Agricultural diversification and integrated pest management in Bangladesh.
We study factors associated with a shift toward diversified, high-valued vegetable crops and the incentives associated with the use of IPM methods for vegetable producers in Bangladesh. The primary objective is to measure how IPM technologies affect the crop and technology choices of low-income rice farmers. A three-season household optimisation model is used to study crop and technology choice under price and yield uncertainty. The model is parameterised using data from vegetable farms and experimental IPM trials conducted in Bangladesh. Simulation results show that access to IPM technology and IPM availability combined with access to credit increase household welfare and lead to higher rates of vegetable adoption. Off-farm employment opportunities work against vegetable cultivation and IPM use by risk-averse farmers. Implications for policy and extension efforts are highlighted.