Journal of
Development and Agricultural Economics

  • Abbreviation: J. Dev. Agric. Econ.
  • Language: English
  • ISSN: 2006-9774
  • DOI: 10.5897/JDAE
  • Start Year: 2009
  • Published Articles: 551

Article in Press

Welfare Impact of Genetically Modified TELA® Bt Maize Varieties and their Adoption Among Smallholder Farmers in South Africa

Nhundu Kenneth, Sylvester Oikeh, Lebogang Madubanya, Kenneth Nhundu, Millicent Sedi, Abbyssinia Mushunje, George Marechera, Caleb Obunyali

  •  Accepted: 15 May 2024
This study analysed the impact of GM TELA® MON89034 Bt maize technology adoption on the welfare of smallholder maize farmers in South Africa. The TELA® Bt maize yielded 61.1% more output compared to conventional maize varieties. The gross margin analysis showed higher incomes for the TELA® Bt maize farmers (R2,834.93/ha) compared with R2,124.96/ha for the conventional maize farmers. The Propensity Score Matching and the Probit model revealed that gender, number of years in farming, credit access, and market access had a positive and significant influence on the framers’ decision to adopt TELA® Bt maize seed technology, while access to extension services was found to have a negative impact on the adoption of TELA® Bt maize seed. The Average Treatment Effect of the Treated (ATT), indicated that adoption of TELA® Bt. maize technology had a significant and positive impact on yield and income by 33–61%. The study recommends increased awareness on benefits of TELA® Bt. seed technology to farmers, especially gender awareness through training, access to credit, and ownership of assets, to ensure equity between women and men on access to production resources and decision-making; because of the significant role of women in maize value chain.

Keywords: Adopters, Income, Propensity Score Matching, Smallholder farmers, TELA® Bt maize, Yield