Review on Smallholders Agricultural Commercialization in Ethiopia

Abstract

The agricultural production sector is a backbone of the Ethiopian economy. In Ethiopia 95% of the total area is cultivated by smallholder farmers and contribute 90% of the total agricultural output.  As reviewed from different literatures household demographic characteristics, household resource endowments, social, cultural, infrastructural, institutional and economic factors influence the level of smallholders’ commercialization. In this regard, to enhance smallholder’s commercialization generating improved high yielding varieties and adoption of these newly released technologies through agricultural research is crucial, public investments in infrastructural development and government policies that improve institutional arrangements are essential. Development agents at rural peasant association have to be properly advice farmers on agricultural production and marketing, farmers’ cooperative and farmers’ organization are required to enable smallholder farmers collectively accessing agricultural inputs, credit, information and marketing of their produce. In general, based on the review of smallholders’ commercialization rigorous efforts of all stakeholders including governments, research institutions, universities, farmers, NGOs, and development practitioners are essential to eliminate the existing bottlenecks to improve the livelihood of smallholder farmers.

Keywords: Smallholders, Commercialization, Determinants and Impacts.

DOI: 10.7176/JAAS/63-03

Publication date: April 30^th 2020