Research Article
Received: 2026-02-10 | Revised:2026-03-17 | Accepted: 2026-03-17 | Published: 2026-04-14
Pages: 67-79
DOI: https://doi.org/10.58985/jafsb.2026.v04i01.93
Abstract
Previous studies available in the Value
Chain Development Programme (VCDP) paid limited attention to the policy
distortions and incentive structures that shape production efficiency and
competitiveness. While the competitive dimension has often been discussed
qualitatively, this study applies the Policy Analysis Matrix (PAM) to examine
the policy environment influencing cassava production among farmers
participating in the Anambra State VCDP). Data were obtained through random
sampling of 380 cassava farmers, of which 350 responses were considered usable
after data cleaning. The Policy Analysis Matrix
and Heckman double-hurdle model were employed for the analysis. The
PAM estimated key indicators, including the Domestic Resource Cost (DRC),
Private Cost Ratio (PCR), Effective Protection Coefficient (EPC), Nominal
Protection Coefficients (NPC), and profitability measures. The Heckman model
examined the factors influencing farmers’ participation in off-taker market
arrangements and the determinants of competitiveness. The results revealed
strong evidence of both comparative and competitive advantages among program
beneficiaries. The DRC (0.057) and PCR (0.018) indicate that cassava production
is socially efficient and privately competitive. The NPC on output (1.101) and
input (0.500) suggests that farmers benefit from favourable output prices and
subsidised inputs. Similarly, the EPC (1.125) and profitability coefficient
above unity confirmed that policy support enhances value addition and private
profitability. The Heckman results showed that socioeconomic variables
significantly influenced participation in off-taker market arrangements. The
study concludes that the VCDP has strengthened farmers’ efficiency, in market
participation. Sustained and well-targeted policy support combined with
productivity and market improvements is therefore recommended to maintain these
gains in the Anambra State.
Keywords
Comparative advantage, market share, off-takers arrangement, Anambra State, Nigeria.
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This work is licensed under the
Creative Commons Attribution
4.0
License (CC BY-NC 4.0).
Abstract
Previous studies available in the Value
Chain Development Programme (VCDP) paid limited attention to the policy
distortions and incentive structures that shape production efficiency and
competitiveness. While the competitive dimension has often been discussed
qualitatively, this study applies the Policy Analysis Matrix (PAM) to examine
the policy environment influencing cassava production among farmers
participating in the Anambra State VCDP). Data were obtained through random
sampling of 380 cassava farmers, of which 350 responses were considered usable
after data cleaning. The Policy Analysis Matrix
and Heckman double-hurdle model were employed for the analysis. The
PAM estimated key indicators, including the Domestic Resource Cost (DRC),
Private Cost Ratio (PCR), Effective Protection Coefficient (EPC), Nominal
Protection Coefficients (NPC), and profitability measures. The Heckman model
examined the factors influencing farmers’ participation in off-taker market
arrangements and the determinants of competitiveness. The results revealed
strong evidence of both comparative and competitive advantages among program
beneficiaries. The DRC (0.057) and PCR (0.018) indicate that cassava production
is socially efficient and privately competitive. The NPC on output (1.101) and
input (0.500) suggests that farmers benefit from favourable output prices and
subsidised inputs. Similarly, the EPC (1.125) and profitability coefficient
above unity confirmed that policy support enhances value addition and private
profitability. The Heckman results showed that socioeconomic variables
significantly influenced participation in off-taker market arrangements. The
study concludes that the VCDP has strengthened farmers’ efficiency, in market
participation. Sustained and well-targeted policy support combined with
productivity and market improvements is therefore recommended to maintain these
gains in the Anambra State.
Abstract Keywords
Comparative advantage, market share, off-takers arrangement, Anambra State, Nigeria.
This work is licensed under the
Creative Commons Attribution
4.0
License (CC BY-NC 4.0).
Editor-in-Chief
This work is licensed under the
Creative Commons Attribution 4.0
License.(CC BY-NC 4.0).