3,018
Views
1
CrossRef citations to date
0
Altmetric
DEVELOPMENT ECONOMICS

Assessing rural farmers’ willingness to pay for crop insurance scheme: Evidence from Rwanda

ORCID Icon, &
Article: 2104780 | Received 21 Jan 2022, Accepted 19 Jul 2022, Published online: 31 Jul 2022

References

  • Abbas, A., Amjath-Babu, T., Kächele, H., & Müller, K. (2015). Non-structural flood risk mitigation under developing country conditions: An analysis on the determinants of willingness to pay for flood insurance in rural Pakistan. Natural Hazards, 75(3), 2119–14. https://doi.org/10.1007/s11069-014-1415-x
  • Abebaw, D., & Haile, M. G. (2013). The impact of cooperatives on agricultural technology adoption: Empirical evidence from Ethiopia. Food Policy, 38, 82–91. https://doi.org/10.1016/j.foodpol.2012.10.003
  • Abugri, S. A., Amikuzuno, J., & Daadi, E. B. (2017). Looking out for a better mitigation strategy: Smallholder farmers’ willingness to pay for drought-index crop insurance premium in the Northern Region of Ghana. Agriculture & Food Security, 6(1), 71. https://doi.org/10.1186/s40066-017-0152-2
  • Addey, K. A., Jatoe, J. B. D., & Kwadzo, G. T.-M. (2021). Adoption of crop insurance in Ghana: An application of the complementary log-log truncated Poisson double-hurdle model. Agricultural Finance Review, 81(1), 76–93. https://doi.org/10.1108/AFR-06-2019-0062.
  • Adzawla, W., Kudadze, S., Mohammed, A. R., & Ibrahim, I. I. (2019). Climate perceptions, farmers’ willingness-to-insure farms and resilience to climate change in Northern region, Ghana. Environmental Development, 32, 100466. https://doi.org/10.1016/j.envdev.2019.100466
  • Afroz, R., Akhtar, R., & Farhana, P. (2017). Willingness to pay for crop insurance to adapt flood risk by Malaysian farmers: An empirical investigation of Kedah. International Journal of Economics and Financial Issues, 7(4), 1–9. https://dergipark.org.tr/en/pub/ijefi/issue/32006/353501
  • Ali, J., & Gupta, K. B. (2011). Efficiency in agricultural commodity futures markets in India: Evidence from cointegration and causality tests. Agricultural Finance Review, 71(2), 162–178. https://doi.org/10.1108/00021461111152555
  • Ansoms, A., Cioffo, G., Dawson, N., Desiere, S., Huggins, C., Leegwater, M., Murison, J., Nyenyezi Bisoka, A., Treidl, J., & Van Damme, J. (2018). The Rwandan agrarian and land sector modernisation: Confronting macro performance with lived experiences on the ground. Review of African Political Economy, 45(157), 408–431. https://doi.org/10.1080/03056244.2018.1497590
  • Antón, J., & Kimura, S. (2011). “Risk Management in Agriculture in Spain”. In OECD Food, Agriculture and Fisheries Papers, No. 43, OECD Publishing, Paris. http://dx.doi.org/10.1787/5kgj0d57w0wd-en
  • Arshad, M., Amjath-Babu, T. S., Kächele, H., & Müller, K. (2016). What drives the willingness to pay for crop insurance against extreme weather events (flood and drought) in Pakistan? A hypothetical market approach. Climate and Development, 8(3), 234–244. https://doi.org/10.1080/17565529.2015.1034232
  • Audu, V. I., & Aye, G. C. (2014). The effects of improved maize technology on household welfare in Buruku, Benue State, Nigeria. Cogent Economics & Finance, 2(1), 960592. https://doi.org/10.1080/23322039.2014.960592.
  • Batirbaev, P., Kim, T. Y., Ma’ani, R., Shim, R., Singer, J., Snyder, M., & Yawson, F. (2013). Maize in Rwanda: A value chain analysis. United Nations Industrial Development Organization (UNIDO). Vienna, Austria.
  • Belay, G., Ketema, M., & Hasen, M. (2020). Households’ willingness to pay for soil conservation on communal lands: Application of the contingent valuation method in north eastern Ethiopia. Journal of Environmental Planning and Management, 63(12), 2227–2245. https://doi.org/10.1080/09640568.2020.1717933
  • Boettke, P. J. (2010). What Happened to “Efficient Markets”? The Independent Review, 14(3), 363–375. http://www.jstor.org/stable/24562878
  • Bogale, A. (2015). Weather-indexed insurance: An elusive or achievable adaptation strategy to climate variability and change for smallholder farmers in Ethiopia. Climate and Development, 7(3), 246–256. https://doi.org/10.1080/17565529.2014.934769
  • Britain, G. (2018). Health and Harmony: The future for food, farming and the environment in a green brexit. Department for Environment, Food & Rural Affairs.
  • Budhathokia, N. K., Lassa, J. A., Pun, S., & Zander, K. K. (2019). Farmers’ interest and willingness to pay for index-based crop insurance in the lowlands of Nepal. Land Use Policy, 85, 1–10. https://doi.org/10.1016/j.landusepol.2019.03.029.
  • Cragg, J. G. (1971). Some statistical models for limited dependent variables with application to the demand for durable goods. Econometrica, 39(5), 829–844. https://doi.org/10.2307/1909582
  • Ellis, E. (2017). Farmers’ willingness to pay for crop insurance: Evidence from Eastern Ghana. International Journal of Agricultural Management and Development (IJAMAD), 7(4), 447–463. https://doi.org/10.22004/ag.econ.292508
  • Engel, C., & Moffatt, P. G. (2014). Dhreg, Xtdhreg, and Bootdhreg: Commands to implement double-hurdle regression. The Stata Journal, 14(4), 778–797. https://doi.org/10.1177/1536867x1401400405
  • Fonta, W. M., Sanfo, S., Kedir, A. M., & Thiam, D. R. (2018). Estimating farmers’ willingness to pay for weather index-based crop insurance uptake in West Africa: Insight from a pilot initiative in Southwestern Burkina Faso. Agricultural and Food Economics, 6(1), 11. https://doi.org/10.1186/s40100-018-0104-6
  • Hill, R. V., Hoddinott, J., & Kumar, N. (2013). Adoption of weather-index insurance: Learning from willingness to pay among a panel of households in rural Ethiopia. Agricultural Economics (United Kingdom), 44(4–5), 385–398. https://doi.org/10.1111/agec.12023
  • Huang, Z., & Du, X. (2017). Government intervention and land misallocation: Evidence from China. Cities, 60, 323–332. https://doi.org/10.1016/j.cities.2016.10.006
  • Idris, I., Hoque, M. E., & Susanto, P. (2022). Willingness to pay for the preservation of urban green space in Indonesia. Cogent Economics & Finance, 10(1), 2008588. https://doi.org/10.1080/23322039.2021.2008588
  • Isakson, S. R. (2015). Derivatives for development? Small-Farmer vulnerability and the financialization of climate risk management. Journal of Agrarian Change, 15(4), 569–580. https://doi.org/10.1111/joac.12124
  • Kaji, N., Lassa, J. A., Pun, S., & Zander, K. K. (2019). Farmers’ interest and willingness to pay for index-based crop insurance in the lowlands of Nepal. Land Use Policy, 85, 1–10. https://doi.org/10.1016/j.landusepol.2019.03.029.
  • Kathiresan, A. (2011). Strategies for Sustainable Crop Intensification in Rwanda. Shifting focus from producing enough to producing surplus (MINAGRI). http://www.minagri.gov.rw/fileadmin/user_upload/documents/CIP/CIP_Strategies_2011.pdf
  • Khonje, M., Manda, J., Alene, A. D., & Kassie, M. (2015). Analysis of adoption and impacts of improved maize varieties in Eastern Zambia. World Development, 66, 695–706. https://doi.org/10.1016/j.worlddev.2014.09.008
  • Kuzman, B., Ercegovac, D., & Momčilović, M. (2018). Development of derivative trading on financial market and agribusiness sector in Serbia. Економика Пољопривреде, 65(2), 601–616. https://doi.org/10.5937/ekoPolj1802601K
  • Lalika, M. C. S., Meire, P., Ngaga, Y. M., & Sanga, G. J. (2017). Willingness to pay for watershed conservation: Are we applying the right paradigm? Ecohydrology & Hydrobiology, 17(1), 33–45. https://doi.org/10.1016/j.ecohyd.2016.12.004
  • Lefebvre, M., Nikolov, D., Gomez-y-Paloma, S., & Chopeva, M. (2014). Determinants of insurance adoption among Bulgarian farmers. Agricultural Finance Review, 74(3), 326–347. https://doi.org/10.1108/AFR-05-2013-0022
  • Manda, J., Khonje, M. G., Alene, A. D., Tufa, A. H., Abdoulaye, T., Mutenje, M., Setimela, P., & Manyong, V. (2020). Does cooperative membership increase and accelerate agricultural technology adoption? Empirical evidence from Zambia. Technological Forecasting and Social Change, 158, 120160. https://doi.org/10.1016/j.techfore.2020.120160
  • Mango, N., Makate, C., Tamene, L., Mponela, P., & Ndengu, G. (2018). Adoption of small-scale irrigation farming as a climate-smart agriculture practice and its influence on household income in the chinyanja triangle, Southern Africa. Land, 7(2), 49. https://doi.org/10.3390/land7020049
  • Minagri. (2020). Ministry of Agriculture and Animal Resources (MINAGRI) Annual Report 2019-2020.
  • Minagri. (2021). Annual report 2020/2021. Ministry of Agriculture and Animal Resources. Kigali, Rwanda.
  • Mwema, C., & Crewett, W. (2019). Social networks and commercialisation of African indigenous vegetables in Kenya: A cragg’s double hurdle approach. Cogent Economics & Finance, 7(1), 1642173. https://doi.org/10.1080/23322039.2019.1642173
  • Nahayo, A., Omondi, M. O., Zhang, X. H., Li, L. Q., Pan, G. X., & Joseph, S. (2017). Factors influencing farmers’ participation in crop intensification program in Rwanda. Journal of Integrative Agriculture, 16(6), 1406–1416. https://doi.org/10.1016/S2095-3119(16)61555-1
  • Ngango, J., & Hong, S. (2021a). Adoption of small-scale irrigation technologies and its impact on land productivity: Evidence from Rwanda. Journal of Integrative Agriculture, 20(8), 2302–2312. https://doi.org/10.1016/s2095-3119(20)
  • Ngango, J., & Hong, S. (2021b). Improving farm productivity through the reduction of managerial and technology gaps among farmers in Rwanda. Agriculture & Food Security, 10(1), 11. https://doi.org/10.1186/s40066-020-00284-4
  • Ngango, J., & Hong, S. (2021c). Speed of adoption of intensive agricultural practices in Rwanda: A duration analysis. Agrekon, 60(1), 43–56. https://doi.org/10.1080/03031853.2021.1883448
  • Nilsson, P., Backman, M., Bjerke, L., & Maniriho, A. (2019). One cow per poor family: Effects on the growth of consumption and crop production. World Development, 114, 1–12. https://doi.org/10.1016/j.worlddev.2018.09.024
  • NISR. (2017). The fifth integrated household living conditions survey - EICV5 main indicators report (pp. 9789997743374)).
  • Ntihinyurwa, P. D., de Vries, W. T., Chigbu, U. E., & Dukwiyimpuhwe, P. A. (2019). The positive impacts of farm land fragmentation in Rwanda. Land Use Policy, 81, 565–581. https://doi.org/10.1016/j.landusepol.2018.11.005
  • Ntukamazina, N., Onwonga, R. N., Sommer, R., Rubyogo, J. C., Mukankusi, C. M., Mburu, J., & Kariuki, R. (2017). Index-based agricultural insurance products: Challenges, opportunities, and prospects for uptake in sub-Sahara Africa. Journal of Agriculture and Rural Development in the Tropics and Subtropics, 118(2), 171–185. https://kobra.uni-kassel.de/handle/123456789/2017042052372.
  • Okoffo, E. D., Denkyirah, E. K., Adu, D. T., & Fosu-Mensah, B. Y. (2016). A double-hurdle model estimation of cocoa farmers’ willingness to pay for crop insurance in Ghana. SpringerPlus, 5(1), 873. https://doi.org/10.1186/s40064-016-2561-2
  • Pottier, J. (2006). Land reform for peace? Rwanda’s 2005 land law in context. Journal of Agrarian Change, 6(4), 509–537. https://doi.org/10.1111/j.1471-0366.2006.00133.x
  • Senapati, A. K. (2020). Insuring against climatic shocks: Evidence on farm households’ willingness to pay for rainfall insurance product in rural India. International Journal of Disaster Risk Reduction, 42, 101351. https://doi.org/10.1016/j.ijdrr.2019.101351
  • Shiferaw, B., Kassie, M., Jaleta, M., & Yirga, C. (2014). Adoption of improved wheat varieties and impacts on household food security in Ethiopia. Food Policy, 44, 272–284. https://doi.org/10.1016/j.foodpol.2013.09.012
  • Sibiko, K. W., Veettil, P. C., & Qaim, M. (2018). Small farmers’ preferences for weather index insurance: Insights from Kenya. Agriculture & Food Security, 7(1), 53. https://doi.org/10.1186/s40066-018-0200-6
  • Staritz, C., Newman, S., Tröster, B., & Plank, L. (2018). Financialization and global commodity chains: Distributional implications for cotton in sub-saharan Africa. Development and Change, 49(3), 815–842. https://doi.org/10.1111/dech.12401
  • Tangermann, S. (2011). Risk management in agriculture and the future of the EU’s common agricultural policy. In International Centre for Trade and Sustainable Development. Issue Paper, 34.
  • Thomas, G. (2018). Risk management in agriculture. Scottish Parliament Information Centre (Spice), 4, 18–46.
  • Tigabu, A. D., Berkhout, F., & van Beukering, P. (2015). Technology innovation systems and technology diffusion: Adoption of bio-digestion in an emerging innovation system in Rwanda. Technological Forecasting and Social Change, 90, 318–330. https://doi.org/10.1016/j.techfore.2013.10.011
  • Wang, H. H., Liu, L., Ortega, D. L., Jiang, Y., & Zheng, Q. (2020). Are smallholder farmers willing to pay for different types of crop insurance? An application of labeled choice experiments to Chinese corn growers. The Geneva Papers on Risk and Insurance-Issues and Practice, 45(1), 86–110.
  • Zimmermann, H., & Haase, M. (2017). The development of organized commodity exchanges in Africa: an economic analysis. In H. Groth & J. F. May (Eds.), Africa’s population: in search of a demographic dividend (pp. 415–431). Springer International Publishing. https://doi.org/10.1007/978-3-319-46889-1_26