. Results further show that smaller farm size, limited use of inorganic fertilizer, low household incomes, and limited access to off-farm livelihood options influence the decision to diversify crop production. However, crop diversification is not a one-size-fits-all strategy and should be adopted in situations where it gives maximum benefits, consistent with existing land use policies and known benefits of a specified crop portfolio. Crop diversification should not crowd-out specialization, particularly among resource-endowed farmers.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Ochieng, Justus & Kirimi, Lilian & Ochieng, Dennis & Njagi, Timothy & Mathenge, Mary & Gitau, Raphael & Ayieko, Miltone, 2019. "Managing climate risk through crop diversification in rural Kenya," 2019 Sixth International Conference, September 23-26, 2019, Abuja, Nigeria 295785, African Association of Agricultural Economists (AAAE).
  • Handle: RePEc:ags:aaae19:295785
    DOI: 10.22004/ag.econ.295785
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/295785/files/235.%20Climate%20risks%20in%20Kenya.pdf
    Download Restriction: no

    File URL: https://libkey.io/10.22004/ag.econ.295785?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Mintewab Bezabih & Mare Sarr, 2012. "Risk Preferences and Environmental Uncertainty: Implications for Crop Diversification Decisions in Ethiopia," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 53(4), pages 483-505, December.
    2. Salvatore Di Falco & Jean-Paul Chavas, 2008. "Rainfall Shocks, Resilience, and the Effects of Crop Biodiversity on Agroecosystem Productivity," Land Economics, University of Wisconsin Press, vol. 84(1), pages 83-96.
    3. Justus Ochieng & Lilian Kirimi & Joyce Makau, 2017. "Adapting to climate variability and change in rural Kenya: farmer perceptions, strategies and climate trends," Natural Resources Forum, Blackwell Publishing, vol. 41(4), pages 195-208, November.
    4. Solomon Hsiang & Robert E. Kopp, 2018. "An Economist's Guide to Climate Change Science," Journal of Economic Perspectives, American Economic Association, vol. 32(4), pages 3-32, Fall.
    5. Sen, Amartya, 1983. "Poverty and Famines: An Essay on Entitlement and Deprivation," OUP Catalogue, Oxford University Press, number 9780198284635.
    6. Mundlak, Yair, 1978. "On the Pooling of Time Series and Cross Section Data," Econometrica, Econometric Society, vol. 46(1), pages 69-85, January.
    7. Ayala Wineman & Nicole M. Mason & Justus Ochieng & Lilian Kirimi, 2017. "Weather extremes and household welfare in rural Kenya," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 9(2), pages 281-300, April.
    8. Acharya, Saraswati Poudel & Basavaraja, H. & Kunnal, L.B. & Mahajanashetti, S.B. & Bhat, Anil R.S., 2011. "Crop Diversification in Karnataka: An Economic Analysis," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 24(2), December.
    9. McCord, Paul & Waldman, Kurt & Baldwin, Elizabeth & Dell'Angelo, Jampel & Evans, Tom, 2018. "Assessing multi-level drivers of adaptation to climate variability and water insecurity in smallholder irrigation systems," World Development, Elsevier, vol. 108(C), pages 296-308.
    10. Di Falco, Salvatore & Bezabih, Mintewab & Yesuf, Mahmud, 2010. "Seeds for livelihood: Crop biodiversity and food production in Ethiopia," Ecological Economics, Elsevier, vol. 69(8), pages 1695-1702, June.
    11. Seo, S. Niggol, 2010. "Is an integrated farm more resilient against climate change? A micro-econometric analysis of portfolio diversification in African agriculture," Food Policy, Elsevier, vol. 35(1), pages 32-40, February.
    12. Mary K. Mathenge & Melinda Smale & David Tschirley, 2015. "Off-farm Employment and Input Intensification among Smallholder Maize Farmers in Kenya," Journal of Agricultural Economics, Wiley Blackwell, vol. 66(2), pages 519-536, June.
    13. Ochieng, Justus & Kirimi, Lilian & Mathenge, Mary, 2016. "Effects of Climate Variability and Change on Agricultural Production: The Case of Small-Scale Farmers in Kenya," Working Papers 229711, Egerton University, Tegemeo Institute of Agricultural Policy and Development.
    14. Barrett, Christopher B. & Santos, Paulo, 2014. "The impact of changing rainfall variability on resource-dependent wealth dynamics," Ecological Economics, Elsevier, vol. 105(C), pages 48-54.
    15. Graeme Guthrie, 2019. "Real options analysis of climate-change adaptation: investment flexibility and extreme weather events," Climatic Change, Springer, vol. 156(1), pages 231-253, September.
    16. Sichoongwe, Kiru, 2014. "Determinants and Extent of Crop Diversification Among Smallholder Farmers in Southern Zambia," Research Theses 243456, Collaborative Masters Program in Agricultural and Applied Economics.
    17. Samuelson, Paul A., 1967. "General Proof that Diversification Pays*," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 2(1), pages 1-13, March.
    18. Skoufias, Emmanuel, 2003. "Economic Crises and Natural Disasters: Coping Strategies and Policy Implications," World Development, Elsevier, vol. 31(7), pages 1087-1102, July.
    19. Olwande, John & Smale, Melinda & Mathenge, Mary K. & Place, Frank & Mithöfer, Dagmar, 2015. "Agricultural marketing by smallholders in Kenya: A comparison of maize, kale and dairy," Food Policy, Elsevier, vol. 52(C), pages 22-32.
    20. Di Falco, Salvatore & Perrings, Charles, 2005. "Crop biodiversity, risk management and the implications of agricultural assistance," Ecological Economics, Elsevier, vol. 55(4), pages 459-466, December.
    21. Kabubo-Mariara, Jane & Karanja, Fredrick K, 2007. "The economic impact of climate change on Kenyan crop agriculture : a ricardian approach," Policy Research Working Paper Series 4334, The World Bank.
    22. Kimenju, Simon C. & Tschirley, David L., 2008. "Agriculture and Livelihood Diversification in Kenyan Rural Households," Working Papers 202614, Egerton University, Tegemeo Institute of Agricultural Policy and Development.
    23. Fufa, B. & Hassan, Rashid M., 2006. "Determinants of fertilizer use on maize in Eastern Ethiopia: A weighted endogenous sampling analysis of the extent and intensity of adoption," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 45(1), pages 1-12, March.
    24. Stephen Devereux, 2007. "The impact of droughts and floods on food security and policy options to alleviate negative effects," Agricultural Economics, International Association of Agricultural Economists, vol. 37(s1), pages 47-58, December.
    25. Catherine Porter, 2012. "Shocks, Consumption and Income Diversification in Rural Ethiopia," Journal of Development Studies, Taylor & Francis Journals, vol. 48(9), pages 1209-1222, September.
    26. repec:ags:cmpart:198521 is not listed on IDEAS
    27. Oecd, 2009. "Climate Change and Africa," OECD Journal: General Papers, OECD Publishing, vol. 2009(1), pages 5-35.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ochieng, Dennis O. & Ogutu, Sylvester O., 2022. "Supermarket contracts, opportunity cost and trade-offs, and farm household welfare: Panel data evidence from Kenya," World Development, Elsevier, vol. 149(C).
    2. Hashmiu, Ishmael & Agbenyega, Olivia & Dawoe, Evans, 2022. "Determinants of crop choice decisions under risk: A case study on the revival of cocoa farming in the Forest-Savannah transition zone of Ghana," Land Use Policy, Elsevier, vol. 114(C).
    3. Teodoro Semeraro & Aurelia Scarano & Angelo Leggieri & Antonio Calisi & Monica De Caroli, 2023. "Impact of Climate Change on Agroecosystems and Potential Adaptation Strategies," Land, MDPI, vol. 12(6), pages 1-21, May.
    4. Zhang, Yihao & Wu, Ya & Yan, Jianzhong & Peng, Ting, 2022. "How does rural labor migration affect crop diversification for adapting to climate change in the Hehuang Valley, Tibetan Plateau?," Land Use Policy, Elsevier, vol. 113(C).
    5. Narmandakh, Davaatseren & Marenya, Paswel & Opie, Hellen & Bett, Charles, 2024. "Crop production diversity or market access? Welfare outcomes among sorghum-growing households in rural Kenya and Uganda," IAAE 2024 Conference, August 2-7, 2024, New Delhi, India 344362, International Association of Agricultural Economists (IAAE).

    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. Bozzola, Martina & Smale, Melinda, 2020. "The welfare effects of crop biodiversity as an adaptation to climate shocks in Kenya," World Development, Elsevier, vol. 135(C).
    2. Tesfaye, Wondimagegn & Tirivayi, Nyasha, 2020. "Crop diversity, household welfare and consumption smoothing under risk: Evidence from rural Uganda," World Development, Elsevier, vol. 125(C).
    3. Michler, Jeffrey D. & Josephson, Anna L., 2017. "To Specialize or Diversify: Agricultural Diversity and Poverty Dynamics in Ethiopia," World Development, Elsevier, vol. 89(C), pages 214-226.
    4. Josephson, Anna Leigh & Michler, Jeffrey D., 2015. "To Specialize or Diversify: Agricultural Diversity and Poverty Persistence in Ethiopia," 2015 Conference, August 9-14, 2015, Milan, Italy 212459, International Association of Agricultural Economists.
    5. Mintewab Bezabih & Mare Sarr, 2012. "Risk Preferences and Environmental Uncertainty: Implications for Crop Diversification Decisions in Ethiopia," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 53(4), pages 483-505, December.
    6. Ayala Wineman & Nicole M. Mason & Justus Ochieng & Lilian Kirimi, 2017. "Weather extremes and household welfare in rural Kenya," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 9(2), pages 281-300, April.
    7. Makate, Clifton & Angelsen, Arild & Holden, Stein Terje & Westengen, Ola Tveitereid, 2022. "Crops in crises: Shocks shape smallholders' diversification in rural Ethiopia," World Development, Elsevier, vol. 159(C).
    8. Nilsson, Pia & Bommarco, Riccardo & Hansson, Helena & Kuns, Brian & Schaak, Henning, 2022. "Farm performance and input self-sufficiency increases with functional crop diversity on Swedish farms," Ecological Economics, Elsevier, vol. 198(C).
    9. Justus Ochieng & Lilian Kirimi & Joyce Makau, 2017. "Adapting to climate variability and change in rural Kenya: farmer perceptions, strategies and climate trends," Natural Resources Forum, Blackwell Publishing, vol. 41(4), pages 195-208, November.
    10. F. G. Santeramo & B. K. Goodwin & F. Adinolfi & F. Capitanio, 2016. "Farmer Participation, Entry and Exit Decisions in the Italian Crop Insurance Programme," Journal of Agricultural Economics, Wiley Blackwell, vol. 67(3), pages 639-657, September.
    11. Ibirénoyé Romaric Sodjahin & Fabienne Femenia & Obafemi Philippe Koutchade & A. Carpentier, 2022. "On the economic value of the agronomic effects of crop diversification for farmers: estimation based on farm cost accounting data [Valeur économique des effets agronomiques de la diversification de," Working Papers hal-03639951, HAL.
    12. Sauer, Johannes & Finger, Robert, 2014. "Climate Risk Management Strategies in Agriculture – The Case of Flood Risk," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 172679, Agricultural and Applied Economics Association.
    13. Matsushita, Kyohei & Yamane, Fumihiro & Asano, Kota, 2016. "Linkage between crop diversity and agro-ecosystem resilience: Nonmonotonic agricultural response under alternate regimes," Ecological Economics, Elsevier, vol. 126(C), pages 23-31.
    14. Hamid R. Oskorouchi & Alfonso Sousa‐Poza, 2021. "Floods, food security, and coping strategies: Evidence from Afghanistan," Agricultural Economics, International Association of Agricultural Economists, vol. 52(1), pages 123-140, January.
    15. François Bareille & Pierre Dupraz, 2017. "Biodiversity Productive Capacity in Mixed Farms of North-West of France: a Multi-output Primal System," Working Papers SMART 17-03, INRAE UMR SMART.
    16. Hayatullah Ahmadzai, 2017. "Status, patterns, and microeconomic drivers of the extent of diversity in crop production: Evidence from Afghanistan," Discussion Papers 2017-07, University of Nottingham, CREDIT.
    17. Getahun, Tigabu & Fetene, Gebeyehu, 2021. "The Nexus of Production Diversity, Market Participation and Dietary Diversity: Insights from Ethiopia," Discussion Papers 316382, University of Bonn, Center for Development Research (ZEF).
    18. Antonelli, Chiara & Coromaldi, Manuela & Pallante, Giacomo, 2022. "Crop and income diversification for rural adaptation: Insights from Ugandan panel data," Ecological Economics, Elsevier, vol. 195(C).
    19. José Luiz Parré & André Luis Squarize Chagas, 2022. "Determinants of agricultural diversification in Brazil: a spatial econometric analysis," Letters in Spatial and Resource Sciences, Springer, vol. 15(2), pages 173-195, August.
    20. Goundan, Anatole & Faye, Amy & Henning, Christian H. C. A. & Collins-Sowah, Peron A., 2020. "Investing in risky inputs in Senegal: Implications for farm profit and food production," Working Papers of Agricultural Policy WP2020-07, University of Kiel, Department of Agricultural Economics, Chair of Agricultural Policy.

    More about this item

    Keywords

    Environmental Economics and Policy; Crop Production/Industries;

    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:aaae19:295785. 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://edirc.repec.org/data/aaaeaea.html .

    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.