Finding Missing Markets (and a Disturbing Epilogue): Evidence from an Export Crop Adoption and Marketing Intervention in Kenya

18 Pages Posted: 28 Apr 2020

See all articles by Nava Ashraf

Nava Ashraf

London School of Economics & Political Science (LSE) - London School of Economics

Xavier Giné

World Bank

Dean Karlan

Northwestern University

Date Written: November 2009

Abstract

Farmers may grow crops for local consumption despite more profitable export options. DrumNet, a Kenyan NGO that helps small farmers adopt and market export crops, conducted a randomized trial to evaluate its impact. DrumNet services increased production of export crops and lowered marketing costs, leading to a 32% income gain for new adopters. The services collapsed one year later when the exporter stopped buying from DrumNet because farmers could not meet new EU production requirements. Farmers sold to other middlemen and defaulted on their loans from DrumNet. Such experiences may explain why farmers are less likely to adopt export crops.

Keywords: export crop, field experiment, food safety standards

Suggested Citation

Ashraf, Nava and Giné, Xavier and Karlan, Dean, Finding Missing Markets (and a Disturbing Epilogue): Evidence from an Export Crop Adoption and Marketing Intervention in Kenya (November 2009). American Journal of Agricultural Economics, Vol. 91, Issue 4, pp. 973-990, 2009, Available at SSRN: https://ssrn.com/abstract=3585864 or http://dx.doi.org/10.1111/j.1467-8276.2009.01319.x

Nava Ashraf (Contact Author)

London School of Economics & Political Science (LSE) - London School of Economics ( email )

United Kingdom

Xavier Giné

World Bank

1818 H Street, NW
Washington, DC 20433
United States

Dean Karlan

Northwestern University ( email )

2001 Sheridan Road
Evanston, IL 60208
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
0
Abstract Views
117
PlumX Metrics