Factors enhancing market participation by small-scale cotton farmers

This paper uses data collected from 177 small-scale farming households in Mpumalanga in an effort to identify factors that significantly influence the degree of commercialisation or market participation. A logistic regression model was applied within the transaction costs framework. Results support the hypothesis that transactions costs rank among the main determinants of commercialisation. The following variables were statistically significant: age, ability to speak/understand English, region, ownership of transport, access to market information, distance to market, dependency ratio, trust, land size and ownership of livestock. Increases in the latter four have negative effects on commercialisation. The negative relationship between land size and commercialisation probably indicates that increased market participation is also a function of input (land) productivity.


Issue Date:
2008-12
Publication Type:
Journal Article
PURL Identifier:
http://purl.umn.edu/47656
Published in:
Agrekon, Volume 47, Issue 4
Page range:
451-469
Total Pages:
18
Series Statement:
Volume 47
Number 4




 Record created 2017-04-01, last modified 2017-08-25

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