Effect of land tenure security on agricultural productivity among small scale farmers in Kenya: a conditional mixed processes analysis

Abstract

Security of land tenure among rural households is an integral part in achieving high agricultural productivity. However, there is limited information on the nexus between land tenure security, credit access and agricultural productivity. This study investigates the effects of land tenure security on maize productivity through credit access. Using pre-tested semi-structured questionnaires, cross-sectional primary data were collected from randomly selected 366 small-scale maize farmers in Trans-Mara East and Trans-Mara West sub counties of Narok County, Kenya. Descriptive statistics and conditional mixed process (CMP) model were used to analyse the data. Results show that about 46.99% of the interviewed households had land title deeds. Household heads with land title deeds were more educated, had larger land and farm sizes, had more productive parcels of land and obtained higher gross margins as compared to those without land title deeds. Moreover, the majority of household heads with secure land tenure were married, had community leadership position and acquired land through purchase. The CMP results indicate that, land tenure security was significantly influenced by sex, marital status, education level of the household head as well as presence of land disputes, soil fertility, and purchase of land. The study confirmed the relationship between land tenure security, credit access and maize productivity. Land tenure security significantly and positively influenced credit access, while farmers with access to credit increased maize productivity by 2001.902 kg/ha. The findings call for efforts by stakeholders to enact policies that could promote cost-friendly access to secure land tenure through the acquisition of land title deeds. Additionally, there is need for the government to promote the development and strengthening of both land and credit markets that would stimulate agricultural productivity.

Keywords:

• Endogeneity
• land registration
• land rights
• maize productivity
• title deed

STATEMENT OF PUBLIC INTEREST

Land tenure security is critical in the development of any nation. Improvement in land tenure security through possession of a title deed could improve credit access for small-scale rural farmers. The credit accessed could be used to finance agricultural investments hence increase productivity. However, there is inadequate literature, especially in developing countries, on the relationship between land tenure security, access to credit and agricultural productivity. In order to fill this knowledge gap, this study examines the effect of land tenure security on agricultural productivity through credit access in Kenya. The findings confirm the existence of a relationship between land tenure security, access to credit and agricultural productivity. Land tenure security has a positive effect on access to credit, underscoring the vital role of title deed to be used as a collateral. Empirical results also show that, credit access increases maize productivity.

Acknowledgements

The authors express their gratitude to the German Academic Exchange Service (DAAD) through the African Economic Research Consortium (AERC) for funding this study.

Disclosure statement

No potential conflict of interest was reported by the author(s).

Additional information

Funding

This work was funded by the German Academic Exchange Service (DAAD) through the African Economic Research Consortium (AERC) under grant No. AE/SP/17-049.

Notes on contributors

Joseph Jabu Mbudzya

Mr. Joseph Jabu Mbudyza is a part-time lecturer in the Department of Agricultural Economics and Agribusiness Management, Egerton University, Kenya. He is a Ph.D. candidate in Agricultural Economics at Egerton University, Kenya, specializing in land economics. He is the holder of a Masters of Science degree in Agriculture and Applied Economics from Egerton University, Kenya, and the University of Pretoria, South Africa. Joseph is also a social entrepreneur and founder of an Agricultural Radio Show dubbed “Kilimo Bora” loosely translated as Good Agriculture to educate farmers on different agricultural skills. His research interests include land economics, impact evaluation, food security, natural resource management, land governance, agricultural marketing, and gender studies. He is also a private consultant in the areas of poverty, food security, smallholder agriculture, gender, land tenure security, land governance, and agri-journalism.