Agricultural Economics (AGRICECON) (Dec 2024)
Agrarian change through sustainable agri-tech adoption in a challenging rice farming region: A panel data analysis
Abstract
To achieve the coveted objectives of sustainable development, the Bangladesh government has devised a comprehensive strategy to promote the adoption of innovative agricultural practices capable of addressing the critical challenges at the intersection of food, energy, water, and ecosystems (FEWE). This plan prioritises the increased uptake of solar irrigation and recommended fertiliser application (SIRFA) technologies to enhance sustainable food production while effectively managing energy and water resources, and fostering ecological balance. Thus, this study analysed seven years of panel data (2015-2021) to assess the long-term impact of SIRFA technology adoption on production costs (PC) and return on investment (ROI) among Bangladeshi farmers cultivating the BRRI-dhan29 rice variety in the water-scarce, acidic soils of Dinajpur. Utilising the generalised estimating equation (GEE) with a population-averaged model, we investigated the determinants of adoption. Additionally, we applied a two-stage residual inclusion (2SRI) method alongside six linear panel-data models to analyse the impact of SIRFA adoption. Our findings revealed that adopters experienced reduced production costs and enhanced ROI through SIRFA technology adoption. These results emphasised the urgent need for region-specific policy interventions to facilitate the broader adoption of SIRFA technologies.
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