The role of farm subsidies in changing India's water footprint.

Dwindling groundwater supplies threaten food security and livelihoods. Output subsidies for farmers are a ubiquitous agricultural policy tool, yet their contribution to growing groundwater stress remains poorly quantified. We show how output subsidies guaranteeing the purchase of crops at higher than market prices may have contributed substantially to declining water tables in India. Our analysis suggests that these policies may have led to a 30% over-production of water intensive crops. In the northwestern state of Punjab, rice procurement can potentially account for at least 50% of the groundwater table decline over 34 years. In the central state of Madhya Pradesh, wheat procurement adopted in the late 2000s appears to have driven a 5.3 percentage point increase in dry wells and a consequent 3.4 percentage point increase in deep tubewells. These results suggest that well-intentioned but poorly designed subsidies can impose harmful externalities on the environment and undermine long-term sustainable development.

Compounding impacts of COVID-19, cyclone and price crash on vanilla farmers' food security and natural resource use.

The intersection of the COVID-19 pandemic with other crises can amplify vulnerabilities and push communities further into poverty. In low-income countries, the dual impacts of COVID-19 and extreme weather events, along with multidimensional poverty and structural vulnerabilities in agriculture can decimate farmer livelihoods. This study aims to understand the effects of individual and compounding crises (COVID-19, cyclones, and vanilla price collapse) on smallholder vanilla farmers and local coping strategies in Madagascar, one of the world's largest vanilla producers and poorest countries. We used semi-structured and scenario-based interviews across two case study villages with contrasting enforcement of forest regulations. We found that the impact of the pandemic, combined with the cyclone event, disrupted livelihoods, resulting in income losses and food security challenges that exacerbated farmer vulnerabilities. Sixty eight percent of households reported crop losses due to strong winds and heavy rainfall brought by cyclone Enawo in 2017. The COVID-19 outbreak struck the region just as the residents were recovering from the effects of the cyclone. COVID-19-related travel restrictions in the aftermath of the cyclone took a substantial economic toll, with 54.1% of respondents experiencing a decline in earnings, and 17% facing a total loss of income due to the imposed lockdown. The decline in vanilla prices at the onset of 2020 had a far-reaching additional impact, affecting not only farmers but also residents who rely on other sources of income. Local communities reported using the forest resources more frequently as a safety net during crises in the village with more lenient regulations. This study underscores the importance of understanding the interconnectedness and compounding impacts of cascading crises on food security and natural resource use. We highlight the need for a comprehensive approach to increasing farmer resilience, particularly for those reliant on global market crops such as vanilla.

The economic impacts of ecosystem disruptions: Costs from substituting biological pest control.

Biodiversity loss is accelerating, yet we know little about how these ecosystem disruptions affect human well-being. Ecologists have documented both the importance of bats as natural predators of insects as well as their population declines after the emergence of a wildlife disease, resulting in a potential decline in biological pest control. In this work, I study how species interactions can extend beyond an ecosystem and affect agriculture and human health. I find that farmers compensated for bat decline by increasing their insecticide use by 31.1%. The compensatory increase in insecticide use by farmers adversely affected health-human infant mortality increased by 7.9% in the counties that experienced bat die-offs. These findings provide empirical validation to previous theoretical predictions about how ecosystem disruptions can have meaningful social costs.

An analysis of the impact of digital technology adoption on the income of high quality farmers in production and operating.

Digital technology is shaping our traditional agriculture in unprecedented ways. As a new engine to empower farmers and promote common prosperity in rural areas, the development of the digital economy can help revitalize rural industries, providing strong support for increasing industrial value-added income and farmers' income levels. Based on 676 pooled cross-section data of high-quality farmers in China Guangdong Province from 2020-2021, the article empirically examines the impact of digital technology adoption on the production and business income of high-quality farmers and explores its mechanism of action, based on theoretical analysis and using the ERM model. It is found that the use of digital technology helps to increase the income of high quality farmers in production and business, but effects vary for different income levels and different types of high quality farmers. In addition, tests of the mechanism of action suggest that the introduction of digital technologies can mitigate the negative impact of market distance on the income of high quality farmers in production and business. After applying variable substitution, model replacement, and propensity score matching (PSM) for robustness checks, the research findings still hold true. Therefore, efforts should be made to speed up the upgrading of rural digital technology and other infrastructure, increase training for high quality farmers to improve their digital literacy through multiple channels, for the better marketing of agricultural products.

A multi-level multi-product supply chain network design of vegetables products considering costs of quality: A case study.

Effective logistics management is crucial for the distribution of perishable agricultural products to ensure they reach customers in high-quality condition. This research examines an integrated, multi-echelon supply chain for perishable agricultural goods. The supply chain consists of four stages: supply, processing, storage, and customers. This study investigates the quality-related costs associated with product perishability to maximize supply chain profitability. Key factors considered include the network design, location of processing and distribution centers, the ability to process raw products to minimize post-harvest quality degradation, the option to sell the excess produce to a secondary market due to unpredictable yields, and the decision not to fulfill demand from distant customers where significant quality loss and price drops would be involved, instead diverting those products to the aforementioned secondary market. Quantitative methods and linear mathematical programming are employed to model and validate the proposed supply chain using actual data from a real-world case study on vegetable supply chains. The main contribution of this research is the incorporation of quality costs into the objective function, which allows the supply chain to prioritize meeting nearby customers' demands with minimal quality loss over serving distant customers where high quality loss is unavoidable. Additionally, deploying a faster transportation fleet can significantly improve the overall profitability of the perishable product supply chain.

Accumulation of production capital and income growth of Chinese farmers in the post-poverty alleviation era: A study based on a two-way fixed effects model with CFPS data.

Agricultural mechanization is a crucial indicator of modernization in agriculture. It improves productivity and underpins the evolution of a modern state. This study scrutinizes the enduring effects of government subsidies on farm machinery acquisition, income growth, and capital accumulation in rural households. It is based on policies about targeted poverty alleviation and rural revitalization. Research findings indicate that government subsidies have significantly increased the per capita net income of rural households. However, in the post-poverty alleviation era, for households that already possess agricultural machinery, the benefits brought by government subsidies in the early stages of the policy cycle tend to diminish over time. From 2016 to 2020, government subsidies continued to enhance the value of agricultural machinery in rural households. Their impact on ownership rates first slightly declined and then increased again. The promotional effect in 2020 was not significantly better than in 2016. When China is fighting against poverty, it is essential to encourage rural households to use their income and government subsidies to accumulate production capital. A long-term mechanism has been established to protect the achievements of poverty alleviation, promote agricultural mechanization and rural modernization, and support rural revitalization.

Green industrial policy and green development of agriculture-Quasi-natural experiment based on the Yangtze River Economic Belt in China.

Based on the panel data of 30 provinces, municipalities, and autonomous regions in China from 2012 to 2022, from the perspective of harmony between man and nature, this paper selects 20 indicators to measure the level of agricultural green development from five dimensions such as ecological conservation and resource conservation by entropy weight method. On this basis, taking the implementation of green industrial policy in the Yangtze River Economic Belt as a quasi-natural experiment, the policy effect of green industrial policy on agricultural green development was analyzed by using the difference-in-difference method. The study found that: (1) the green development of agriculture is basically increasing year by year in each province, but there are some differences in the green development of agriculture among provinces; (2) Compared with the non-implementation areas of policies, the green development of agriculture in the implementation areas of policies has been significantly improved, and has passed a series of robustness tests; (3) The mechanism analysis shows that the green industrial policy has a crowding-out effect on industrial development, but significantly enhances the ecological construction and protection, thus promoting the green development of agriculture; (4) Heterogeneity analysis shows that the policy has a significant positive incentive effect on the upper and lower reaches of the Yangtze River Economic Belt, and the incentive effect on the middle reaches is not significant; (5) The impact of technological level on agricultural green development shows a positive U-shaped relationship. The improvement of education and information development levels also effectively promotes the green development of agriculture. This paper provides important empirical evidence and factual references for further promoting the green development of agriculture and the improvement of green industrial policies.

Determinants of rice production and market supply: A study of Bench Sheko zone in Ethiopia.

In Ethiopia rice crop is considered as a strategic food security crop which is expected to contribute to ensuring food security in the country. Bennch Sheko Zone is one of the major rice growing areas in the South Western Regional State. The study was conducted with specific objectives to investigate factors affecting smallholder farmers' market supply of rice and identify constraints related to rice production in the study area. Two-stage sampling technique was employed to select 119 representative rice-producer households. Descriptive statistics and appropriate econometric models were used to analyze the collected data. Multiple linear regression model used to analyze factors affecting rice market supply. Descriptive result of the study showed, the average annual rice production at the household level was 2.8 tons, of which 70% was supplied to the market. Econometric result showed farm size owned, credit use, annual income, number of oxen owned, and quantity of rice produced were found to be significantly affecting the market supply of rice in a district. Major constraints related to rice production in the district were a lack of proper weed management practices, improved seed, proper method and time of fertilizer application, weak institutional support, disease, and post-harvest handling problems were also important. The research findings suggest that attention should be given to rice production constraints through generation and wide demonstration of demand-driven rice production and post-harvest handling technologies for increased production and productivity to have a better market supply of rice to the market and benefit smallholder farmers.

Sustainable agriculture: leveraging microorganisms for a circular economy.

Microorganisms serve as linchpins in agricultural systems. Classic examples include microbial composting for nutrient recovery, using microorganisms in biogas technology for agricultural waste utilization, and employing biofilters to reduce emissions from stables or improve water quality in aquaculture. This mini-review highlights the importance of microbiome analysis in understanding microbial diversity, dynamics, and functions, fostering innovations for a more sustainable agriculture. In this regard, customized microorganisms for soil improvement, replacements for harmful agrochemicals or antibiotics in animal husbandry, and (probiotic) additives in animal nutrition are already in or even beyond the testing phase for a large-scale conventional agriculture. Additionally, as climate change reduces arable land, new strategies based on closed-loop systems and controlled environment agriculture, emphasizing microbial techniques, are being developed for regional food production. These strategies aim to secure the future food supply and pave the way for a sustainable, resilient, and circular agricultural economy. KEY POINTS: • Microbial strategies facilitate the integration of multiple trophic levels, essential for cycling carbon, nitrogen, phosphorus, and micronutrients. • Exploring microorganisms in integrated biological systems is essential for developing practical agricultural solutions. • Technological progress makes sustainable closed-entity re-circulation systems possible, securing resilient future food production.

Combining life-cycle assessment and linear programming to optimize social fertilizer costs.

This paper focuses on the role of fertilizers within regional nutrient cycles. Bio-based fertilizers can contribute to regional nutrient circularity, but the question remains whether production and consumption of bio-based fertilizers is beneficial to the farmer and the environment. Therefore, both farmers' private costs and environmental externalities should be taken into account. We formulate a farm-level multi-objective optimization model by considering a range of fertilizers, their costs and the environmental consequences associated with their production and use. The cost-minimization approach is applied to a conceptualized Flemish leek farmer aiming to safeguard nutrient uptake while being constrained by nutrient standards and the availability of on-farm residues. Our results suggest that mineral fertilizers have an important role in the fertilizer mix despite their environmental externalities. Nevertheless, there is also a role for bio-based fertilizers. These results have implications for farmers and policymakers wishing to internalize fertilizer externalities.

Spatiotemporal trends and coordination of agricultural carbon efficiency in the Yangtze River Economic Belt and Yellow River Basin, China: An analysis of influencing factors and green finance integration.

As China's second-largest source of greenhouse gas emissions, agriculture is essential to achieving the goal of "carbon peak" and "carbon neutrality." Based on the measurement of agricultural carbon emissions (ACE) and agricultural carbon intensity (ACI) in 19 regions along the Yangtze River Economic Belt (YEB) and Yellow River Basin (YRB) in China from 2001 to 2020, this paper first uses the super-efficiency SBM model to measure ACE efficiency from static and dynamic perspectives. Then, the coupling coordination degree (CCD) between ACE efficiency and green finance in each region of the two basins is explored. Finally, Grey Relation Analysis (GRA) is used to obtain the influencing factors of CCD. The following conclusions are drawn: (1) The ACE in the YEB is almost twice that of the YRB. The ACE of the two basins generally experienced a trend of first growth and then declined, but the peak time was different. The ACI of the two basins showed a trend of continuous decline, and the decline rate of the YRB was faster. (2) The ACE efficiency of the two basins showed an overall upward trend, and the growth degree of different regions was vastly different. From the factor decomposition, the technological progress (TP) of the two basins significantly impacts the total factor productivity (TFP). (3) The CCD of ACE efficiency and green finance in the two basins increased from near imbalance to barely coordination level, and the CCD of the YEB increased slightly faster. The CCD of the two basins has a spatial difference of "downstream > midstream > upstream." (4) Among the influencing factors of the CCD of the two systems, the influencing degree of the factors is as follows from large to small: quality of human capital, level of economic development, government regulation, scientific and technological innovation ability.

The impact of COVID-19 on livelihood assets: a case study of high-value crop farmers in North-West Bangladesh.

The COVID-19 pandemic has had a catastrophic impact on public health, extending to the food system and people's livelihoods worldwide, including Bangladesh. This study aimed to ascertain the COVID-19 pandemic impacts on livelihood assets in the North-Western areas (Rajshahi and Rangpur) of Bangladesh. Primary data were collected from 320 farmers engaged in high-value agriculture using a multistage sampling method. The data were analysed using first-order structural equation modelling. The findings reveal a significant impact (p < 0.01) of the pandemic on all livelihood assets in Bangladesh. Notably, human assets exhibited the highest impact, with a coefficient of 0.740, followed sequentially by financial (0.709), social (0.684), natural (0.600), physical (0.542), and psychological (0.537) assets. Government-imposed lockdowns and mobility restrictions were identified as the major causes of the pandemic's negative effects on livelihoods, which included lost income, rising food prices, decreased purchasing power, inadequate access to food and medical supplies, increased social insecurity, and a rise in depression, worry, and anxiety among farmers. The effects of COVID-19 and associated policy measures on the livelihoods of high-value crop farmers have reversed substantial economic and nutritional advances gained over the previous decade. This study suggests attention to the sustainable livelihoods of farmers through direct cash transfer and input incentive programs to minimize their vulnerability to a pandemic like COVID-19 or any other crisis in the future.

On the role of government spending, trade openness and terms of trade in Iran's agricultural growth.

Agriculture is recognized as the driving force of economic growth, especially in developing economies. It plays a crucial role in Iran's economy especially during economic sanctions as it is a source of income for rural people, food security, job creation, and foreign exchange earnings. The present study investigates the impact of government spending, trade openness, and terms of trade on agricultural growth in Iran using annual data for the period 1978-2021 by application of the nonlinear autoregressive distributed lag model (NARDL). The results confirmed asymmetry in the impact of all three variables of interest on agricultural growth. In other words, the superiority of the nonlinear specification in explaining the relationships between variables was confirmed. To be specific, a positive and negative shock to government spending affects sector growth by 0.18 and -0.05 percent, respectively in the long run. The same finding was found for trade openness with 0.22 and -0.11 impact coefficients for positive and negative shocks, respectively. Moreover, we could not find significant impact for terms of trade.

Application of Index Insurance in Iran's Agriculture: case of wheat growers.

Drought-induced risk endangers farmers in arid and semi-arid regions. Insurance is recognized as an appropriate policy alternative to support farmers facing with financial losses associated with production reduction. In this context, present study developed an ex ante index-based insurance program to deal with drought-induced risk of production losses. We applied this model to wheat growers in Iran. After the calibration of the contract parameters, an insurance scheme was optimized and tested. We showed that optimal insurance contracts generate low gain of certain equivalent income, high compensation, and a high basis risk. The best contract was not proportional to the complexity of the proposed index. The insurance program studied is recommended as a proper alternative for currently applying yield insurance.

Comprehensive review of technologies for separate digestate treatment and agricultural valorisation within circular and green economy.

Anaerobic digestion (AD) has the potential to catalyse the shift from a linear to a circular economy. However, effective treatment and management of both solid (DSF) and liquid (DLF) digestate fraction treatment and management require adopting sustainable technologies to recover valuable by-products like energy, biofuels, biochar, and nutrients. This study reviews state-of-the-art advanced technologies for DSF and DLF treatment and valorisation, using life cycle assessment (LCA) and techno-economic analysis (TEA) in integrated digestate management (IDM). Key findings highlight these technologies' potential in mitigating environmental impacts from digestate management, but there's a need to improve process efficiency, especially at larger scales. Future research should prioritize cost-effective and eco-friendly IDM technologies. This review emphasizes how LCA and TEA can guide decision-making and promote sustainable agricultural practices. Ultimately, sustainable IDM technologies can boost resource recovery and advance circular economy principles, enhancing the environmental and economic sustainability of AD processes.

Health insurance, agricultural production and investments.

We study the effects of health insurance coverage on agricultural production decisions, examining the causal relationships by exploiting a health care reform and providing a theoretical framework to elucidate underlying mechanisms. We find that the reform led to long-run increases in total cultivation investments and output, accompanied by a shift in households' cultivation portfolio towards riskier crops. We explain these findings using a model of agricultural investment, highlighting the important roles of health insurance in mitigating background medical expenditure risks and enhancing health. We also find that the reform improved households' financial well-being through reduced debts and defaults on loans.

Influence of sowing dates and weed management practices on weed dynamics, productivity and profitability of direct seeded rice.

This study evaluated the impact of differential sowing windows and improved weed management strategies on weed dynamics, productivity, and economic viability of direct drum seeded rice (Oryza sativa L.) in the temperate agro-ecosystem of Kashmir. A two-year field experiment was conducted utilizing a split-plot design with two sowing dates (May 10 and June 3) as main plots and six weed management practices as sub-plots. The earlier sowing date (May 10) resulted in significantly enhanced leaf area index, crop growth rate, relative growth rate, net assimilation rate, and grain and straw yields compared to the later sowing (June 3). Among weed management treatments, four mechanized conoweedings (equivalent to weed-free conditions) and sequential application of bensulfuron methyl + pretilachlor (60 and 600 g a.i. ha-1) as pre-emergence followed by 2,4-D (0.75 kg a.i. ha-1) as post-emergence demonstrated superior efficacy in weed suppression and augmentation of crop growth parameters and yield attributes. These treatments also exhibited the lowest weed index and highest benefit-cost ratio. The May 10 sowing, coupled with efficacious weed control measures, significantly reduced weed density and biomass while concomitantly improving nutrient uptake and economic returns. The results indicate that adopting a May 10 sowing date for direct seeded rice, in conjunction with either four conoweedings or the aforementioned sequential herbicide application, can optimize agronomic productivity and economic profitability under the temperate conditions of Kashmir. The study aided in choosing the best sowing window and efficient weed management strategy for attaining higher productivity and profitability of direct seeded rice in temperate conditions.

The impact of China's digital inclusive financial development gap on the optimization of rural consumption structure.

Implementing the rural revitalization strategy is crucial for ensuring and enhancing the livelihoods of the vast rural population. The upgrading of rural consumption reflects the gradual realization of rural residents' pursuit of a better life, and the rapid development of digital inclusive finance provides strong support for this. Based on the Digital Inclusive Finance Index released by Peking University and panel data from 30 provinces across the country, this study examines the role of digital inclusive finance in optimizing rural consumption structure through the mediation effect model and analyzes its spatial spillover effects using the spatial Durbin model. The research shows that narrowing the development gap in digital inclusive finance is crucial for upgrading the rural consumption structure, which helps to promote rural residents' transition to higher-level consumption. Through the analysis of the spatial Durbin model, this study finds spatial spillover effects in this process, meaning that financial development in a particular region promotes local development but inhibits development in neighboring areas. Among various dimensions, the impact of breadth of coverage is the most significant. This trend of financial development affects consumption structure by increasing agricultural productivity and rural residents' operational income, particularly highlighting its impact on operational income. However, there are significant differences between the eastern and central-western regions in optimizing rural consumption structure, with the eastern region benefiting more while the effects in the central-western region are limited and sometimes even negative. Therefore, regional characteristics should be fully considered in policy formulation to narrow the development gap in digital inclusive finance and achieve high-quality and sustainable development.

Effect analysis of government intervention on scale-heterogeneous farmers' behavior of groundwater exploitation.

Government intervention has become an important measure to restrain groundwater overexploitation. This paper analyzes the effect of three types of government intervention measures, namely, guidance, incentive and constraint, on farmers' groundwater utilization behavior, from the perspective of scale-heterogeneity, using general quantile regression model, by survey data of 1122 households in well irrigation area of north China. The results showed that: (1) the incentive and guiding measures have negative effects on farmers' groundwater usage, while the effect of restrictive measures is not obvious. The guided policy is superior to the incentive measure as to governance effect. (2) With the increase of farmers' land scale, the influence of incentive measures shows a trend of weakening, and the effect of guided measures on groundwater demand reduction of farmers is stronger. When it comes to the different point of water consumption, when at the point level of 0.25, the incentive measures have the most obvious inhibitory effect. With the increase of water consumption of farmers, the guided measures begin to play a core role. The effect of restrictive measures is not obvious with the increase of water consumption. (3) In addition, farmers' irrigation water consumption also is affected by gender, cognition of water resources shortage, ecological cognitive level, acquisition ability of disaster information, village rain conditions, the degree of water rights market development, feelings of water fee increase, irrigated disputes in the village, collective economic level of village. The selection of policy tools is flexible according to the farmers' land scale for groundwater over-extraction control.