Agricultural Mechanization And Agricultural Transformation

A renewed focus on agriculture’s potential contribution to economic transformation in Africa has resulted in increased attention paid to agricultural mechanization. African agriculture still relies predominantly on human muscle power despite anecdotal evidence on urbanization and rising rural wages, in contrast to other developing regions that have experienced rapid increases in agricultural mechanization during the past few decades. Past state-led mechanization pushes in Africa often failed due to insufficient understanding of the nature of demand for mechanization technologies among farmers and insufficient knowledge of private-sector functions. This background paper reviews the factors likely to influence farmer demand for mechanization in Africa and details different existing and potential mechanization supply models. Although an empirical analysis of mechanization demand and the effectiveness of supply chains is beyond the scope of this paper, in part due to data limitations, this paper suggests that demand for mechanization may be emerging in some parts of Africa. It also suggests that private-sector-driven supply models are better positioned to meet this demand than direct government involvement and certain types of subsidized programs. The paper then identifies possible areas for government support to complement private-sector leadership in developing mechanization supply chains. Nevertheless, significant further research is required to better understand the changing nature of mechanization demand in Africa and the extent and effectiveness of different supply models in meeting it.

Demand for mechanization in Nigeria is growing in a fairly consistent way predicted by economic theories. The farming system has intensified and the use of animal traction has grown at a substantial rate. Demand side factors considerably explain the low adoptions of tractors in Nigeria. Where demand is sufficient for tractors, the private sector has emerged over time as a more efficient provider of hiring services (particularly farmer-tofarmer services) than the public sector. Conditions are consistent with the hypotheses that, because of generally low support for the agricultural sector in Nigeria in the past few decades, agricultural mechanization (tractor use in particular) has remained low despite the declining share of the workforce engaged in the agricultural sector. Agricultural transformation in the form of a declining agricultural labor force has happened partly through the growth in the oil industry since the 1970s. Instead of inducing further exit from farming, tractor adoptions in Nigeria might have helped those who have remained in farming to start expanding their production scale. A knowledge gap, however, still remains regarding the dominance of large tractors and the potential effects of tractor adoptions on smallholders who have yet to adopt them.

Mechanization increases the power applied to agricultural operations and is one tool among many for improving farm productivity. It alone cannot drive the transformation of agriculture (Pingali 2007). Farmers will mechanize to lower costs and ensure timeliness of operations, allowing a greater area of land to be cultivated. The demand for mechanization is therefore determined by the stage of agricultural transformation reflecting the use of complementary inputs (improved seeds, fertilizer), the intensity of farming, land hold-ings, and rural labor supply. Countries across developing Asia have mechanized at different rates corresponding to their level of agricul-tural transformation but also strongly influenced by government policies. ReSAKSS-Asia organized a knowledge exchange event entitled “Agriculture and Rural Transformation in Asia: Past Experiences and Fu-ture Opportunities” to discuss, among many topics, insights into how agricultural mechanization has evolved in countries with different agroecological, institutional and political settings, and what common lessons can be learned for those countries at the early stage of mechanization. This brief summarizes some of the key lessons shared by participants.

Agricultural mechanization in Africa south of the Sahara — especially for small farms and businesses — requires a new paradigm to meet the needs of the continent’s evolving farming systems. Can Asia, with its recent success in adopting mechanization, offer a model for Africa? An Evolving Paradigm of Agricultural Mechanization Development analyzes the experiences of eight Asian and five African countries. The authors explore crucial government roles in boosting and supporting mechanization, from import policies to promotion policies to public good policies. Potential approaches presented to facilitating mechanization in Africa include prioritizing market-led hiring services, eliminating distortions, and developing appropriate technologies for the African context. The role of agricultural mechanization within overall agricultural and rural transformation strategies in Africa is also discussed. The book’s recommendations and insights should be useful to national policymakers and the development community, who can adapt this knowledge to local contexts and use it as a foundation for further research.

The survey was aimed at characterizing the transition of smallholder farmers who have become medium- and large-scale commercial farmers in Ghana, assessing agricultural machinery ownership, and patterns of demand for agricultural mechanization among farmers in the country. The data generated from the survey will answer some of the critical questions pertaining to agricultural transformation in the country.

The current report—Mechanized: Transforming Africa’s Agriculture Value Chains—summarizes the findings of a systematic analysis of what countries at the forefront of progress in mechanization have done right. It analyzes which policy decisions were taken and which interventions were implemented to substantially increase the uptake of mechanization. The report takes a broad perspective on mechanization, including technologies along the entire value chain and how they relate to agricultural development and job creation. The report shows what can be done to sustainably mechanize agriculture to increase production and enhance value addition across value chain segments. The set of policies and practices that are identified, if brought to scale, could have significant impact on agricultural transformation in Africa. The report provides a roadmap for African governments to take concerted action to deliver on the growth and transformation targets set out by the Malabo Declaration and the Sustainable Development Goals.

This framework presents ten interrelated principles/elements to guide Sustainable Agricultural Mechanization in Africa (SAMA). Further, it presents the technical issues to be considered under SAMA and the options to be analysed at the country and sub regional levels. The ten key elements required in a framework for SAMA are as follows: The analysis in the framework calls for a specific approach, involving learning from other parts of the world where significant transformation of the agricultural mechanization sector has already occurred within a three-to-four decade time frame, and developing policies and programmes to realize Africa’s aspirations of Zero Hunger by 2025. This approach entails the identification and prioritization of relevant and interrelated elements to help countries develop strategies and practical development plans that create synergies in line with their agricultural transformation plans. Given the unique characteristics of each country and the diverse needs of Africa due to the ecological heterogeneity and the wide range of farm sizes, the framework avoids being prescriptive.

Structural change is a process in which the amount of labour, capital and land dedicated to agriculture (and other sectors) changes over time. In this study, we focus on the cases of Peru and Nicaragua using their two most recently administered agricultural censuses. The agricultural censuses permit us to identify dimensions and information available to study the process of structural change in Latin America over the last 20 years. The study includes a comparative analysis and policy recommendations based on the two most recent agricultural censuses administered in Nicaragua (2001 and 2011) and Peru (1994 and 2012). Processing and analysing information from these censuses contribute to identifying dimensions and information available to study the process of structural change in Latin America over the last 20 years. Evidence-based policymaking is increasingly more at the core of the United Nations and member countries’ activity. In the case of FAO, this type of study is crucial to build the knowledge body on which projects and activities are carried forward. The Hand-in-Hand (HiH) initiative is a key example in this context, as it aims at quantitatively identifying high-impact and high-agricultural potential areas in which to invest within developing countries. As Nicaragua and Peru are HiH’s target countries, this study will show very useful to learn about their recent experiences in agricultural transformations.