Crop Production, Transport Infrastructure, and Agribusiness Nexus : Evidence from Madagascar
The literature suggests a wide range of impacts of improved transport connectivity on agricultural growth. Still, the infrastructure-growth nexus remains somewhat mysterious, particularly in the African context, because many rural farmers do not ha...
| Main Authors: | , , |
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| Format: | Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2018
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/505631529587094980/Crop-production-transport-infrastructure-and-agrobusiness-nexus-evidence-from-Madagascar http://hdl.handle.net/10986/29939 |
| Summary: | The literature suggests a wide range of
impacts of improved transport connectivity on agricultural
growth. Still, the infrastructure-growth nexus remains
somewhat mysterious, particularly in the African context,
because many rural farmers do not have their own transport
means. Using data from Madagascar, the paper reexamines the
important roles of agrobusinesses. By applying the spatial
autoregressive model, it is shown that proximity to
input-oriented agrobusinesses, such as input dealers and
equipment suppliers, is particularly important to increase
rice production. Fertilizer and irrigation use is also found
important, indicating the needs for intensification in rice
production. Market accessibility is always found as a
significant determinant: transport infrastructure connecting
farmers and markets, especially the capital city,
Antananarivo, is therefore important to develop and maintain. |
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