Over the years, there has been an evolution of systemic thinking in agricultural innovation studies, culminating in the agricultural innovation systems perspective. In an attempt to synthesize and organize the existing literature, this chapter reviews the literature on agricultural innovation, with the threefold goal of (1) sketching the evolution of systemic approaches to agricultural innovation and unravelling the different interpretations; (2) assessing key factors for innovation system performance and demonstrating the use of system thinking in the facilitation of processes of agricultural innovation by means of innovation brokers and reflexive process monitoring; and (3) formulating an agenda for future research. The main conclusion is that the agricultural innovation systems perspective provides a comprehensive view on actors and factors that co-determine innovation, and in this sense allows understanding the complexity of agricultural innovation. However, its holism is also a pitfall as it allows for many interpretations, which complicates a clear focus of this research field and the building of cumulative evidence. Hence, more work needs to be done conceptually and empirically.

Evolution of systems approaches to agricultural innovation: concepts, analysis and interventions

Ten striking facts about agricultural input use in Sub-Saharan Africa.

Input subsidy programs in sub-Saharan Africa: a synthesis of recent evidence

Conservation Agriculture in mixed crop–livestock systems: Scoping crop residue trade-offs in Sub-Saharan Africa and South Asia

Improving agricultural productivity is seen as vital to economic growth in poor countries, particularly in sub-Saharan Africa where productivity growth has lagged behind that of other continents. The focus has therefore been on new technologies, particularly the adoption and diffusion of improved seed varieties and the increased use of fertiliser, supported by investments in effective extension services. It is important to understand how these new technologies spread and the effectiveness of extension services in this process.

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Neighbors and Extension Agents in Ethiopia: Who Matters More for Technology Adoption?

Ethiopian agriculture is changing as new actors, relationships, and policies influence the ways in which small-scale, resource-poor farmers access and use information and knowledge in their agricultural production decisions. Although these changes suggest new opportunities for smallholders, too little is known about how changes will ultimately improve the wellbeing of smallholders in Ethiopia. Thus, we examine whether these changes are improving the ability of smallholders to innovate and thus improve their own welfare. In doing so, we analyze interactions between smallholders and other actors to provide new perspectives on the role played by smallholder innovation networks in the agricultural sector by drawing on data from community case studies conducted in 10 localities. Findings suggest that public extension and administration exert a strong influence over smallholder networks, potentially crowding out market-based and civil society actors, and thus limiting beneficial innovation processes. From a policy perspective, the findings suggest the need to further explore policies and programs that create more space for market and civil society to participate in smallholder innovation networks and improve welfare. From a conceptual and methodological perspective, our findings suggest the need to incorporate rigorous applications of social network analysis into the application of innovation systems theory.

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Rural innovation systems and networks: findings from a study of Ethiopian smallholders

Nature and causes of land degradation in the Oromiya region : a review

Can modern input use be promoted without subsidies? An analysis of fertilizer in Ethiopia

Hedonic price models were fitted to a sample of 1,397 sheep and 1,293 goats, for which data were collected from nine markets in Ethiopia over a 12-month period. The objective was to determine seasonal and inter-market differences in prices after controlling for the effects on different attributes of the animals, the buyers and the sellers. Results indicate that, controlling for attributes of the animals and of the buyers and sellers, there were significant differences in prices between seasons and markets. Seasons in which farmers faced severe cash shortages exhibited the lowest adjusted prices for animals they sold, indicating that although livestock may provide a fall back position for cash in times of crisis, terms of trade may be worst when farmers need cash the most. In general, there was no clear progression in price of sheep along the primary to terminal market chain ending in Addis Ababa as would be normally expected except that the farthest market had the lowest price. The reason for hig...

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Seasonal and Inter-Market Differences in Prices of Small Ruminants in Ethiopia

Fertilizer use in Ethiopia has almost quintupled since the official elimination of input subsidy programs. Yet, application rates remain far below recommended level and, given limited scope for area expansion, fertilizer promotion continues to be the central focus for enhancing agricultural productivity. Unlike many other developing countries, Ethiopia has moved from partial liberalization in 1990s to government monopoly control over imports, with exclusive marketing through farmers’ organizations, since 2008. In 2010, the government embarked on a new policy initiative, the Growth and Transformation Program, which sets annual production targets for cereals by regions. In line with the objectives of this program, government increased fertilizer imports from 440 thousand tons in 2008 to about 890 thousand in 2012. However, fertilizer availability (import plus change in stocks) far exceeded total consumption resulting in large carryover stocks reaching almost half a million tons — worth roughly US$350 million — sitting in the cooperative warehouses throughout the country in 2012. This is the context in which the Ethiopian Agricultural Transformation Agency requested IFPRI to undertake a study analyzing policies, the value chain constraints, profitability of fertilizer, and opportunities for further expansion of fertilizer use. The study involved interviewing a large number of stakeholders in fertilizer value chain, collection of data on costs and margins from the key actors in the value chain, as well as household survey data. In this paper, we present the key findings from that study. In particular, the paper presents estimates of detail costs and margins in the value chain, econometrically derived profitability and yield responses, and the costs of government’s fertilizer promotion policies. Based the estimates of the costs and margins in the fertilizer value chain, the study argues that the current value chain will not be sustainable unless the scale of operation, as well institutional capacity, of the primary cooperatives goes up. The estimates of profitability suggest that fertilizer use in major cereals is profitable, irrespective of the method of calculation/estimation, implying that recent challenge with carryover stock reflects the institutional and value chain constraints. With regards of program costs, this study finds that while there is no official subsidy program, fertilizer promotion has involved large fiscal costs — estimated at US$40 million per year since 2008. Finally, for further expansion of fertilizer use, the study makes two recommendations: (a) allowing private sector to participate in the domestic markets alongside cooperatives; and (b) paying more attention to other cereals — such as barley and sorghum — where fertilizer use is close to zero.

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Gezahegn Ayele

Papers

Rural innovation systems and networks: findings from a study of Ethiopian smallholders

Nature and causes of land degradation in the Oromiya region : a review

Can modern input use be promoted without subsidies? An analysis of fertilizer in Ethiopia

Seasonal and Inter-Market Differences in Prices of Small Ruminants in Ethiopia

Fertilizer in Ethiopia: an assessment of policies, value chain, and profitability.