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Characteristics of Private‐Sector Tractor Service Provisions: Insights from N igeria
Author(s) -
Takeshima Hiroyuki,
Edeh Hyacinth O.,
Lawal Akeem O.,
Isiaka Moshudi A.
Publication year - 2015
Publication title -
the developing economies
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.305
H-Index - 30
eISSN - 1746-1049
pISSN - 0012-1533
DOI - 10.1111/deve.12077
Subject(s) - tractor , business , private sector , government (linguistics) , agriculture , service (business) , quality (philosophy) , agricultural machinery , industrial organization , agricultural economics , marketing , economics , economic growth , engineering , geography , linguistics , philosophy , archaeology , epistemology , automotive engineering
Agricultural mechanization has been integral to agricultural transformation during periods of development. Mechanization‐service provisions can be constrained by economies of scale, seasonality, limited mobility, or heterogeneous inputs quality. However, information has been scarce regarding how the private sector has overcome these constraints especially in countries like N igeria that are at low agricultural development stages. We present the results of a small survey of tractor owner‐operators conducted in N igeria. We find that existing private‐sector tractor‐hiring services in N igeria are indeed constrained. However, we also find heterogeneity among these owner‐operators. In particular, those who buy tractors from private markets or from private individuals are more efficient than those who receive tractors through government programs, providing services to a greater area at lower costs, including during off‐peak seasons, sometimes selecting machinery types according to soil types. We conclude with a discussion of some policy implications.