Overview
Hermetic storage bags are a simple, yet highly effective technology to reduce storage losses of smallholder farmers. We investigate the drivers and barriers that farmers face when investing in hermetic storage bags. Impaxio is implementing the field research activities in collaboration with icipe on behalf of German social business Saving Grains as part of a project funded by the United Nations World Food Programme.
Motivation
There is robust evidence on the effectiveness of hermetic storage bags to reduce food insecurity among smallholder farmers. However, adoption rates remain low in many places. This project aims to generate important new knowledge on how hermetic storage bag adoption could be promoted in the future.
Results
Using a randomized controlled trial in Ethiopia, we show that a small partial subsidy (reflecting the technology’s current fiscal burden) can substantially increase the adoption of hermetic storage bags (sixfold increase in purchase rates). In contrast, we find no effects of the prior provision of a free trial bag on purchase rates, suggesting that familiarization with this novel technology is not required for increased adoption.
Conclusion
To accelerate the adoption of hermetic storage bags, policymakers should remove the fiscal burden currently placed on hermetic bags, as is common for other agricultural
technologies.
Full Working Paper is available upon request.