Estimating the distributional impact of innovation platforms on income of smallholder maize farmers in Nigeria

Abstract

This research studies the distributional effects of IP adoption on the farm income of smallholder maize farmers in Nigeria in an effort to move beyond the standard mean impact assessment of agricultural interventions. In order to account for selection bias that may result from both observed and unobserved factors, the study used a conditional instrumental variable quantile treatment effects (IV-QTE) strategy. The use of IPs greatly affects the revenue distributions of maize producers, as empirical evidence from the outcomes shows. Particularly, the impacts of adoption are stronger at the lower tails and just above the mean of the income distributions, indicating that impoverished farming households benefit more from the strategic functions of IP adoption in boosting income. These findings highlight how important it is to effectively target and disseminate improved agricultural technologies in order to increase the revenue of smallholder maize farmers in Nigeria from maize production. Agricultural research information and access to extension services are two policy tools that can help improve the successful adoption and diffusion of any agricultural intervention without favoring any particular groups.