Economic analysis of the adoption of inorganic fertilisers and improved maize seeds in Tanzania

Onesmo Selejio & Jovin Aveline Lasway

The adoption of improved agricultural technologies is very low in Tanzania, which has led to both low crop productivity and low production. This paper therefore analyses the factors that influence the adoption of improved seeds, inorganic fertilisers and a package of technologies by smallholder maize farmers in Tanzania using the national panel survey (NPS) data collected in three waves: 2008/2009, 2010/2011 and 2012/2013, with a sample size of 1 551 maize-farming households used for analysis. A probit model was used to estimate the likelihood of household adoption of agricultural technologies. The findings reveal that the adoption rates of the package of technologies, improved maize seeds and inorganic fertilisers are low, at 17%, 21% and 28% respectively. The key findings further indicate that the accessibility of extension services, ICT services, agricultural inputs on credit and education level are significant in influencing smallholder maize farmers to adopt these improved agricultural technologies, as has been reported in previous studies that used cross-sectional data. Therefore, the policy options that promote rural extension services, education services, access to ICT services and credit input markets are pertinent in order to enhance the adoption of improved agricultural technologies by smallholder farmers in Tanzania.