Period : July 2022 – June 2027

An experimental approach to optimizing policy for scaling-up climate-resilient agriculture in Madagascar

HOPE: Harnessing OPportunities for Experimentation in environmental policy

Funders: European Union (Grant no. DCI-PANAF/2020/420-028), through the African Research Initiative for Scientific Excellence (ARISE), pilot programme. ARISE is implemented by the African Academy of Sciences with support from the European Commission and the African Union Commission.

Context

Most farmers living near protected areas are inherently isolated and unable to access affordable and safe credit. This constrains their ability to invest in their production and makes them more likely to continue with low input farming practices such as swidden agriculture (involving burning and rotational farming). These unsustainable practices drive forest clearing and biodiversity loss, and increase food insecurity and farmer vulnerability to the negative effects of climate change. 

Climate-resilient agriculture (CRA) can help develop more sustainable agricultural systems and enhance famer resilience, thus reducing food insecurity – while generating biodiversity and greenhouse gas mitigation co-benefits from reduced deforestation. Despite their demonstrated benefits, adoption of CRA remains very low in Madagascar and robust empirical evidence on the key policy instruments and behavioural factors that support their widespread adoption is very thin. One of the key constraints to adoption is limited access to information and knowledge. Another major constraint is high upfront investment costs associated with input purchases and labour costs. This project aims to address these contraints by testing the impacts of knwoeldge and credit transfer on CSA adoption, as well as on various indicators of local welfare.

Research questions

Using a mixed-method approach (a randomized controlled trial, novel experimental games, and in-depth interviews), this project aims to provide robust empirical evidence on the most effective policy levers for upscaling CRA investments and improving local welfare in south-eastern Madagascar. 

This project aims to address the following key research questions (RQs):

1 – Do credit and knowledge transfer (training in CRA and farmer business school – FBS) increase investments in CRA and local welfare (farm and non-farm income, food security and resilience)?

2 – Does the effectiveness of the CRA and FBS training depend on the availability of the credit?

4 – What are the underlying mechanisms driving observed changes in behavior?

5 – How do behavioural factors such as risk aversion and willingness to engage in collective action affect farmer’s intention to invest in CRA?

6 – Can village savings and loans association (VSLAs) be a suitable vehicle for encouraging investment in more sustainable farming techniques and income generation?

Study participants include ~2800 small-scale household farmers, who are members of 145 village savings and loans associations across 90 villages in eight communes in the region of Farafangana and Vagaindrano in southeast Madagascar, a major landfall for cyclones on the island, and one of the poorest and most vulnerable regions to the negative effects of climate change.

This project also aims to build research capacity within the African continent by training Malagasy postgraduate researchers and by helping the Project Leader gain valuable experience as overall project lead.

Implementing partner 

One of the RCT interventions, the training in climate-resilient agricultural techniques and farmer business school, will be implemented by the ‘Adaptation of agricultural value chains to climate change project’ (PrAda II+). The PrAda II+ project is implemented by GIZ and seeks to enhance the climate resilience of smallholder farmers and other local actors engaged in agricultural value chains in Androy, Anosy, Atsimo-Atsinanana, Vatovavy, Fitovinany and Atsinanana. More broadly, it will introduce a shift towards a climate-resilient agricultural sector in Madagascar, by introducing or scaling up the effective use of agricultural adaptation technologies, fostering financial services for climate-resilient agriculture (CRA) and enabling entrepreneurial and institutional environment for climate resilient agricultural services.