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Livestock plays a significant role in promoting the financial status, assuring food security and reducing poverty specifically rural community of developing countries. The present study attempts to analyze the impact of formal credit on milk production of dairy animals and household income in district Vehari of southern Punjab, Pakistan. The study used simple random sampling approach for collecting primary data of 240 livestock household farmers and employed regression analysis model to estimate credit impact on household income and livestock production. An economic technique of log-linear regression model was applied to identify the factors influencing dairy production and estimate household income difference from dairy production due to formal credit from Zarai Taraqiati Bank Limited (ZTBL). Estimates of the study indicated that agricultural credit facilitated to enhance household income 23.58%, increases herd size 35.5% and raises the average number of milking animals 39.74%. The elasticity of milking animals (0.72%) and agricultural credit (0.139%) is relatively more comparative to education level (0.113%) and family size (0.076 %). In the scenario of findings of the study, it is suggested that policymakers and concerned institutional authorities focus priority to infusion and easy access of credit in formulating easy credit procedures for specifically subsistence farmers which will help in increasing livestock production, reducing poverty and unemployment in the region. [ABSTRACT FROM AUTHOR]

This paper attempted to analyze the impact of farm size on the economic efficiency of cotton farmers in southern Punjab of Pakistan. Farm-level allocative, economic and technical efficiency of samples of 240 small, medium and large-scale cotton farmers was estimated using Stochastic Frontier Approach of district Rahim Yar Khan Punjab, Pakistan. Empirical findings of the study indicated that medium farm size cotton farmers were more allocative, technically and economically efficient (0.90, 0.94, 0.85) rather than small farm farmers (0.79, 0.92, 0.76) and large farm farmers (0.70, 0.97, 0.68). Farmers schooling years, formal credit access, own tubewell availability, adequate extension access and sowing cotton crop timely were significant socioeconomic factors that affect farmers efficiency level. Medium farm size cotton farmers were producing higher cotton yield and earning higher per acre gross profit (Rs. 18142.28) relatively to small (Rs. 15232.94) and large (Rs. 8231.349) farm size cotton farmers. There is a need for significant prolong state-based policy measures for provision of adequate and quality based crop inputs, infusion of advanced mechanisation and regulating market mechanism for consistency in prices of crop inputs and outputs. It is essential to increase managerial competencies among farmers through increasing literacy, sufficient access of extension services, familiarity and infusion of advanced mechanisation and adequate access of formal credit through implementing adequate policy measures by concerned authorities of the state. [ABSTRACT FROM AUTHOR]

Cotton has major contribution among cash crops in provision of raw material to local textile industry, exporting cotton lint and livelihood of cotton farmers in Pakistan. Potential productivity in agriculture is possible with introduction of advanced mechanization, which is only feasible with financial injections in this sector. The study in hand has focused the role of credit in the cotton production of southern Punjab. Simple Random Sampling technique was used in the study for selecting the respondents in both districts of cotton area. Pre-tested questionnaire was developed for the collection of data 320 cotton farmers' respondents for the year of 2015-16 including 160-credit user and 160 non-credit users. The study employed stochastic production frontiers function for the empirical estimates of credit on cotton production. Empirical estimates of study have denoted, significant and positive coefficient of credit has positive impact on the production of cotton in both districts Rahim Yar Khan and Muzaffargarh. Credit can also play a significant role an increasing overall agriculture growth and particularly the cotton production of cotton areas. The lower mean technical efficiency in both study areas is 0.78 and 0.72 indicates cotton is not produced at potential level due to technical inefficiency of cotton farmers. Policy measures of the study will supportive to extenuating the problems concerning to small farming community in securing farming institutional credit. [ABSTRACT FROM AUTHOR]

In agrarian economies, agriculture considers a major source of population feeding, employing and coactive partner of industrial growth. The purpose of the study was to analyze technical efficiency of Bt and Non-Bt cotton farmers in two core cotton districts Muzaffargarh and Rahim Yar Khan of Punjab, Pakistan. In this study, the stochastic frontier approach was employed for empirical analysis and multiple stages random sampling technique used for data collection of 400 Bt and Non-Bt cotton farmers for the year of 2012-13. The results of the study have indicated Bt cotton farmers of both districts with higher technical efficiency score as more efficient than Non-Bt cotton farmer. Empirical findings specified a cropped area, seed, labor, fertilizer and irrigation were the significant variable of increasing cotton production of Bt farmers while pesticides, irrigation and extension services more significant in increasing the Non-Bt cotton farmers production. Age of farmers, educational status, credit access and agriculture extension services access have significantly and positively impacted while the shortage of irrigation negatively impacts in both districts Non- Bt and Bt cotton farmers technical efficiency. There is need of proper policy measure for overcome market imperfections regarding prices of cotton output and inputs and provision of adequate formal credit to use advance mechanization to increase cultivated area and rising productivity of the cotton crop. Application of adequate advanced technology and familiarity of expertise in farming practices can overcome inefficiencies in both districts with cultivating varieties of Bt and Non-Bt cottonseed. [ABSTRACT FROM AUTHOR]

The purpose of this study is to analyze the impact of formal Agricultural Credit on Agricultural Output (AGGDP). The relationship among agricultural output and agricultural formal credit, cropped area, labor force participating in the agriculture sector, trade openness has been quantified through various econometric approaches in the study. Autoregressive Distributed Lag (ARDL) Bound testing approach has been applied to analyze the long run cointegration among variables, obtaining annual time series data from 1973 to 2014. An empirical estimation of ARDL approach has indicated the evidence of long-run cointegration of model. Empirical findings of the study indicate positive (5.178151) and significant relationship between agriculture credit and agricultural output. Labor participating in agriculture has positive (14.98381) yet insignificant relation to agricultural output while trade openness has negative (-39.64926) and significant impact on agricultural output. Similarly, the relationship between cropped area and agriculture output is positive (114.1869) and significant. Vector Error Correction Model (VECM) has employed to explore short-run dynamics of agriculture production. Long run equilibrium stability has reaffirmed the short run empirical estimates. Lengthy formal credit procedure, political and bureaucratic influence and misallocation of credit utilization are major constraints in lowering overall agriculture output. Adequate farmer's friendly policies and proper legislative measures are necessary for the smooth flow of increasing agriculture output and overcoming financial constraints. [ABSTRACT FROM AUTHOR]