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Abstract
The purpose of this study was to investigate the role of extension
services in enhancing effectiveness of outgrowers’
credit system in Kisumu County, Kenya. The study specifically
sought to determine whether public and private extension
services play a significant role in enhancing effectiveness of
out-growers’ credit system among smallholder sugarcane
farmers. A total of 110 small scale farmers were randomly
selected for the study. A closed ended questionnaire was used
to collect data from farmers. Both descriptive and inferential
statistics were used for data analysis. The findings indicated
that both public and private extension services were insignificant
in enhancing effectiveness of outgrowers’ credit system.
Further, the findings indicated that there was no significant
difference between public and private sector in provision of
extension services. The findings suggest that for outgrowers’
credit system to be effective in terms of creation of awareness
about credit, accessibility, timely supply of credit, supervision
of credit and provision of extension advice on credit utilization,
both public and private extension services should be intensified
and coordinated to avoid duplication. The results also suggest
that sugarcane factory extension division should be strengthened
just like in the coffee and tea sub-sectors.