Investment In Agricultural Infrastructure Research Articles

Impact of global trade agreements on agricultural producer prices in Asian countries

Following global trade agreements, Asian countries have been highly aggressive in implementing free trade. These conditions will impact all sectors, including agriculture. This study aims to examine the impact of the General Agreement on Tariffs and Trade (GATT), World Trade Organization membership (WTO), and the Doha Round implementations on agricultural producer prices in Asian countries (PPI). The study was conducted using secondary data from 1991 to 2020. The data for 28 Asian countries were analyzed using the first difference General Method of Moments (GMM). The results show that implementing the GATT raises the PPI, but implementing the WTO has the reverse impact. PPI is unaffected by the Doha Round. Inflation, exchange rate, value-added, human capital, and land area equipped for irrigation are all positive contributors to PPI. Several recommendations are made to increase PPI in Asian countries: increasing commitment to agricultural fair trade, increasing agricultural value-added, improving educational opportunities for agricultural business players, and prioritizing agricultural infrastructure investment.

Input subsidies, public investments and agricultural productivity in India

The fund allocation in agricultural sector in India is heavily tilted toward input subsidies provision; however, researchers seem to favor investment expenditure instead. The present paper seeks to compare the usefulness of input subsidies as compared to investment with regard to agricultural productivity so that policy makers hit the right tool and avoid less productive state expenditure. We investigated a total of four regression models using autoregressive and distributed lag cointegration in a time series framework covering period from 1983 to 2019. The first model considers all input subsidies in aggregate form, and the rest three models take input subsidies in disaggregate forms, namely fertilizer subsidy, irrigation subsidy and power subsidy, respectively. It is observed from the results that input subsidies still contribute more than what public investment does to agricultural productivity. It is also found that power subsidy is the most effective component of input subsidies followed by fertilizer subsidy. Hence, government expenditure on input subsidies is justified on the ground that it ensures all farmers to have access to affordable agricultural inputs. Targeted subsidies combined with adequate investment in agricultural infrastructure could deliver long-term agricultural development in India.

Agricultural Transformation in Indonesia: Evaluation of Policy Implementation and Challenges Faced

This article aims to evaluate the implementation of agricultural policies and identify the challenges faced in the agricultural transformation process in Indonesia. The background of the study revolves around the importance of agricultural development in achieving sustainable economic growth, food security, and poverty reduction in the country. The study's objective is to assess the effectiveness of policy implementation and understand the key challenges hindering the agricultural transformation process. To achieve the research objective, a qualitative approach was employed. Qualitative interviews were conducted with key stakeholders, including government officials, farmers, and agricultural experts, to understand their perspectives on policy implementation and identify challenges faced at the ground level. The findings of the study reveal both positive outcomes and challenges in the implementation of agricultural policies in Indonesia. The policy implementation has led to increased investment in agricultural infrastructure, technology adoption, and productivity improvement in certain regions. However, challenges such as limited access to credit and markets, inadequate extension services, and climate change impacts have hindered the desired transformation. The study underscores the need for improved coordination between government agencies, increased investment in rural infrastructure, targeted support for smallholder farmers, and climate change adaptation strategies to overcome these challenges.

Detection of the Spatio-Temporal Differentiation Patterns and Influencing Factors of Wheat Production in Huang-Huai-Hai Region.

The stability of wheat production is closely related to national food security and agricultural sustainable development, and it has been a major policy concern for China. By analyzing the spatiotemporal factors and causes of wheat production, we can grasp the spatiotemporal distribution law of wheat production to rationally allocate agricultural resources. To this end, this study first conducted a quantitative analysis of the yield differentiation patterns in Huang-Huai-Hai (HHH) wheat based on the 2010–2020 wheat agricultural data, comprehensively using the Theil index and exploratory spatial data analysis. Second, to eliminate the spatial heterogeneity and multicollinearity of the modeling variables, a local model of SCA-GWR combining Spearman correlation analysis (SCA) and geographically weighted regression (GWR) was established. Compared with the traditional global regression model, the superiority and applicability of the SCA-GWR model are proved, and it is a simple and effective new method to detect spatial data nonstationarity. Finally, the factors influencing wheat production in the HHH region were detected based on the SCA-GWR local model, and relevant policy recommendations were put forward. The results show that: (1) The yield difference in different farming areas gradually narrowed, and the wheat production had a significant High-High aggregation trend. The center of gravity for wheat production lies in the southwest of the HHH region. (2) Wheat production still has a strong dependence on irrigation and fertilizer. Effective irrigated areas and temperature are the main driving forces for its production. The inhibitory effect of the proportion of nonagricultural employment on wheat production gradually weakened. Radiation and rainfall were only significantly positively correlated with wheat production in the central and southern HHH region. In response to the findings of the study, corresponding policy recommendations are made in terms of optimizing the allocation of resources, increasing investment in agricultural infrastructure, and vigorously researching and developing agricultural science and technology, and the results of the study can provide a basis for decision-making and management by relevant departments.

Agricultural Non-point Source Pollution in China: Evaluation, Convergence Characteristics and Spatial Effects

In this study, an inventory analysis approach was used to investigate the intensity of agricultural non-point source pollution (ANSP) and its spatial convergence at national and provincial levels in China from 1999 to 2017. On this basis, spatial factors affecting ANSP were explored by constructing a spatial econometric model. The results indicate that: 1) The intensity of China’s ANSP emission showed an overall upward trend and an obvious spatial difference, with the values being high in the eastern and central regions and relatively low in the western region. 2) Significant spatial agglomeration was shown in China’s ANSP intensity, and the agglomeration effect was increasing gradually. 3) In the convergence analysis, a spatial lag model was found applicable for interpretation of the ANSP intensity, with the convergence rate being accelerated after considering the spatial factors but slower than that of regional economic growth. 4) The spatial factors affecting the ANSP intensity are shown to be reduced by improving agricultural infrastructure investment, labor-force quality, and crop production ratio, while the expansion of agricultural economy scale and precipitation and runoff have positive impact on ANSP in the study region. However, agricultural research and development (R&D) investment showed no direct significant effect on the ANSP intensity. Meanwhile, improving the quality of the labor force would significantly reduce the ANSP intensity in the surrounding areas, while the precipitation and runoff would significantly increase the pollution of neighboring regions. This research has laid a theoretical basis for formulation and optimization of ANSP prevention strategies in China and related regions.

An Empirical Study on the Effect of Agricultural Infrastructure Investment on Economic Growth

In this paper, using the panel data of the National Bureau of Statistics database from 2010 to 2019, and using the random effect model, we studied the impact of agricultural infrastructure investment on economic growth. The empirical results show that the investment in agricultural infrastructure can significantly improve the national economy, among which the investment in new infrastructure promotes the economic growth to a certain extent. After comparing the eastern, central and western regions, it is found that the investment in agricultural infrastructure in the western region contributes more to the economic growth, and the statistical results are more significant. Based on the analysis of the role of agricultural infrastructure investment in promoting economic growth, this paper will further discuss the relevant suggestions of the “two new and one heavy” policy in the agricultural field, and promote the adjustment of agricultural industrial structure with the improvement of agricultural infrastructure, and promote the formation of a new development pattern of “double circulation”.

Influence of Regime Changes on Expenditure and Revenue of Agricultural Policy in Prefectures: Focus on Public Investment in Agricultural Infrastructure

Influence of Regime Changes on Expenditure and Revenue of Agricultural Policy in Prefectures: Focus on Public Investment in Agricultural Infrastructure

Drivers of farmers’ behavior toward compensation scheme for cultivated land protection in chengdu pilot area, China

ABSTRACT Studying farmers’ behavior affected by economic incentive is necessary to promote positive behavior among farmers toward protecting the quantity, quality, and ecological environment of cultivated land. In this study, we investigated the current situation regarding economic incentive policies for cultivated land protection, which has attracted the attention of Chinese government. Then, we focused on the earliest pilot scheme (i.e., Cultivated Land Protection Fund, CLPF) implemented in the west of China since 2008 to empirically analyze farmers’ behavior. Statistical analysis and path analysis methods were applied, with data collected from 296 questionnaires. Our results showed that positive actions, including the enhancement of initiatives to protect cultivated land, the improvement of ecological environment of cultivated land, and the investment in agricultural infrastructure, have been adopted by farmers since the implementation of the CLPF. Furthermore, gender, education level, labor force size, cultivated land area, migration out of traditional farming areas, average annual household income, and farmers’ knowledge of the policy impacted significantly on farmers’ behavior. On the premise of comprehensive consideration of the diversity of farmers’ livelihoods, new communication technologies and sufficient funds, we suggested that a long-term and sustainable project should be established at the national level to effectively compensate farmers.

Driving factors of total-factor substitution efficiency of chemical fertilizer input and related environmental regulation policy: A case study of Zhejiang Province

Based on the panel data of 63 counties of Zhejiang Province from 2003 to 2017, this paper studied the total-factor substitution efficiency of chemical fertilizer input and its spatial-temporal evolution by using the Super-efficiency DEA(Data Envelopment Analysis) model, locational Gini coefficient and Theil index. And the driving factors of the total-factor substitution efficiency of chemical fertilizer input were analyzed by constructing the Panel Tobit model. The results showed that: the comprehensive efficiency of total-factor substitution for chemical fertilizer input in Zhejiang Province is low, and technical efficiency is the main drive for promoting comprehensive efficiency; Gini coefficient is below the warning line of 0.4, and the difference of substitution efficiency, relatively small, mainly comes from the contribution within the region, and the difference ratio of contribution by the Southwestern Zhejiang is rapidly increasing. In detail, financial investment in agriculture serve as the greatest the driving force, and government chemical fertilizer input subsidies have a significantly negative effect. Therefore, we should improve the subsidy policy system, increase government investment in agricultural infrastructure, adjust the structure of agroindustry and improve the income of rural residents under the premise of reducing the fertilizer input intensity.

A calibrated model of local food system of Hawaii: What are the economic implications of the state's food goals and policies?

AbstractWe develop a fully calibrated positive mathematical programming model for Hawaii's local food systems—which captures the production and the consumer sides of the market. Then we use the model to assess two proposed policies—a general excise tax (GET) exemption on locally produced foods, and an investment in agricultural infrastructure. For the GET exemption case, our results indicate an economic gain of $118 per $100 cost. On the other hand, an investment in 1,200 acres of land injected to support local production may generate an economic gain of up to $357 per $100 annual cost of the investment. However, these estimates should be considered preliminary, and thus viewed with caution. Although the model is used to capture Hawaii's local food systems, we believe that our model is generalizable and can be adopted by other economies to assess their respective food localization policies.Recommendations for Resource Managers Local food policies need to be based on quantitative terms instead of mere armchair speculation because often their potential outcomes may vary significantly. The current modeling framework demonstrates the potential of using positive mathematical programming (PMP) in capturing the intricacies of local food systems. However, this exploratory exercise should be viewed as preliminary in nature and the ensuing results were taken with caution because many important factors such as labor availability may have been left out. Thus, further model refinements are necessary to better capture the complexities of local food systems such as farm heterogeneity, availability of farm labor, water availability, and interisland transportation of farm products in the case of Hawaii.

THE IMPACT OF INVESTMENT ON THE GROWTH OF EGYPT’S AGRICULTURAL SECTOR

it is believed that the declining contribution of the agricultural sector to Egypt’s GDP is due to many factors such as the nature of agriculture itself and the structure of its land holdings in addition to the modesty of public investments that are allotted to the sector. For example, 4 per cent only of national investments were devoted to the agricultural sector in the fiscal year 2014/2015. The purpose of this paper is to estimate the effect of public investment on the growth of the agricultural sector through the application of the vector autoregressive model (VAR) and the Granger causality test for the relationship between investment on one hand and growth of the agricultural economy on the other hand. The results reveal that there is a one-directional causality between investment and growth. The decomposition analysis indicates that investment strongly and positively impacts the growth of the agricultural sector. The study recommends the expansion of public investment in agricultural infrastructure in order to lower the costs of production and to attract private investment to the agricultural sector. It is recommended also that the banking system should provide loans to agricultural enterprises at low-interest rates. Low-interest loans should encourage farmers to take the risk and invest in new agricultural projects and to upgrade their old farms.

Contribution of Agricultural Infrastructure to Rural Development in the Republic of Korea

AbstractThe aim of the study is to analyse the effects of large‐scale agricultural infrastructure investment on rural development. Accordingly, we selected the Yeongsan River Basin Comprehensive Development Project (YRBCADP) as the case project and evaluated the impacts of YRBCADP on agricultural and regional development individually. In terms of agricultural development, YRBCADP has contributed to the increase of farmland area, agricultural productivity, and farm income. The farmland of the project area was increased about 3.5 times, from 43 000 ha in 1970 to 150 000 ha in 2010, and the average rice yield per area was 3.97 t ha‐1 in 1973. In addition, YRBCADP has affected regional development positively, such as population, regional income, and transportation accessibility. The ratio of population decrease was 25.6% in the project area but was 41.8% in the no‐project area. The local tax per capita in the project area increased from 123 to 1747 million won in the period 1991–2011. The tidal embankment in YRBCADP has shortened travel distance, thus transportation costs were also reduced. This study reviewed the various effects of YRBCARD on rural development, and these results might offer useful information for making decisions for large‐scale agricultural infrastructure investment. Copyright © 2016 John Wiley & Sons, Ltd.

Role and importance of public private partnerships in agricultural value chain and infrastructure

Changing consumer demand preferences, increasing concern for food safety, traceability and assured year-round availability of quality agri produce at reasonable prices at the top of the supply chain has changed agricultural landscape. Agri infrastructure at different levels of agri value chain is key to a vibrant and competitive agriculture and agro industrial sector. Public Private Partnerships could be a useful tool to accelerate development in various areas of agribusiness and infrastructure. The paper discusses the examples of such PPP initiatives in India at various levels of agri value chain such as crop diversification, farmer group formation, marketing Infrastructure, contract farming and provision of agricultural services etc. With government's commitment to investment in agricultural infrastructure and an emerging market for global trade as well as experimentation with new forms of infrastructure-financing and contracting, there are many opportunities to broaden the role of the private sector in infrastructure for agricultural development through PPP models.

Advances in Chinese Agriculture and its Global Implications

AbstractIn the past thirty years, China has made great strides in terms of boosting food production while simultaneously reducing the number of its rural poor. This success was largely accomplished through agricultural policy and trade reform, food market liberalization, and public investment in agricultural infrastructure and agricultural research. However, there is much more economic development work to be done in rural China, as issues such as an aging agricultural workforce, land‐use rights, and water shortages persist. At the same time, increased urbanization and the rising middle class are changing the demand for food in China. This article outlines the issues facing Chinese agriculture and connects those issues to the global marketplace.

The Feeding of the five Hundred Thousand: Cities and Agriculture in Early Islamic Mesopotamia

This paper discusses the impact of the foundation of major cities in Mesopotamia in the early Islamic period (c.636-900 CE) and their impact on the agricultural economy and rural settlement in the area. It considers the potential agricultural productivity of the area, the availability of river transport, the fiscal structure of the early Islamic state and the way in which it created demand for foodstuffs, and the development of theqaṭīcaas a form of landholding which provided security of tenure and hence the encouragement of long-term investment in agricultural infrastructure.

Towards realistic assessment of cultivated land quality in an ecologically fragile environment: A satellite imagery-based approach

It is very difficult to realistically assess cultivated land quality (CLQ) because its contributing factors cannot be accurately quantified. This study aims at overcoming this difficulty by using information objectively derivable from ETM+ and SPOT images for Hengshan County, Northwest China. This objective approach is able to yield a comprehensive CLQ assessment using five proposed indicators. They are slope gradient, proportion of sandy land, water availability, soil fertility, and land use types organized into three indices of pressure resistance, land state, and land use response. Therefore, this assessment takes into consideration topographic setting, land degradation risk, moisture, vegetation growing condition, and land use response of farmers. The developed CLQ is found to be significantly correlated with the spatial distribution of water resources, suggesting that water availability is a decisive factor influencing land productivity. CLQ is also correlated closely with rural economic level, agricultural infrastructure investment, and the farming system. The whole County was further classified into three cultivated land use zones based on the calculated CLQ value. Each zone is best used for different purposes and requires different strategies of protection. Such assessment outcomes are essential for the prevention of land degradation and adjustment of agricultural structure to promote sustainable use of cultivated land.

農家兼業化が農業生産技術効率性に与える影響に関する計量分析

The objective of this paper is to clarify the relationship between agricultural technical efficiency and part-time farming in rural China. For this objective, an index of the efficiency is calculated for each observation based on the translog frontier production function, using farm household-level cross-section data from Sichuan Province for the year of 1986, 1990, 1993 and 1996, respectively. Then the efficiency index is decomposed by part-time farming and other variables. The main conclusions of this paper are summarized as follows:1) The mean value of technical efficiency lies between 0.83 to 0.87, depending on the year, which implies that the average farm could produce 13% to 17% more output from the same quantity of input, if it operated efficiently.2) Part-time fanning, and area share of cereal cropping are negatively related to the technical efficiency. Multiple cropping index, and family size are positively related to it. Part-time farming not only directly impact on the technical efficiency, but also indirectly impact on it through its influence on multiple cropping index and area share of cereal cropping.Those results suggest that promoting farm land to transfer from part-time farms to full-time farms should increase agricultural technical efficiency. And moreover, in order to reduce the negative influence of part-time farming on the technical efficiency, it should be necessary for government to strengthen agricultural extension service for part-time farms, and/or put more public investment in agricultural infrastructure, research and development of agricultural technology.

Incentive to Work versus Disincentive to Invest: The Case of China's Rural Reform, 1979–1984

An institutional change from the communal system to the household responsibility system in rural China brought about an increase in productivity during 1979–1984, but it has also opened up a set of new problems, including decreased investment. I argue that the new responsibility system is effective in providing work incentives to peasants by rendering residual claims, but not so in internalizing positive externalities of investment, resulting in underinvestment. Remedies such as agricultural investment subsidies, investment tax credits, the roles of such institutions as township and village enterprises in undertaking investment in agricultural infrastructure, and most fundamentally, well-defined property rights are discussed.