Some basic economic aspects of small-scale farming in Zambia:A case study of Ngwezi settlement scheme in Mazabuka District
Date
2011-03-31
Authors
Magange, Ng'andu Peter
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Abstract
The development of the agriculture industry in
Zambia could contribute tremendously to the development
of the country which at present is dependent on the
copper industry. Over three-quarters of the population
still lives in the rural areas making their living
from self-employment in farming. However, the levels
of production are still very low for the majority of
these people resulting into their low level of
development. The development of these people could
be brought abcut through the development of their
farming businesses. The methods fo bring about this
development are not readily available and discernible
and this has at times resulted into resource mis-*
allocation into costly ventures which have not
achieved the objective.
This study examines the economics of smallscale
farming with a case study of Ngwezi Settlement
Scheme in the Mazabuka District of Zambia. The
objectives of the study,are:
(1) To investigate the .sources and levels of farm
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incomes; • ;
(2) To determine the effectiveness og certain farm
variables on net farm incomes. The variables studied
are household size, acreage, fertiliser cost,
permanent labour, casual labour, tractor hire, age
of farmer,and education.
The farm income under study is defined as
the value of total farm produce. However, there
were major problems in trying to get records of any
other incomes from other farm produce except that
for crops. Though this limitation seems to
prejudice the first objective, the scope for crop
diversification in the area is still very important.
The study therefore tries to find out the contribution
of e^ch crop grown in the area. Enterprise
diversification is not emphasised in this study as
such emphasis would have been beyond the resources
available for the study.
The analysis looks at both the farm and the
national levels. At the farm level, concern is
focuiedl on the use of the available land, labour,
capital and management resources. At the national
level, the study tries to examine government policy
on this type of farm development. This latter
analysis follows from the farm level analysis as most
of the factors at the farm level are determined by
national policies, for example, land.
It has been discovered that most of the farm
income is derived from maize which is the staple food.
Among the newly-introduced crops, only cotton seems
to be significant while the rest are rarely allocated
even half an acre of the land* TJie fanners are
therefore exposed to a greater risk of loss of
income should a bad year affect their only crop.
However, livestock seems to be used as an insurance
against such losses, and this is the reason for
farmers' reluctance to sell their livestock during
years of good harvests. This attitude is very
rational although it is regarded as being a problem
and causing a lot of concern. The small-scale farmer
is prepared to sell his livestock when he needs extra
cash. However, he ie not prepared to invest capital
and management in his livestock because he regards
them as savings and numbers are more important than
the quality of any savings*
In the hope of changing the cropping patterns
of these farmers, the extension service should work
hand in hand with the credit agencies so that a
discrimatory type of credit can be introduced. Since
farmers are more willing to adopt innovations with
less risks* credit can be used, to reduce the risks
of certain innovations in both crops and methods. It
*", *
is in th*% interests of both the farmer and the
nation that different cropa be grown as an insurance
against loss of income frofl one crop. The persuasive
method being used by the government to farmers to grow
a variety of crops will not work easily as persuasion
needs the existence of e. mutual interest.
On the association of farm income and certain
farm variables, jit has been. f6und that only few
variables have any significant association. Acreage
and casual labour have the most significant
relationship with farm income. The farmers still
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believe that they can only increase production by
increasing the acreage planted. While the increased
use of fertiliser and improved seed shows an
acceptance of the capability of these inputs increasing
yields, their application is most times far below the
recommended level. The fertiliser is usually applied
on a far larger acreage, thus reducing its productive
power and lowering the yields. The formal education
of the farmer does not contribute towards the farmer's
understanding of such recommendations and has no
significant relationship to farm incomes. The
availability of tractors for hire has increased the
farmer's capacity to increase his cultivated acreage.
This interest in tractor ploughing which eases the work
has sometimes delayed the farmer and even resulted
in a loss of income.
While the small-scale farmer has access to the
necessary inputs for hi$ business, it seems the
important problem is 4ack of management. The farmer
is still operating at v$ry low management level.
Technical, efficiency, and intensity decisions are
made without regard to the important issue of
marginal productivity. Production has increased
because of the availability of land and not through
improved methods and increased yields.
Many schemes have been tried in an effort
towards the development of the rural areas, for
example, co-operatives. Some of these schemes failed
because of lack of proper initial planning.
Settlement schemes seem to be succeeding, but because
of their limitations in size, they cannot bring about
the development of the rural people as soon as
possible. In fact, these schemes, because of their
selective nature do encourage the widening of the
disparity between the successful and net very good or
rich farmers. These schemes are supposed to have a
demonstration effect on the subsistence producers on
the reserve land. However, this effect is not being
transmitted because the reserve farmers regard
themselves as poorly situated in terms of land and
extehsion services. The government should turn its
efforts to the farmers on the reserve land, changing
the present land ownership system to one assuring
permanency of land use and occupation. Such a system
could provide some form of security for much-needed
loans for investments. Agricultural development
could be increased on land already being used in the
rural areas by structural changes of the existing
system. Selected projects, for example, settlement
schemes have a role to play in development, but most
times they benefit -only a small section of the
community.
Description
Keywords
Agriculture--Economic aspects--Zambia