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Participation of farmers in market value chains: A tailored Antràs and Chor positioning indicator
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Abstract
This study presents a micro-level indicator of farmers’ positioning in the market chain, based on the conceptual framework outlined by Antràs and Chor (2013, 2018). The indicator considers the selling location of a farming household and its crop buyers. Using panel data from the World Bank’s ‘Living Standards Measure-ment Study: Integrated Surveys on Agriculture’ for Ethiopia and Nigeria, this paper applies the proposed indicator empirically and showcases its superior performance in comparison to existing alternatives at the micro-level. Furthermore, by analyzing the dynamics of farmers’ food and total consumption over time and controlling for vari-ous household and production characteristics, as well as potential confounding factors, this study shows that moving towards a downstream position in the market chain has a positive impact on farmers’ food and total consumption levels. The results are validated through sensitivity analysis and robustness checks.
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2024
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Keywords
Value chains, Economic development, Market chain, Farming households
Citation
Gattone, Tulia. “Participation of Farmers in Market Value Chains: A Tailored Antràs and Chor Positioning Indicator.” Bio-Based and Applied Economics 13 (3): 245–64. 2024.