Climate risk and agricultural technology adaption: evidence from rice farmers in the Ayeyarwady River delta of Myanmar

Abstract

Crop income can be raised in two ways: one way is to increase crop productivity and the other is to grow high-value crops that could be sold at high prices in the market. This study evaluated the adoption determinants of high-yielding varieties (HYVs) and high-value varieties (HVVs) of rice and their associations on crop income using data collected in coastal areas of the Ayeyarwady River delta, which is prone to climate shocks such as saltwater intrusion and cyclones. We used cross-sectional data on 298 rice-producing households and 393 rice plots to conduct multinomial logit estimates, which revealed that the heights of the plots, and past exposure to saltwater intrusion negatively affected the adoption of HVVs. Our estimates also suggest that while the adoption of HYVs is not associated with high rice yield, income, or profit, HVV adoption is associated with high income and profit.