Seasonal variation in hybrid seed adoption: The case of chilli in Indonesia

Abstract

Chilli is one of important vegetables in Indonesia, which is produced all year long despite the seasonal variation. While seasonality in consumer demand and producer supply of agricultural commodities is well understood, relatively little is known regarding seasonal variation in adoption of farm technologies, such as hybrid seeds, whose effectiveness may vary across seasons. Hybrid seed adoption studies in developing countries tend to suffer from a problem of temporal aggregation where data is either (1) measured in a snapshot of time, in which case seasonal variation cannot be analysed, or; (2) aggregated over a year or multiple years, where cyclical seasonal variation is washed out. This study uncovers seasonal dynamics in hybrid seed demand by analysing the case of chilli in hybrid seed use by farmers will be critical for improving seed-system. Factor demand functions were estimated using a unique dataset of 597 chilli producers. The study tested for structural change in demand for hybrid seeds going from dry season to wet season and identify season-specific constraints to hybrid seed use. Results showed that hybrid seed adoption is likely associated with water supply, especially during dry seasons. The adoption of hybrid seed could be lower in irrigated land during the rainy season.