Impact of agricultural extension services on rice productivity and profitability in Bangladesh

Abstract

Agricultural extension services play a pivotal role in promoting sustainable agriculture, particularly in developing countries where many farmers are resource-poor. Enhancing farmers’ profitability and productivity is essential to meet the increasing demand of a growing population. This study aims to examine the impact of agricultural extension services on the profitability and productivity of rice farmers in Bangladesh. The analysis uses unbalanced panel data from the International Food Policy Research Institute’s Bangladesh Integrated Household Survey for 2015 and 2018. The Mann–Whitney U test was used to assess whether the differences between the participant and non-participant groups were statistically significant. Additionally, a probit regression model is used to identify the determinants of participation in agricultural extension services. The findings reveal that participation is positively influenced by access to subsidies, distance to market, occupation and livelihood vulnerability. The impact of agricultural extension services on farm productivity and profitability is assessed using difference-in-difference and random effect generalized least squares models. The results show that agricultural extension services significantly contribute to both farm profitability and productivity. This suggests that governments should intensify and monitor the delivery of agricultural extension services, particularly focusing on the timely provision of support resource-poor farmers.