Although insufficient variability and high multicollinearity across key variables made it impossible to isolate the yield impact of seeds, DAP, and urea, we were able to identify a number of environmental and management factors that affected yields. The same was true for tef straw. Consequently, there were no fixed differences in input use across plot types. We calculated net income per ha and per labor day using 1998 prices for Jan., Apr.-May, and Aug. to assess potential gains from storage. Finally, we calculated returns to maize for a case where storage losses were reduced by half using storage pesticides.
Net income is high for improved tef and maize under almost every price scenario.
After farmers' first exposure to a technology they subsequently learn more efficient ways to apply it. Graduate farmers tended to use less labor and fertilizer than current program participants. Gains from storage are potentially great if storage insecticide is used and farmers are allowed to repay loans later in the marketing year. Unlike tef, untreated maize deteriorates rapidly in storage. None of the sample farmers reported using storage insecticide, but EARO research indicates that use of insecticide can cut storage losses in half .