Impact of agricultural subsidy on maize farming in Rukum-west of Nepal
DOI:
https://doi.org/10.26832/24566632.2026.110102Keywords:
Agricultural technologies, Maize productivity, Marginalized farmers, Subsidy receiversAbstract
This study was conducted to access the status, impact, and factors affecting access of agricultural subsidies among maize farmers in Rukum-west of Nepal. The data was collected from 92 farmers; 46 subsidy receivers and 46 subsidy non-receivers using purposive multi-stage sampling technique. The major determinants of subsidy access identified through logit regression model were found to be farm registration, training, and co-operative membership. This study revealed positive impact of subsidy in adoption of agricultural technologies like certified seeds and machinery and increase in maize cultivation area. Total cost of cultivation was found to be $163.58 (NRs 23773) for subsidy receivers and $179.27 (NRs 26054) for subsidy receivers significant at 1% with p- value 0.0004. Agricultural subsidy for maize farming was effective in reduction of cost of land preparation, sowing, and shelling was found significant with p- value 0.03, 0.04 and 0.003, respectively. Maize productivity and benefit-cost ration for subsidy receivers was found to be 2.64 t/ha and 1.49, respectively, which was higher compared to non-receivers found to be 2.41 t/ha and 1.21, respectively. Farmers ranked unfair distribution with index 0.74 as the major weakness in current subsidy model. This study suggests input subsidies as an important policy medium to increase maize yield and economic return, thereby contributing towards growing demand for food and feed. However, concerned policy makers should develop strategic transparent framework for subsidy distribution targeting youths and marginalized farmers to ensure long-term food security in the country.
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