Technology Adoption and Risk Initiative Household Baseline Survey 2006
Other Household Survey [hh/oth]
Malawi Technology Adoption and Risk Initiative (MTARI) household baseline survey is a part of a larger impact evaluation study, being conducted by the World Bank and the University of Michigan researchers. The randomized field experiment was designed to examine whether provision of insurance against a major source of production risk induces farmers to take out loans to adopt a new crop technology. The study sample was composed of roughly 800 maize and groundnut farmers. Randomly selected half of the farmers in the sample were offered a credit to purchase high-yielding hybrid maize and groundnut seeds for planting in the November 2006 crop season. The other half of farmers were offered a similar credit package, but were also required to purchase (at actuarially fair rates) a weather insurance policy that partially or fully forgave the loan in the event of poor rainfall. In Malawi, the dominant source of production risk is the level of rainfall.
The household baseline survey was administered to all farmers in the sample in September and October 2006. The survey covered income, education, assets, income-generating activities (including detailed information on crop production and crop choice), measures of risk aversion, and knowledge about financial products such as credit and insurance.
Kind of Data
Sample survey data [ssd]
Unit of Analysis
- v01: Edited, anonymous datasets for public distribution.
The scope of the study includes:
- household roster,
- household characteristics,
- agricultural club member characteristics,
- land use and cropping patterns,
- crop production,
- crop sales and marketing,
- perceptions about rain, harvest,
- credit, savings and insurance,
- networks and sources of information,
- inter-household transfers of goods, services and money (remittances),
- sources of income,
- knowledge about products and willingness to pay,
- personality and attitudes,
- risk response.
Lilongwe North, Mchinji, Kasungu, and Nkhotakota regions in central Malawi.
Producers and sponsors
University of Michigan, United States
Commodity Risk Management Group
National Smallholder Farmers Association of Malawi
Opportunity International Bank of Malawi
Malawi Rural Finance Corporation
Insurance Association of Malawi
The study sample was composed of roughly 800 maize and groundnut farmers in 32 localities in central Malawi. Researchers randomly selected 16 localities where farmers were offered credit to purchase high-yielding hybrid maize and groundnut seeds for planting in the November 2006 crop season. In the remaining 16 localities, farmers were offered a similar credit package, but were also required to purchase a weather insurance policy that partially or fully forgave the loan in the event of poor rainfall.
The farmers in the study were current National Smallholder Farmers Association of Malawi (NASFAM) members. NASFAM contacted clubs (composed of 10-20 farmers) in June and July 2006 and offered them the opportunity to be included in the study. The study sample consists of 159 clubs from four different regions of central Malawi: Lilongwe North, Mchinji, Kasungu, and Nkhotakota. In these clubs there were 787 farmers who agreed to be part of the study and were available to be surveyed in the following September.
Dates of Data Collection
Data Collection Mode
Data Collection Notes
After the completion of the survey, an orientation meeting was held in each of the 32 localities in October 2006 where National Smallholder Farmers Association of Malawi (NASFAM) field officers explained the loan product being offered (insured or uninsured) to the study farmers. Farmers then had two weeks to decide whether to take-up the loan, which required a deposit of 12.5% of the loan amount at the local NASFAM field office. Seeds and fertilizer were then delivered to pre-specified collection points near the club meeting place, and planting occurred with the beginning of the rains in November.
The experiment was carried out as a collaborative effort among several partners: NASFAM, Opportunity International Bank of Malawi (OIBM), the Malawi Rural Finance Corporation (MRFC), the Insurance Association of Malawi (IAM), and the Commodity Risk Management Group (CRMG) of the World Bank. NASFAM is an NGO that provides technical assistance and marketing services to nearly 100,000 farmers in Malawi. It is by far the largest farmer association in the country. The farmers in the study were current NASFAM members. NASFAM field officers disseminated the information on the insured and uninsured loans to farmers, and handled the logistics of supplying farmers with the hybrid seeds purchased on credit. OIBM and MRFC are microfinance lenders and provided the credit for purchase of the hybrid seeds. OIBM is a member of the global Opportunity International network of microfinance institutions, while MRFC is a government owned corporation. IAM designed and underwrote the actual insurance policies with technical assistance from the World Bank.
World Bank Microdata Library
Use of the dataset must be acknowledged using a citation which would include:
- the Identification of the Primary Investigator
- the title of the survey (including country, acronym and year of implementation)
- the survey reference number
- the source and date of download.
Xavier Gine, World Bank, Dean Yang, University of Michigan. Technology Adoption and Risk Initiative Household Baseline Survey (MTARI) 2006, Ref. MWI_2006_MTARI_v01_M_PUF. Dataset downloaded from [url] on [date].
Disclaimer and copyrights
The user of the data acknowledges that the original collector of the data, the authorized distributor of the data, and the relevant funding agency bear no responsibility for use of the data or for interpretations or inferences based upon such uses.