Efficiency differentials and Market Participation among Seed Potato Producers in Uganda, a case of South Western Highlands Agro-Ecological Zone

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University of Dar es Salaam
Enhancing the capacity of the seed potato production system to meet demand requires careful analysis of the system in terms of efficiency and market participation given that most of the seed produced should ideally be supplied. This study analyses technical and economic efficiency as well as market participation of seed potato producers at both formal and informal levels and how these influence productivity and supply of seed potato in South Western Highland Agro- Ecological Zone (SWHAEZ). Uganda. The study utilized data collected from 499 informal and 137 formal seed producers from Kabale, Kisoro and Rubanda district in SWHAEZ region. The study employs as one- step stochastic Frontier Analysis (SFA) to study technical and economic efficiency and a double hurdle model (DHM) to investigate the determinants of market participation of seed producers. Stochastic production and cost frontier results indicate that mean technical efficiency for informal and formal seed producers are 81.4 and 80..4 percent while their mean economic efficiency are 91.7 and 95.2 percent respectively. Specifically; sex of the producer being male, off- farm income sources scale of production and access to extension services were associated with higher levels of technical efficiency for informal seed producers while producers, education enhanced formal seed producers’ technical efficiency. With cost frontier, informal seed producers, economic efficiency was enhanced by market information access credit access, producers’ capacity and experience while number of potato varieties market information access and producers experience increased economic efficiency for formal counterparts. Moreover, informal and formal seed producers quantity supplied was enhanced by technical efficiency, land accessible, market information access and fertilizer usage while distance to the market and age adversely affected their supply decisions. Therefore, efforts to boost and sustain seed potato markets should strive to enhance technical efficiency. More policy support in institutional services such as variety development and promotion, credit and market access as well as extension services are vital for increased efficiency and commercialization in seed potato sub-sector.
Available in print form, East Africana Collection, Dr.Wilbert Chagula Library, class mark (THS EAF SB 211.P8U33A534)
Seed potatoes, Markets, Potato producers, Agro-ecological zone, Southern western highlands, Uganda
Aheisibwe, A. R(2019)Efficiency differentials and Market Participation among Seed Potato Producers in Uganda, a case of South Western Highlands Agro-Ecological Zone,Masters dissertation,University of Dar es Salaam, Dar es Salaam.