Risk Takers, Risk Makers: Small Farmers and Non-Traditional Agro-Exports in Kenya and Costa Rica

Abstract

This article examines the effects of small farmers’ competitive strategies on production relations in the non-traditional agro-export sector of the developing world. It uses a comparative case study approach involving cases with different commodity, institutional, and socio-historical features: one involving snow pea production in Kenya, the other involving chayote production in Costa Rica. Despite the contrasting characteristics of each case, small farmers in both areas responded to production and marketing risks by utilizing alternative markets. These strategies, however, decreased their ability to guarantee supply and quality to agro-export firms, which compelled such firms to develop alternative production arrangements that side-stepped small farmers. The findings reveal the limitations of non-traditional agro-export production as a rural development strategy. They also call into question the value of certain strategies as risk-reduction mechanisms for small farmers.

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