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Assessing the Impact of NERICA on Poverty Reduction: Evidence from Uganda

Assessing the Impact of NERICA on Poverty Reduction: Evidence from Uganda. Keijiro Otsuka & Yoko Kijima Foundation for Advanced Studies on International Development (FASID). Introduction.

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Assessing the Impact of NERICA on Poverty Reduction: Evidence from Uganda

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  1. Assessing the Impact of NERICA on Poverty Reduction:Evidence from Uganda Keijiro Otsuka & Yoko Kijima Foundation for Advanced Studies on International Development (FASID)

  2. Introduction • Green Revolution (GR) has taken place not only in tropical Asia but also in Northeast Asia (Japan, Taiwan, Korea, and China) prior to or concurrently with overall economic growth. • GR is known to have significant effects on poverty reduction without deteriorating income distribution. • Is a GR possible in Sub-Saharan Africa (SSA)?

  3. Assessing the Impact of NERICA (New Rice for Africa)

  4. Major Traits of Upland NERICA • Short maturing (90 days vs.140 days) • Drought-tolerant • Soil fertility dependent (fertilizer-responsive) • High-yielding (2.6 tons/ha vs. 1.0 ton/ha) • Extremely labor-intensive • (1) + (2): Suitable for SSA • (3) + (4): Good but soil-fertility depleting • (5): Favorable for labor-abundant small farmers

  5. Basic Statistics of NERICA Sample Farmers in Uganda in 2004 • Adoption rate of NERICA in Uganda as a whole is less than 1%. • Sample size: 250 NERICA growing farmers • Average cultivation size: 1.57 ha • Average fallow area: 2.29 ha • Average NERICA planted area: 0.47 ha • Years of NERICA introduction: 2001~04

  6. Table 2 Per Capita Income, Income from NERICA, NERICA Adoption, and Land Area per Person by Income Quintile

  7. Table 4 NERICA Yield and Income per ha by Crop Grown in the Preceding Season

  8. Table 5 Factor Payment (US$) per ha and Factor Share (%)

  9. Table 8 Estimated Plot-Level Per Hectare Income Function (t-statistics in parentheses)

  10. Table 9 Actual and Hypothetical Average Income and Head Count Ratio (HCR) of Poverty

  11. Major Findings and Conclusion • NERICA is “miracle rice,” comparable to rice MVs in Asia in terms of yield growth. • Since NERICA is highly labor-using, it is pro-poor. • NERICA demonstrates that new agricultural technology can contribute significantly to poverty reduction in SSA. • Adoption rate of NERICA in Uganda as a whole is still low. The development and dissemination of sustainable soil management practice is the key to larger and sustainable impacts.

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