Vol. 13 No. 3 (2024)
Special Issue of 12th AIEAA Conference

Participation of farmers in market value chains: A tailored Antràs and Chor positioning indicator

Tulia Gattone
Department of Social Sciences and Economics, Sapienza University of Rome

Published 2024-04-22

Keywords

  • value chains,
  • economic development,
  • market chain,
  • farming households

How to Cite

Gattone, T. (2024). Participation of farmers in market value chains: A tailored Antràs and Chor positioning indicator. Bio-Based and Applied Economics, 13(3), 245–264. https://doi.org/10.36253/bae-15464

Abstract

This study presents a micro-level indicator of farmers’ positioning in the market chain, based on the conceptual framework outlined by Antràs and Chor (2013, 2018). The indicator considers the selling location of a farming household and its crop buyers. Using panel data from the World Bank’s ‘Living Standards Measurement Study: Integrated Surveys on Agriculture’ for Ethiopia and Nigeria, this paper applies the proposed indicator empirically and showcases its superior performance in comparison to existing alternatives at the micro-level. Furthermore, by analyzing the dynamics of farmers’ food and total consumption over time and controlling for various household and production characteristics, as well as potential confounding factors, this study shows that moving towards a downstream position in the market chain has a positive impact on farmers’ food and total consumption levels. The results are validated through sensitivity analysis and robustness checks.