Economics of Agricultural Mechanizations
This involves compilation, analysis and trends finding from various types of data related to agricultural production especially cost of crop cultivation, effect of different inputs and technologies on crop yields, and zone wise study of crop production. The use of machinery in agricultural production will immensely reduce drudgery, improve productivity and enhance incomes in the economy. However, the adoption of machinery will be based on the economics of mechanization. Small scale farmers use manual labour for their operations. There is need to understand constraints in the adoption of machinery and evaluate the available/generated technologies for their economic viability and social acceptability by the farming community.
Rationale and Justification
Before introduction of agricultural mechanization technologies and projects, economic evaluation of the technologies ought to be done with an aim of understanding the cost of the technologies before introduction. The aim of this is to guard against introducing a technology which will not be adopted and also to develop indicators that will be used to monitor and track the project or the technology during implementation and adoption process. After a period of time or at the end of the implementation of the project an end-line evaluation or assessment will be done to determine the level of success of the project or impact of the technology, in this an agricultural mechanization technology.
The main objective of this program is to determine the economic viability of using machinery as opposed to the use of manual labour. In addition, there is need to understand the social economics circumstances that influence the adoption of machinery use
One of the major constraints in the adoption of machinery is the high cost as compared to the returns. Farmers will only adopt a technology of machinery which is attractive in terms economic advantage. The huge price levels have to be reduced / subsidized for farmers to acquire the required machinery for their farm operations.
Strategic focus will include:
- Economics of agricultural mechanization technologies and innovations
- Ex-ante evaluation of agricultural mechanization technologies and innovations
- Social and economic analysis of agricultural mechanization technologies and innovations
- Gender analysis of agricultural mechanization technologies and innovations
- Policy analysis of agricultural mechanization
- Ex-post impact assessment