The Ugandan government has recognized the need to increase the per¬formance of cotton and the potential of crop biotechnologies, particu¬larly the role of genetically modified (GM) varieties to improve cotton production and thus the economy in general. In 2008, the National Biosafety Committee of Uganda approved the guidelines for implementing con¬fined trials, which enabled testing the environmental safety and performance of insect-resistant (Bt) and herbicide-tolerant (HT) cotton varieties. The implementation of the confined trials started in May 2009.

Genetically modified cotton in Uganda: Economic impact on farmers Farmers are key actors at the core of the impact evaluation studies, particularly when evaluating technological interventions that seek to improve agricultural production. Given that GM cotton has not yet been planted in Uganda, the study is based on assumptions, such as GM prices and adoption rates, which are crucial to the results of the economic evaluation. A survey was used to calculate partial budgets for representative growers and to compare partial budgets for various simulated scenarios. The scenarios include: a traditional low-input system, a system with higher use of inputs (including fertilizers and pesticides), an organic production system, and a conventional system using GM seed. The analysis shows that the traditional low-input system and organic cotton production are not profitable, but they might be better performing than a cotton production system where the farmer makes use of higher, but still suboptimal, levels of pesticides and fertilizers. Interestingly, organic cotton shows higher returns to investments than conventional production but also a higher downside risk. Despite the dramatic yield losses to biotic constraints (up to 80 percent), farmers are not using significant levels of pesticides. Therefore, an expected reduction in pesticide use would not be significant with the adoption of IR cotton. HT cotton, on the other hand, can be a good alternative for Uganda, since it will reduce weeding time and allow for other activities. But the lack of experience of farmers in the use of herbicides, in addition to issues of availability and price of the appropriate herbicides, may limit the impact of this technology. Overall, the simulations show that conventional production using IR and HT cotton varieties could yield the highest returns, but that profitability of the crop will not increase dramatically. The study concludes that, independently of the type of seed used or farming system implemented, an investment in fertilizers and good quality seeds is crucial to improving the profitability of cotton in Uganda.

The government of Uganda is currently testing the performance of genetically modified (GM) cotton varieties. Cotton is cultivated in Uganda for two main reasons: 1) agro-ecological conditions favor cotton cultivation, and 2) there is a long tradition of cotton cultivation in the country. Two main research questions are addressed in this study: a) would the adoption of genetically modified (GM) cotton benefit Ugandan farmers? b) Would the use of GM seed be more profitable than the low input traditional system or than the organic production system? Stochastic budget analysis is used to address these questions. The results show that estimated values of cotton profitability do not seem to justify the investment in a complex technology. The question then is how transferable is GM technology and how easily can it be adopted by Ugandan farmers. The vertical integration of the chain could facilitate the dissemination of the technology, but availability of seed and inputs of good quality and appropriate extension support have to be guaranteed.

Cotton is the largest source of export receipts in several West African nations where yields are declining and pesticide use is rising. Although there may be payoffs to introducing genetically modified Bt (Bacillus thurigiensis) cotton, limited information is available to predict its potential economic impact and there is uncertainty about its performance. Recognizing these constraints, we use an economic surplus model augmented with stochastic simulation to estimate ex ante the impact and distribution of benefits from Bt cotton. We consider the effects of adoption on both yields and abating crop damage, and offer scenarios depicting the policy options faced by West African stakeholders. The findings indicate that although the total net benefits of adopting Bt cotton may be relatively small for the countries studied, these countries would be worse off without the technology. Our approach, which incorporates variability and uncertainty, may be useful in decisions about investments in crop biotechnology.

The objective of this study is to evaluate pesticide use as an important factor affecting potential adoption and farm level impact of genetically modified (GM) vegetable varieties in Ghana. Tomato is the most consumed vegetable and a food security crop. Cabbage is a vegetable of growing importance but limited cultivation and is produced in urban areas. Garden egg is a native African crop of wide consumption and importance for rural economies. Farm level information was collected in randomly selected sites in southern and central regions of Ghana. Partial budget analysis shows that investments in pesticides are rather low, especially for tomato and garden egg. Analysis of production using an abatement framework shows that insecticide amounts are significant in determining cabbage output levels only. Rate of returns of GM seeds however can still be high. GM varieties would need to show not only a high abatement rate and a high yield potential but mainly an affordable price, to reduce total costs and induce adoption.

The objective of this study is to evaluate pesticide use as an important factor affecting potential adoption and farm level impact of genetically modified (GM) vegetable varieties in Ghana. Tomato is the most consumed vegetable and a food security crop. Cabbage is a vegetable of growing importance but limited cultivation and is produced in urban areas. Garden egg is a native African crop of wide consumption and importance for rural economies. Farm level information was collected in randomly selected sites in southern and central regions of Ghana. Partial budget analysis shows that investments in pesticides are rather low, especially for tomato and garden egg. Analysis of production using an abatement framework shows that insecticide amounts are significant in determining cabbage output levels only. Rate of returns of GM seeds however can still be high. GM varieties would need to show not only a high abatement rate and a high yield potential but mainly an affordable price, to reduce total costs and induce adoption

Tomato, cabbage, and garden egg (African eggplant, or Solanum aethiopicum) are important crops for small-scale farmers and migrants in the rural and peri-urban areas of Ghana. Genetic modification has the potential to alleviate poverty through combating yield losses from pests and diseases in these crops, while reducing health risks from application of hazardous chemicals. This ex ante study uses farm survey data to gauge the potential for adoption of genetically modified (GM) varieties, estimate the potential impact of adoption on farm profits, and highlight economic differences among the three crops. Farmers' expenditures on insecticides are below the economic optimum in all three crops, and the estimated function for damage abatement shows that insecticide amounts are significant determinants of cabbage yields only. Nonetheless, yield losses from pests and disease affect insecticide use. A stochastic budget analysis also indicates a higher rate of return to vegetable production with the use of resistant seeds relative to the status quo, even considering the technology transfer fee for GM seed. Non–insecticide users could accrue higher marginal benefits than current insecticide users. Comparing among vegetable crops with distinct economic characteristics provides a wider perspective on the potential impact of GM technology. Until now, GM eggplant is the only vegetable crop that has been analyzed in the peer-reviewed, applied economics literature. This is the first analysis that includes African eggplant. from authors' abstract

Some countries in West Africa are considering the potential adoption of insect resistant cotton. Burkina Faso has already approved commercial cultivation of this technology. This paper presents the results of a socio economic impact assessment of the potential adoption of insect resistant cotton in West Africa using an augmented economic surplus model to consider risk and parameter uncertainty. Model considers changes in parameters such as technology fees, regulatory lags, and adoption patterns. Results show these are important in shaping the average response but also its distribution. Countries in West Africa definitively loose from not adopting Bt cotton. Adoption with reduced or no technology fees gathered the most gains to producers and for society as a whole. The paper develops a discussion of the potential policy and institutional factors affecting adoption outcomes.

ABSTRACTThis study examines farmers’ preferences for seed of new rice varieties (improved and NERICA) and their willingness to pay (WTP) for information embodied in the seed, in villages of Nigeria and Benin. Information might not generate rivalry among its users but excludability is certainly a characteristic of information and its delivery can generate incentives for private participation. Conjoint utility analysis is used to estimate the structure of farmers’ preferences for rice seed. Farmers prefer one variety based on the utility they obtain from its attributes, which depends on their own social and economic characteristics. Contingent methods are used to elicit preferences and rice seed price. The marginal values of attributes are estimated with an ordered probit regression. The WTP for seed-related information is derived from the utility model. The results have implications for the best way to finance extension services in the areas of intervention, particularly for new rice varieties.

Cassava and the Cassava Mosaic Virus (CMV) Disease Cassava is perhaps the most important food crop in Ghana. The cassava tuber is produced in all but two regions in the northernmost part of the country. Average area cropped per year between 1999 and 2004 was about 750,000 hectares, with the primary producers being the Eastern, Brong Ahafo, and Ashanti regions. Total annual output of cassava during the same period was about 10 million metric tons. This crop is perceived to generate extensive farm and nonfarm linkages for rural development, since it is utilized in various forms. Apart from cooking the fresh root, it can be processed into gari (fermented cassava dough), tapioca (toasted starch), and cassava flour (crude and refined). All these products are used for human consumption. The cassava leaves are also consumed as a vegetable by some ethnic groups. Although dried cassava chips and cassava pellets are ingredients in livestock feed in Europe, this is not yet a common practice in Ghana.

A typical private good is defined by its excludability and rivalry characteristics. Information might not generate rivalry among its users. By contrast, excludability is certainly a characteristic of information and its delivery can generate incentives for private participation. This study examines farmers' preferences for seed of new rice varieties and their willingness to pay for related information in villages of Nigeria and Benin. Conjoint analysis is used to estimate the structure of farmers' preferences for rice seed given a set of alternatives. Farmers are considered to be maximizers of utility rather than profit, preferring one variety over another based on the utility they obtain from its attributes, which depends on their own social and economic characteristics. Contingent methods are used to elicit preferences and willingness to pay (WTP) for rice seed. The marginal values of attributes, with and without information about the seed, are estimated with an ordered probit regression. WTP for information is derived from the analysis of WTP for rice seed. The results have implications for the best way to finance research and extension services in the areas of intervention, particularly for new rice varieties.