IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/107241.html
   My bibliography  Save this paper

Analysis of Farmers’ Food Price Volatility and Nigeria’s Growth Enhancement Support Scheme

Author

Listed:
  • Uduji, Joseph
  • Okolo-Obasi, Elda
  • Asongu, Simplice

Abstract

Food prices in Nigeria have become significantly higher and more volatile since 2012. The purpose of this research was to find out what affects farmers’ participation in the growth enhancement support scheme (GESS) in the country. We determined the effect of the GESS on the ease of access to market information and agricultural inputs that influence price volatility at farm gate level. A total of 2100 rural farmers were sampled across Nigeria’s six geopolitical zones. Result from the use of recursive bivariate probit model showed that farmers depended on the GESS for the resolution of food price volatility by providing food market information and agricultural inputs that bring down the incidence and amount of anxiety-impelled price rise in Nigeria. The results advocated for the need to improve the GESS in line with the agricultural transformation agenda (ATA) by cutting down the deterrents mostly linked with the use of mobile phones, and the distance of registration and assemblage centers. In extension and contribution, the findings suggest that smallholder farmers can be part of the volatility solution when they are provided with rural roads and transportation to get their product to the market, and technology to receive and share the latest market information on prices.

Suggested Citation

  • Uduji, Joseph & Okolo-Obasi, Elda & Asongu, Simplice, 2020. "Analysis of Farmers’ Food Price Volatility and Nigeria’s Growth Enhancement Support Scheme," MPRA Paper 107241, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:107241
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/107241/1/MPRA_paper_107241.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Jun Yang & Huanguang Qiu & Jikun Huang & Scott Rozelle, 2008. "Fighting global food price rises in the developing world: the response of China and its effect on domestic and world markets," Agricultural Economics, International Association of Agricultural Economists, vol. 39(s1), pages 453-464, November.
    2. Minot, Nicholas, 2014. "Food price volatility in sub-Saharan Africa: Has it really increased?," Food Policy, Elsevier, vol. 45(C), pages 45-56.
    3. Simplice A. Asongu & Joseph I. Uduji & Elda N. Okolo-Obasi, 2019. "Transfer pricing and corporate social responsibility: arguments, views and agenda," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 32(3), pages 353-363, November.
    4. Christophe Gouel, 2014. "Food Price Volatility and Domestic Stabilization Policies in Developing Countries," NBER Chapters, in: The Economics of Food Price Volatility, pages 261-306, National Bureau of Economic Research, Inc.
    5. Jean-Paul Chavas & David Hummels & Brian D. Wright, 2014. "The Economics of Food Price Volatility," NBER Books, National Bureau of Economic Research, Inc, number chav12-1.
    6. Simplice A. Asongu & Joseph I. Uduji & Elda N. Okolo-Obasi, 2019. "Tourism and insecurity in the world," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 66(4), pages 453-472, December.
    7. Simplice A. Asongu, 2014. "Correcting Inflation with Financial Dynamic Fundamentals: Which Adjustments Matter in Africa?," Journal of African Business, Taylor & Francis Journals, vol. 15(1), pages 64-73, April.
    8. Joseph I. Uduji & Elda N. Okolo-Obasi, 2019. "Corporate Social Responsibility in Nigeria and Rural Youths in Sustainable Traditional Industries Livelihood in Oil Producing Communities," Research Africa Network Working Papers 19/030, Research Africa Network (RAN).
    9. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2019. "Sustaining cultural tourism through higher female participation in Nigeria: The role of corporate social responsibility in oil host communities," Working Papers of The Association for Promoting Women in Research and Development in Africa (ASPROWORDA). 19/003, The Association for Promoting Women in Research and Development in Africa (ASPROWORDA).
    10. Asongu, Simplice & Uduji, Joseph & Okolo-Obasi, Elda, 2019. "Thresholds of External Flows for Inclusive Human Development in Sub-Saharan Africa," MPRA Paper 101521, University Library of Munich, Germany.
    11. Joseph Ikechukwu Uduji & Elda Nduka Okolo‐Obasi, 2017. "Multinational Oil Firms' CSR Initiatives in Nigeria: The Need of Rural Farmers in Host Communities," Journal of International Development, John Wiley & Sons, Ltd., vol. 29(3), pages 308-329, April.
    12. Gilbert, Christopher L. & Christiaensen, Luc & Kaminski, Jonathan, 2017. "Food price seasonality in Africa: Measurement and extent," Food Policy, Elsevier, vol. 67(C), pages 119-132.
    13. Simplice A. Asongu & Joseph I. Uduji & Elda N. Okolo-Obasi, 2020. "Foreign aid volatility and lifelong learning," International Journal of Education Economics and Development, Inderscience Enterprises Ltd, vol. 11(4), pages 370-406.
    14. Simplice A. Asongu & Joseph I. Uduji & Elda N. Okolo-Obasi, 2020. "Fighting African capital flight: trajectories, dynamics, and tendencies," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 6(1), pages 1-21, December.
    15. Nicole M. Mason & Robert J. Myers, 2013. "The effects of the Food Reserve Agency on maize market prices in Zambia," Agricultural Economics, International Association of Agricultural Economists, vol. 44(2), pages 203-216, March.
    16. Joseph I. Uduji & Elda N. Okolo-Obasi, 2019. "Corporate Social Responsibility in Nigeria and Rural Youths in Sustainable Traditional Industries Livelihood in Oil Producing Communities," Working Papers of the African Governance and Development Institute. 19/030, African Governance and Development Institute..
    17. Joseph I. Uduji & Elda N. Okolo-Obasi, 2017. "Multinational Oil Firms’ CSR Initiatives in Nigeria: the Need of Rural Farmers in Host Communities," Research Africa Network Working Papers 17/062, Research Africa Network (RAN).
    18. Gbolagade B. Ayoola, 1997. "Toward a Theory of Food and Agriculture Policy Intervention for a Developing Economy with Particular Reference to Nigeria," Food and Agricultural Policy Research Institute (FAPRI) Publications (archive only) 97-wp187, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    19. Anríquez, Gustavo & Daidone, Silvio & Mane, Erdgin, 2013. "Rising food prices and undernourishment: A cross-country inquiry," Food Policy, Elsevier, vol. 38(C), pages 190-202.
    20. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2020. "Women’s Participation in the Offshore and Inshore Fisheries Entrepreneurship: the Role of CSR in Nigeria’s Oil Coastal Communities," Research Africa Network Working Papers 20/012, Research Africa Network (RAN).
    21. Joseph I. Uduji & Elda N. Okolo-Obasi, 2018. "Corporate Social Responsibility Initiatives in Nigeria and Rural Women Livestock Keepers in Oil Host Communities," Working Papers of the African Governance and Development Institute. 18/060, African Governance and Development Institute..
    22. Stefan Dercon & Douglas Gollin, 2014. "Agriculture in African Development: Theories and Strategies," Annual Review of Resource Economics, Annual Reviews, vol. 6(1), pages 471-492, October.
    23. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2020. "Women’s Participation in the Offshore and Inshore Fisheries Entrepreneurship: the Role of CSR in Nigeria’s Oil Coastal Communities," Working Papers of the African Governance and Development Institute. 20/012, African Governance and Development Institute..
    24. Ruttan, Vernon W., 1987. "Induced innovation and agricultural development," Food Policy, Elsevier, vol. 12(3), pages 196-216, August.
    25. Rabah Arezki & Markus Brückner, 2011. "Food Prices and Political Instability," CESifo Working Paper Series 3544, CESifo.
    26. Ojogho, Osaihiomwan & Egware, Robert Awotu, 2015. "Price Generating Process And Volatility In Nigerian Agricultural Commodities Market," International Journal of Food and Agricultural Economics (IJFAEC), Alanya Alaaddin Keykubat University, Department of Economics and Finance, vol. 3(4), pages 1-10, October.
    27. Mr. Emre Alper & Mr. Niko A Hobdari & Ali Uppal, 2016. "Food Inflation in Sub-Saharan Africa: Causes and Policy Implications," IMF Working Papers 2016/247, International Monetary Fund.
    28. Bellemare, Marc F., 2011. "Rising food prices, food price volatility, and political unrest," MPRA Paper 31888, University Library of Munich, Germany.
    29. Joseph I. Uduji & Elda N. Okolo-Obasi, 2019. "Corporate Social Responsibility in Nigeria and Rural Youths in Sustainable Traditional Industries Livelihood in Oil Producing Communities," Working Papers 19/030, European Xtramile Centre of African Studies (EXCAS).
    30. Gbolagade B. Ayoola, 1997. "Toward a Theory of Food and Agriculture Policy Intervention for a Developing Economy with Particular Reference to Nigeria," Center for Agricultural and Rural Development (CARD) Publications 97-wp187, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    31. Joseph I. Uduji & Elda N. Okolo-Obasi, 2019. "Corporate Social Responsibility in Nigeria and Rural Youths in Sustainable Traditional Industries Livelihood in Oil Producing Communities," CEREDEC Working Papers 19/030, Centre de Recherche pour le Développement Economique (CEREDEC).
    32. Joseph I. Uduji & Elda N. Okolo-Obasi, 2018. "Corporate Social Responsibility Initiatives in Nigeria and Rural Women Livestock Keepers in Oil Host Communities," Research Africa Network Working Papers 18/060, Research Africa Network (RAN).
    33. Joseph Ikechukwu Uduji & Elda Nduka Okolo‐Obasi, 2019. "Corporate Social Responsibility in Nigeria and Rural Youths in Sustainable Traditional Industries Livelihood in Oil Producing Communities," Journal of International Development, John Wiley & Sons, Ltd., vol. 31(7), pages 658-678, October.
    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. Simplice A. Asongu, 2021. "The Effects of Mobile Phone Technology, Knowledge Creation and Diffusion on Inclusive Human Development in Sub-Saharan Africa," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 12(3), pages 1367-1398, September.
    2. Asongu, Simplice A. & Agyemang-Mintah, Peter & Nting, Rexon T., 2021. "Law, mobile money drivers and mobile money innovations in developing countries," Technological Forecasting and Social Change, Elsevier, vol. 168(C).
    3. Uduji, Joseph Ikechukwu & Okolo-Obasi, Elda Nduka & Asongu, Simplice A., 2021. "Oil extraction in Nigeria's Ogoniland: The role of corporate social responsibility in averting a resurgence of violence," Resources Policy, Elsevier, vol. 70(C).
    4. Simplice A. Asongu & Joseph Nnanna & Paul N. Acha-Anyi, 2020. "Inclusive Education for Inclusive Economic Participation: the Financial Access Channel," Research Africa Network Working Papers 20/019, Research Africa Network (RAN).
    5. Elda N. Okolo‐Obasi & Joseph I. Uduji & Simplice A. Asongu, 2020. "Strengthening women's participation in the traditional enterprises of sub‐saharan Africa: The role of corporate social responsibility initiatives in Niger delta, Nigeria," African Development Review, African Development Bank, vol. 32(S1), pages 78-90, November.
    6. Simplice A. Asongu & Nicholas M. Odhiambo, 2020. "Social Media and Inclusive Human Development in Africa," Working Papers 20/017, European Xtramile Centre of African Studies (EXCAS).
    7. Uduji, Joseph & Okolo-Obasi, Elda & Asongu, Simplice, 2021. "Does Corporate Social Responsibility Initiative Dissuade the Increasing Electoral Violence in sub-Saharan Africa? Evidence from Nigeria’s Oil Producing Region," MPRA Paper 110756, University Library of Munich, Germany.
    8. Agus Dwi Nugroho, 2021. "Agricultural market information in developing countries: A literature review," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 67(11), pages 468-477.

    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. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2019. "Farmers’ Food Price Volatility and Nigeria’s Growth Enhancement Support Scheme," Working Papers of the African Governance and Development Institute. 19/075, African Governance and Development Institute..
    2. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2020. "Analysis of Farmers’ Food Price Volatility and Nigeria’s Growth Enhancement Support Scheme," Research Africa Network Working Papers 20/069, Research Africa Network (RAN).
    3. Uduji, Joseph Ikechukwu & Okolo-Obasi, Elda Nduka & Asongu, Simplice A., 2021. "Oil extraction in Nigeria's Ogoniland: The role of corporate social responsibility in averting a resurgence of violence," Resources Policy, Elsevier, vol. 70(C).
    4. Uduji, Joseph & Okolo-Obasi, Elda & Asongu, Simplice, 2021. "Does Corporate Social Responsibility Initiative Dissuade the Increasing Electoral Violence in sub-Saharan Africa? Evidence from Nigeria’s Oil Producing Region," MPRA Paper 110756, University Library of Munich, Germany.
    5. Joseph Ikechukwu Uduji & Elda Nduka Okolo-Obasi & Simplice Anutechia Asongu, 2021. "Does growth enhancement support scheme (GESS) contribute to youth development in informal farm entrepreneurship? Evidence from rural communities in Nigeria," Journal of Enterprising Communities: People and Places in the Global Economy, Emerald Group Publishing Limited, vol. 15(3), pages 451-476, February.
    6. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2020. "Women’s Participation in the Offshore and Inshore Fisheries Entrepreneurship: the Role of CSR in Nigeria’s Oil Coastal Communities," Working Papers of the African Governance and Development Institute. 20/012, African Governance and Development Institute..
    7. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2020. "Sustainable Peace building and Development in Nigeria’s Post-Amnesty Programme: the Role of Corporate Social Responsibility in Oil Host Communities," Working Papers of the African Governance and Development Institute. 20/026, African Governance and Development Institute..
    8. Elda N. Okolo‐Obasi & Joseph I. Uduji & Simplice A. Asongu, 2020. "Strengthening women's participation in the traditional enterprises of sub‐saharan Africa: The role of corporate social responsibility initiatives in Niger delta, Nigeria," African Development Review, African Development Bank, vol. 32(S1), pages 78-90, November.
    9. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2019. "Farmers’ Food Price Volatility and Nigeria’s Growth Enhancement Support Scheme," Working Papers 19/075, European Xtramile Centre of African Studies (EXCAS).
    10. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2019. "Electronic wallet technology and the enabling environment of smallholder farmers in Nigeria," Research Africa Network Working Papers 19/041, Research Africa Network (RAN).
    11. Uduji, Joseph & Okolo-Obasi, Elda & Asongu, Simplice, 2019. "The Impact of CSR Interventions on Female Education Development in the Rural Niger Delta Region of Nigeria," MPRA Paper 101798, University Library of Munich, Germany.
    12. Uduji, Joseph & Okolo-Obasi, Elda & Asongu, Simplice, 2019. "Corporate social responsibility in Nigeria and multinational corporations in the fight against human trafficking in oil-producing communities," MPRA Paper 101556, University Library of Munich, Germany.
    13. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2020. "The Impact of Corporate Social Responsibility Interventions on Female Education Development in the Rural Niger Delta Region of Nigeria," Progress in Development Studies, , vol. 20(1), pages 45-64, January.
    14. Joseph I. Uduji & Elda N. Okolo-Obasi & Vincent A. Onodugo & Justitia O. Nnabuko & Babatunde A. Adedibu, 2020. "Corporate Social Responsibility and the Role of Rural Women in Strengthening Agriculture-Tourism Linkages in Nigeria’s Oil Producing Communities," Working Papers 20/067, European Xtramile Centre of African Studies (EXCAS).
    15. Joseph I. Uduji & Elda N. Okolo-Obasi & Vincent A. Onodugo & Justitia O. Nnabuko & Babatunde A. Adedibu, 2020. "Corporate Social Responsibility and the Role of Rural Women in Strengthening Agriculture-Tourism Linkages in Nigeria’s Oil Producing Communities," Research Africa Network Working Papers 20/067, Research Africa Network (RAN).
    16. Joseph Ikechukwu Uduji & Elda Nduka Okolo-Obasi & Simplice Anutechia Asongu, 2022. "Corporate social responsibility and traditional practices recognised as violence against women in Nigeria’s oil region," Development in Practice, Taylor & Francis Journals, vol. 32(4), pages 521-535, May.
    17. Joseph I. Uduji & Elda N. Okolo-Obasi & Vincent A. Onodugo & Justitia O. Nnabuko & Babatunde A. Adedibu, 2020. "Corporate Social Responsibility and the Role of Rural Women in Strengthening Agriculture-Tourism Linkages in Nigeria’s Oil Producing Communities," Working Papers of the African Governance and Development Institute. 20/067, African Governance and Development Institute..
    18. Joseph Ikechukwu Uduji & Elda N. Okolo‐Obasi & Simplice A. Asongu, 2019. "Corporate social responsibility and the role of rural women in sustainable agricultural development in sub‐Saharan Africa: Evidence from the Niger Delta in Nigeria," Sustainable Development, John Wiley & Sons, Ltd., vol. 27(4), pages 692-703, July.
    19. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2019. "Sustaining cultural tourism through higher female participation in Nigeria: The role of corporate social responsibility in oil host communities," Working Papers of The Association for Promoting Women in Research and Development in Africa (ASPROWORDA). 19/003, The Association for Promoting Women in Research and Development in Africa (ASPROWORDA).
    20. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2019. "Multinational Oil Companies in Nigeria and Corporate Social Responsibility in the HIV/AIDS Response in Host Communities," Research Africa Network Working Papers 19/012, Research Africa Network (RAN).

    More about this item

    Keywords

    Agricultural transformation agenda; recursive bivariate probit model; food price volatility; growth enhancement support scheme; rural farmers; Nigeria.;
    All these keywords.

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

    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:pra:mprapa:107241. 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: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.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.