Valuation of Cow Attributes by Conjoint Analysis: A Case Study in Western Kenya

The objective of the study was to determine the value that different households attach to attributes of the dairy cow. The cow attributes were, milk yield, disease resistance, feed requirement. The valuation was done in order to quantify the economic trade-offs made during adoption of dairy technologies, assess resource availability, households perceptions on dairy technologies and their farming priorities. This was necessary to understand the adoption patterns of dairy technologies observed and suggest intervention. The Marginal Rate of Substitution (MRS), Marginal Willingness to Pay (mWTP), and Marginal Willingness to Accept (mWTA) that were used were determined from conjoint (CJ) analysis using data from a survey of 630 households in Western Kenya. The household characteristics that influenced valuation were off-farm income, precipitation over evapo-transpiration (PPE), ethnicity, cultural values, education, and extension. In reference to the typical households, household characteristics that showed a higher mWTP for a cow with low feed requirement implied either scarcity of feed, high opportunity cost of using land for fodder or lack of information on feed resources. The latter indicates inefficiency in resource use. A higher mWTP for a cow with high milk yield gave an indication of the households' priorities. A mWTA payment for a cow with high milk yield in the face of potential markets showed different farming priorities and lack of information. A mWTA payment for a cow with low disease resistance shows risk aversion and limited information on disease control.cow attributes, conjoint, marginal willingness to accept, marginal willingness to pay, Livestock Production/Industries,

Valuation of cow attributes by conjoint analysis: A case study of Western Kenya

Better dairy production could reduce poverty and improve nutrition in western Kenya, but the requisite technologies have not been widely adopted. This study collected dairy cow attributes from 630 households to evaluate what factors influence smallholder farmers to adopt technologies. Conjoint analysis was used to compute the marginal rate of substitution between attributes, marginal willingness to pay, and marginal willingness to accept. Two ethnic groups had the highest willingness to pay for cattle with a high milk yield and low feed requirement. The highest marginal rate of substitution for cattle with a high disease resistance and a low feed requirement was from households with off-farm income, from areas with a good agro-climate, and from areas where cattle had cultural functions. The results suggest that farmers are more likely to choose cross-bred than high grade cows, and that extension services have little effect on their adoption of dairy technology. Kenya’s breed policy and infrastructure may need to be revised to reflect farmers’ needs.Conjoint analysis, valuation of cow attributes, dairy production, Kenya, Livestock Production/Industries,

Analysis of Factors Influencing Adoption of Dairy Technologies In Western Kenya

Indicators of poverty in western Kenya show high poverty levels. The area has low dairy development yet the potential for dairy development is quite high. Dairy farming has the potential to reduce poverty by increasing incomes and reducing unemployment. This paper reports factor interrelationships in dairy adoption with a view to understanding factors that influence adoption. The binary probit model was used to analyse data from 1575 households. Contrary to findings from similar studies elsewhere, some factors had a negative association with adoption, thus unfolding a unique adoption process. The association between the factor interactive affects and technology adoption highlighted the importance of exploring factor interrelationships. The widely held conclusion that smallholder households are resource constrained in technology adoption did not hold in this study. The source of labour supply dictated choice of variables to be used as proxies for labour availability. The exploration of endogenous relationships in the various factors dictated the use of the single probit model. The spatial factors used were highly significant in adoption, and the predicted probabilities from these factors gave a true spatial prediction. This confirmed reliability of the probit estimates. An understanding of factor interrelationships in adoption gives adoption studies high specificity while making conclusions and recommendations, thus necessitating case studies in adoption.Adoption, factor interrelationship, spatial factors, Agricultural and Food Policy, Demand and Price Analysis, Environmental Economics and Policy, Farm Management, Food Consumption/Nutrition/Food Safety, Food Security and Poverty, International Relations/Trade, Livestock Production/Industries, Marketing, Productivity Analysis, Research and Development/Tech Change/Emerging Technologies,

Access to Land, Income Diversification and Poverty Reduction in Rural Kenya

The increasing land scarcity and the worsening trend of poverty in Kenya in recent years have raised concerns about the focus on land-based agriculture as the basis of growth in the rural areas. This paper combines two complementary data sets obtained from two locations in Kenya, drawn against distinctively different land availability patterns, to examine the diverse rural asset base and key sources of livelihood in the rural areas. The analysis reveals that while access to productive land is still an important determinant of livelihoods in the rural areas, even where land holdings are very small, growth in farm productivity alone may not guarantee households sufficient incomes to escape poverty. We find evidence to suggest that growth of non-farm sector is necessary and may be much more important in reducing risks and vulnerability to poverty and should be equally emphasized if households in such regions are to escape poverty. Off-farm earnings accounted for at least 50 percent of total household incomes in the two research locations. The study further revealed existence of significant barriers to entry to remunerative livelihoods both at farm and off-farm level. The study advocates for expansion of educational services, infrastructure and strengthening of rural institutions to spur broad-based development in the rural areas.diversification, livelihoods, land holding, assets, Kenya., Community/Rural/Urban Development, Q12, Q15, Q18, O18, O13,

Risk Management in Smallholder Cattle Farming: A Hypothetical Insurance Approach in Western Kenya

Smallholder cattle farming is an important livelihood strategy in most developing countries like Kenya. However, tropical diseases in Africa often wipe out these valuable assets. This paper focuses on mitigation of cattle disease risks through a hypothetical insurance scheme. The study is based on data from a survey conducted on a purposive sample of 300 smallholder cattle farmers in Kakamega and Siaya districts of Western Kenya. Descriptive measures and a regression model were used in the analysis. Results of the study showed that most farmers (91.3%) were willing to participate in the cattle insurance scheme. Also, the farmers observed that the scheme would enable them to increase their herd sizes and change their breed composition. The farmer's mean Willingness To Pay (WTP) for the scheme would be determined by their gender, income, cultural norms, cattle breed and economic value/price of the animal kept. This paper recommends establishment of a formal cattle insurance scheme; and economic empowerment of both male and female farmers to encourage adoption of the scheme, as well as educating the farmers on how to integrate the scheme within their cultural norms to ensure it's sustainability.Cattle, smallholder livelihoods, disease risks, insurance, Livestock Production/Industries, Risk and Uncertainty,

Classification and influence of agricultural information on striga and stemborer control in Suba and Vihiga Districts, Kenya

This paper reports on findings of a study to examine the sources used by farmers in search of agricultural information on striga and/or stemborers control technologies and factors that influence acquisition of such information in Western Kenya region. A random sample of 476 households in Suba and Vihiga districts were interviewed and 15 information pathways were identified. Using principle component analysis (PCA) to derive few latent variables that encapsulate maximum variance in the pathways, two components (latent variables) proxying for ‘agricultural knowledge’ were extracted. Type I-knowledge (first component) loaded heavily with sources that had ‘group’ information searching. Type II-knowledge (second component) loaded heavily with sources requiring individual farmer search. Both types of knowledge positively and significantly influenced the likelihood of households using improved technology to control stemborer, while only Type-II knowledge and social economic factors were important in influencing the farmers’ likelihood of using an improved technology to control striga. This study shows that information is an important factor in the households’ likelihood of using improved technologies in the control of striga and stem borer in Vihiga and Suba, Kenya. Methods of individual interaction are important to striga control.Agricultural information, improved technology, striga, stemborers, control technologies, Kenya, Agricultural and Food Policy, Community/Rural/Urban Development, Demand and Price Analysis, Farm Management, Food Consumption/Nutrition/Food Safety, Food Security and Poverty, Institutional and Behavioral Economics, International Relations/Trade, Marketing, Productivity Analysis, Research and Development/Tech Change/Emerging Technologies, Resource /Energy Economics and Policy,

Farmer Perception of Technology and its Impact on Technology Uptake: The Case of Fodder Legume in Central Kenya Highlands.

Technology adoption by farmers is crucial to increasing agricultural productivity hence meeting food and nutrition challenges in Africa. Economists investigating consumer demand have accumulated considerable evidence showing that consumers generally have subjective preferences for product attributes. However, when investigating adoption of new agricultural technologies, economists have lagged behind in analysing how farmers' (the consumer of agricultural technologies) subjective perceptions of technology characteristics affect their adoption decisions. Focusing on farmer perceptions of technologies may provide a better understanding of technology adoption since they deal with the technologies and probably perceive technologies differently from researchers and extension agents. The objective of this paper is to investigate farmers' perception of technology and its impact on adoption using a case study of legume forages in central Kenya highlands. Data from a random sample of 131 farm households in four districts in central Kenya was used. Using participatory techniques, four most important fodder legume attributes to farmers in their adoption decision were identified. These were then used in conjoint analysis. An ordered probit model was estimated to assess relative importance of each attribute to the farmer. A tobit model was also estimated to show the effect of farmers' perception of calliandra and desmodium on probability and intensity of adoption. Results showed that dry season tolerance and economy on land are most important characteristics of fodder legumes to the farmers. It was also found that Calliandra and desmodium were more relevant to the farmers in the area than other fodders. Farmers' perception of the two fodders had a significant impact on their adoption. Consequently, it was recommended that before introducing a technology in an area, it is necessary that the farmers' perception of the technology be analysed Conjoint analysis, ordered probit and tobit estimates, fodder legume adoption.Research and Development/Tech Change/Emerging Technologies,

The Role of Livestock In the Ethiopian Economy: Policy Analysis Using A Dynamic Computable General Equilibrium Model for Ethiopia

Researchers and policymakers increasingly recognize that the livestock sector supports the livelihoods of a large proportion of rural households in most African countries and may have an important role to play in rural poverty reduction strategies. In order to develop this insight, economywide models should capture both the biological, dynamic relationships between the stocks and flows of livestock and the economic linkages between the sector and the rest of the economy. We extend an existing dynamic recursive general equilibrium model for the Ethiopian economy which better models the livestock sector. A separate herd dynamics module enables us to specify stock-flow relationship, distinguishing between the capital role of livestock and the flow of livestock products. We also improve the underlying system of economic accounts, to better capture draft power and breeding stocks. We use this model to simulate separate, realistic Total Factor Productivity (TFP) shocks to three agricultural subsectors—cereals, cash crops, and livestock—and compare them with a baseline scenario replicating the 1998 to 2007 productivity trends, following Dorosh and Thurlow (2009) who have examined CAADP productivity scenarios. The results we obtain reveal the important role of the livestock sector in increasing various measures of GDP and combating food insecurity. Agricultural GDP and overall GDP growth levels achieved in the livestock TFP shock scenario are very similar to those achieved in the cereal TFP shock scenario, unlike what previously thought. Importantly, as factors are dynamically re-allocated between agricultural activities, our analysis highlights the inefficiency of strategies focusing on cereal sector development alone. Moreover, livestock sector productivity growth leads to greater factor income growth, particularly labor income, than in the other simulations. Labor is the predominant asset of poor households and hence large income gains and food consumption growth are realized under the livestock-led scenario

Valuation of Cow Attributes by Conjoint Analysis: A Case Study in Western Kenya

The objective of the study was to determine the value that different households attach to attributes of the dairy cow. The cow attributes were, milk yield, disease resistance, feed requirement. The valuation was done in order to quantify the economic trade-offs made during adoption of dairy technologies, assess resource availability, households perceptions on dairy technologies and their farming priorities. This was necessary to understand the adoption patterns of dairy technologies observed and suggest intervention. The Marginal Rate of Substitution (MRS), Marginal Willingness to Pay (mWTP), and Marginal Willingness to Accept (mWTA) that were used were determined from conjoint (CJ) analysis using data from a survey of 630 households in Western Kenya. The household characteristics that influenced valuation were off-farm income, precipitation over evapo-transpiration (PPE), ethnicity, cultural values, education, and extension. In reference to the typical households, household characteristics that showed a higher mWTP for a cow with low feed requirement implied either scarcity of feed, high opportunity cost of using land for fodder or lack of information on feed resources. The latter indicates inefficiency in resource use. A higher mWTP for a cow with high milk yield gave an indication of the households' priorities. A mWTA payment for a cow with high milk yield in the face of potential markets showed different farming priorities and lack of information. A mWTA payment for a cow with low disease resistance shows risk aversion and limited information on disease control

Analysis of Factors Influencing Adoption of Dairy Technologies In Western Kenya

Indicators of poverty in western Kenya show high poverty levels. The area has low dairy development yet the potential for dairy development is quite high. Dairy farming has the potential to reduce poverty by increasing incomes and reducing unemployment. This paper reports factor interrelationships in dairy adoption with a view to understanding factors that influence adoption. The binary probit model was used to analyse data from 1575 households. Contrary to findings from similar studies elsewhere, some factors had a negative association with adoption, thus unfolding a unique adoption process. The association between the factor interactive affects and technology adoption highlighted the importance of exploring factor interrelationships. The widely held conclusion that smallholder households are resource constrained in technology adoption did not hold in this study. The source of labour supply dictated choice of variables to be used as proxies for labour availability. The exploration of endogenous relationships in the various factors dictated the use of the single probit model. The spatial factors used were highly significant in adoption, and the predicted probabilities from these factors gave a true spatial prediction. This confirmed reliability of the probit estimates. An understanding of factor interrelationships in adoption gives adoption studies high specificity while making conclusions and recommendations, thus necessitating case studies in adoption