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The Role of Market Information in Adoption of Agricultural Seed Technology in Rural Uganda
Abstract
In this paper, the authors evaluate the impact of access to ICT-based market information on prices received by farmers and the intensity of adoption of improved hybrid and composite maize varieties. Propensity score matching is applied to cross-sectional survey data from farmers whose major cash crop is maize. Results indicate that adoption of improved maize has a positive and significant effect on maize yields, gross maize revenue per acre, and gross margins. The authors find that access to ICT-based market information has a positive and significant impact on the level of output prices received and the intensity of adoption of improved maize. Access to ICT-based market information implies better prices and this positively affects the intensity of adoption of improved seed. The implication is that improving food security and farm incomes should consider both the promotion of yield-augmenting agricultural technologies and improved access to ICT-based market information.
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