Abstract
Purpose This study aims to develop an econometric analysis of how modern agriculture can be a fundamental instrument for reducing the levels of multidimensional poverty in Uganda. It demonstrates the importance of agriculture in reducing inequalities amongst the poor while focusing on the relationship between increasing productions from modern agricultural practices and the poverty level across the country. Design/methodology/approach The study explores Box–Jenkins approach to cereal production data with the use of econometric analysis as the main tool to determine the implications of modern agricultural practices in Uganda. Most poor people around the world are in marginalized rural environments, and agriculture provides for their livelihoods. This makes agricultural development crucial for reducing multidimensional poverty on a large scale and needs development within agriculture to be enhanced. Education, health and standard of living are the three dimensions considered from the weighted indicators, amounting to 30%, to be categorized poor in the three dimensions. Findings Modernization of agriculture is an ultimate solution to multidimensional poverty reduction in Uganda through employment generation and the effects of food prices. Shreds of evidence support the theories that agricultural incomes together with the actual wages increase with a general rise in the rural non-agricultural economy. Results depict a close correlation between national income and GDP per capita which is a very significant indication that more application of agricultural technology would lead to a sub sequential improvement of livelihoods engaged in agricultural practices. Originality/value Agriculture remains a vital sector that employs a greater portion of the population in Uganda’s economy. Major roles have been played by the sector in the economy including employment opportunities, rural household incomes, food supplies and a reduction in poverty from a multidimensional front. Exploring the behavior of poverty level using modern agriculture as an indicator and its relationship with the poverty level arising from improved agricultural practices could provide a meaningful display of variation in poverty across the regions at the country level.
Highlights
Uganda’s dependence on agriculture and her aspirations for modern agriculture descended in the time since the 1960s
Major research studies have emphasized how Uganda can benefit from the modernization of agriculture by acknowledging its importance to the economy, and a lots of suggestions have been made for the whole concept of modernization practiced as universal and desirable to be revisited
Much empirical evidence in Uganda is for the government to motivate and advocate more on modern agricultural productivity and one can conclude as follows
Summary
Uganda’s dependence on agriculture and her aspirations for modern agriculture descended in the time since the 1960s. The main goal has been to commercialize the sector Flygare (2006) labeled as being subsistent based This objective is referred by Nabudere (1997) as the politics of modernization in Africa. The transformation in the agricultural sector should be a modern one which enhances higher farm productivity due to the applications of modern agricultural technologies This will improve incomes and employment levels across the country. These prospects follow the national government’s driven agriculture modernization strategy in conjunction with external agencies that are working toward determining ways in which food production and incomes can be sustained (Flygare, 2006)
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