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Determinants of chemical fertilizer technology adoption in N | 17661
International Research Journals

Journal of Research in Economics and International Finance

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Determinants of chemical fertilizer technology adoption in North eastern highlands of Ethiopia: the double hurdle approach

Abstract

Hassen Beshir, Bezabih Emana, Belay Kassa and Jema Haji

The objective of the study was to assess the determinants of the probability of adoption and intensity of use of inorganic fertilizer in two districts of south Wollo zone, in Ethiopia. The study employed crosssection data to analyze the effect of farmers’ demographic, socioeconomic and institutional setting, market access and physical attributes on the probability and intensity of use of inorganic fertilizer. A double hurdle model was employed using data collected from randomly selected 252 farmers between July 2009 and November 2009. Secondary data were also used to complement the primary data. The study depicted low utilization of inorganic fertilizer which was 29.6% and 19%of total cultivated crop land in Ethiopia and south Wollo, respectively. The results of the study provided empirical evidence of a positive impact of extension and credit services, age, farm land size, education, livestock, off/non-farm income and gender in enhancing the adoption of inorganic fertilizer. Physical characteristics like distance from farmers’ home to markets, roads, credit and input supply played a critical role in the adoption of inorganic fertilizers as proximity to information, sources of input and credit supply and markets save time and reduce transportation costs. Therefore, the results of the study suggest that the probability of adoption and intensity of use of inorganic fertilizers should be enhanced to meet the priority needs of smallholder farmers and

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