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An economic assessment of banana genetic improvement and innovation in the Lake Victoria region of Uganda and Tanzania

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Abstract or Summary

This research report highlights findings from a set of studies undertaken by applied economists on the impact of improved banana cultivars and recommended management
practices in the East African highlands. The results of this study have implications for research and development (R&D) policies according to five categories:

1. Improved Banana Genotypes. Findings confirm the vulnerability of the cooking banana, as well as other types grown in the region, to pests/diseases and the
need for a research policy to commit long-term investments in the development of resistant genotypes. The choice of host cultivar and use group will have social consequences
in terms of which farmers will be most likely to use and benefit from improved cultivars. In general, however, greater social costs are likely to be caused by delays in banana improvement than by choice of any host cultivar or technology set. Time lags in research and adoption have often been shown to be the single-most important determinant of the social payoff to investment.

2. Enhancing Demand and Supply of Improved Germplasm. A policy supporting investments in agricultural education, extension, marketing infrastructure, and access to good
roads will enhance demand and supply of improved banana cultivars and, in turn, raise banana productivity and efficiency. We predict a demand for pest- and disease-resistant material, given the evidence that farmers value these traits, but demand will be much greater if other supporting investments in education, extension, and market infrastructure are made.

3. Designing Effective Dissemination Mechanisms. Findings support the current policy of the Government of Uganda, which emphasizes farmer association and human capital
development as pillars of technology and knowledge dissemination. Farmers are price responsive, adopting new technologies at greater rates when output prices are high relative to input prices. The high rates of dissemination of improved practices for managing soil fertility are promising, despite the labor these practices demand. Farmer- and socially based mechanisms appear to be a crucial factor in the dissemination of both planting material and technologies. This finding reflects, in part, the clonally propagated nature of the banana plant.

4. Scaling Up Genotype Adoption. A demand-driven strategy for scaling up farmer use of approved banana varieties is needed. Widespread adoption of FHIA hybrids occurs in
Tanzania. The analysis suggests that higher adoption rates in Tanzania relative to Uganda result from greater disease pressures, heavy dissemination efforts, and the fact
that historically farmers have actively sought out planting material that is free of pests and diseases. Adoption definitely shows an impact on vulnerability to disease losses. Further analysis is needed over time to determine whether diffusion and benefits have been sustained, and whether incomes have been affected. The examples of farmer-tofarmer exchanges described in the report for Uganda, though limited in their impact in terms of numbers of farmer and communities, warrant closer examination as models for more structured and decentralized diffusion mechanisms. We recommend a farmer- and socially based network design, with farmer-supplied planting material, possibly scaling up from some of the experiences in Uganda. The strategy of providing materials free-ofcharge
in large quantities is not sustainable.

5. Developing R&D Strategies for thHighlands and Lowlands. In the high-elevation areas, developing and promoting best cultural practices and marketing improvements are of primary importance. In the low-elevation areas, developing and promoting pestand disease-resistant endemic cultivars is a priority, alongside cultural practices focusing
on reviving productivity. To support the success of these efforts, major investments will
need to be made in dissemination.

Technical change is a continuous, multidimensional process. Social science research can support the decisionmaking of research programs and investors by identifying the impediments that must be addressed to ensure that promising new technologies are in fact widely adopted by farmers. Genetic transformation of the cooking banana offers the rare opportunity to maintain the end-use qualities preferred by East African consumers while enhancing agronomic traits. Given the economic role of the banana plant in the region, the social benefits of
technical change will be significant.

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An economic assessment of banana genetic improvement and innovation in the Lake Victoria region of Uganda and Tanzania (held on an external server, and so may require additional authentication details)

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