Determinants of Agricultural Commercialization among Smallholder Farmers in Mvurwi, Zimbabwe

Abstract

Agricultural commercialization in various third world countries has been perceived as a pathway to increasing the smallholder farmer’s income. Such positive welfare outcomes lead to poverty alleviation among rural livelihoods. Some of the smallholder farmers in Mvurwi area of Mazowe district produce at subsistence level while some have varying degrees of commercialization. The purpose of this study was to analyse the determinants of agricultural commercialization among smallholder farmers of Mvurwi, Zimbabwe. The study used primary data collected from a random sample of 273 smallholder farmers using a structured household questionnaire. A Tobit regression model was used in determining the factors effecting agricultural commercialization. Results of the Tobit regression showed that gender, master farmer training and land have significant and positive influence on the degree of commercialization while access to agricultural extension and loans have a significant and negative influence. The study recommends the provision of financial support to smallholder farmers to enhance productivity through commercialization.