Factors that influence adoption of hermetic storage evidence from Nepal

James H Flock, Purdue University


The information provided in this thesis identifies insights on what factors influence a producer’s willingness to purchase hermetic storage. A cost benefit cash flow analysis was also included to understand the monetary benefits a producer can anticipate if he/she invests in this technology and chooses to sell his/her grains. The data used fort the empirical analysis were collected by interviewing producers on their crop management practices for their rice, maize, (preferred) legume and/or wheat crops. The survey interviewed 263 households covering six districts in Nepal. The data indicated that producers who are using hermetic storage, either PICS of Grain Pro, were 69% more likely to purchase the technology compared to 63% who never used or received training on the technology. The probit models identified two key variables, education and access to savings, as important factors of producers opting to purchase the technology. Across the four crops reviewed, the cost benefit analysis cash flow analysis identified using historical pricing that identified the optimal use of hermetic storage. In three districts rice growers in Banke, Legume growers in Surkhet and wheat growers in Doti would have positive economic gains on their hermetic storage investments over a three year period when compared to traditional technologies.




McNamara, Purdue University.

Subject Area

Agricultural economics

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