MobileActive.org

Can price information improve the functioning of rural markets in ways that benefit farmers? Beginning in October 2000, a private company established internet kiosks and warehouses that provide wholesale price information and an alternative marketing channel to soybean farmers in the central Indian state of Madhya Pradesh. Using a new market-level dataset with spatial geo-coded information, the estimates suggest a significant increase in the monthly wholesale market price of soybeans after the introduction of kiosks, lending support to the predictions of the theoretical model. Moreover, there is a robust increase in area under soy cultivation. The results suggest that information can enhance the functioning of rural markets by increasing the competitiveness of local buyers.

Uganda has experienced a rapid increase of area covered by mobile phone service. As the information flow increases due to the mobile phone coverage expansion, the cost in crop marketing is expected to decrease, particularly more so for perishable crops, such as bananas, in remote areas. The article uses panel data of 856 households in 94 communities, where the number of the communities covered by the mobile phone network increased from 41 to 87 communities over a two-year period between the first and second surveys in 2003 and 2005, respectively.

The authors find that the proportion of the banana farmers who sold banana increased from 50 to 69 percent in the communities more than 20 miles away from district centers after the expansion of the mobile phone coverage. For maize, which is another staple but less perishable crop, the authors find that mobile phone coverage did not affect market participation. These results suggest that mobile phone coverage expansion induces market participation of farmers who are located in remote areas and produce perishable crop.

The authors explore the impact of access to information on poor farmers' consumption. The analysis combines spatially coded data on mobile phone coverage with household panel data on farmers from some of the poorest areas of the Philippines.

Both the ordinary least squares and instrumental variable estimates indicate that purchasing a mobile phone has a large, positive impact on the household-level growth rate of per capita consumption. Estimates range from 11 to 17 percent, depending on the sample and the specification chosen.

The authors perform a range of reliability tests, the results of which all suggest that the instruments are valid. They also present evidence consistent with the argument that easier access to information allows farmers to strike better price deals within their existing trading relationships and to make better choices in terms of where they choose to sell their goods.

With globalization, small rural producers must compete in a competitive economic market. Due to their small size and limited financial capacity, they face significant challenges in doing so. We discuss the design and evaluation of two mobile phone based tools to help small producers achieve economies of scale and a quality premium.

These tools were developed using CAM, a camera-based mobile phone application framework specifically designed for the rural developing world. CAM DPS (Delivery Processing System) efficiently captures transactions between producers and cooperatives, in order to monitor remote inventory levels, and document the price paid to the producer. CAM RANDI (Representation AND Inspection tool) allows local inspectors to digitally capture the condition of farm parcels, using a combination of paper, text, audio and images. Using this data, rural producer cooperatives can improve their efficiency and monitoring, and ensure conformance with quality and certification standards. A preliminary evaluation suggests that these applications are accessible to target users and will serve a significant need.

Cell phones are quickly transforming markets in low-income countries. The effect is particularly dramatic in rural areas of sub-Saharan Africa, where cell phones often represent the fi rst development in telecommunications infrastructure. The twelve million residents of Niger, a landlocked country in West Africa, had 20,000 landlines—an estimated 2 landlines per 1,000 people—when mobile phones were fi rst introduced in 2001. Now Niger has almost 400,000 cell phone subscribers. Although the country still has the lowest rate of cell phone adoption in sub-Saharan Africa, cell phone coverage has had important implications for grain markets and hence welfare in the country.

When information is limited or costly, agents are unable to engage in optimal
arbitrage. Excess price dispersion across markets can arise, and goods may not be
allocated efficiently. In this setting, information technologies may improve market
performance and increase welfare. Between 1997 and 2001, mobile phone service
was introduced throughout Kerala, a state in India with a large fishing industry.
Using microlevel survey data, we show that the adoption of mobile phones by
fishermen and wholesalers was associated with a dramatic reduction in price
dispersion, the complete elimination of waste, and near-perfect adherence to the
Law of One Price. Both consumer and producer welfare increased.

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on development policy issues including health, natural resources, education and more. This issue focuses on micro-entrepreneurs in Nigeria, mobile ladies in Bangladesh, unequal gender relations in Zambia, getting beyond the three billion mark, mobile banking and poor households in Jamaica.

The positive implications of landline telecoms infrastructure and, more recently, of mobile communications on
economic growth in the developed world have long been acknowledged, with numerous studies analysing the
issue. Now that most of the developed world has reached high penetration levels of mobile phones, both current
growth patterns and future projections suggest that virtually all of the mobile industry’s new customers in the
coming years will come from developing countries. In fact, as of 2007, there were more mobile customers in
developing countries than in the entire developed world (ITU).
What impact are mobile phones having on developing countries and are user experiences and overall impacts
unique or similar to those of developed countries? While it might seem intuitive to just extrapolate from the results
of earlier studies in developed countries, the developing world is in fact leap-frogging the developed world when
it comes to mobile communication and its many uses. The implications of this technology on daily life in
developing countries appear to be more far-reaching than they were in the earlier developed country rollouts. For
example, studies have demonstrated that mobile technology is driving improvements in social links, the creation
of social capital, improved market information flows and productivity, as well as increases in GDP and Foreign
Direct Investment.
This report surveys recent research and highlights the top studies in this area based on content, relevance,
originality and credibility. While it is not an exhaustive and scientifically developed list, it illustrates the work that
we feel is most important at the moment and highlights key conclusions on the impact of mobile technology in
developing countries.
Further, while the existing research is valuable in understanding the impacts, the literature is still limited in its
coverage and scope. We therefore recommend additional research to expand evidence and knowledge, particularly
with respect to basic economic studies, prospective applications and the needs of users around financial services.
We also call on stakeholders such as mobile operators, governments, industry groups, foundations and
development organisations to play their part in improving information sharing, increasing research and driving
developments in these countries.
Finally, we provide information on additional research on impacts and policy issues, as well.

Internal control systems allow agricultural cooperatives
to monitor the growing practices of their members, ensuring
adherence to various standards for quality, and for meeting
external certification requirements. In this paper, we present
the motivation, design and evaluation of an automated mobile
data collection, evaluation and reporting tool for internal control
at a coffee cooperative. Our design goals were to improve the
efficiency of this process, and to increase the accountability of
various stakeholders. Based on a three-month pilot deployment,
we have demonstrated a 30% reduction in inspection time and
71% reduction in evaluation time, compared to the earlier paperbased
approach, which relied on several manual data collection
and information processing steps. We also present the results
of a qualitative evaluation of the system, including real field
experiences and the perceived benefits and drawbacks of the
automated system from the perspective of inspectors, farmers
and other stakeholders.

In many parts of the world, mobile phones are important devices that have proven to be the first
opportunity for many people to have access to telecommunications. Considering the possible
impact of this development in welfare, the main purpose of this research is to investigate how
important formal education is for using mobile phones in making production decisions.
Specifically, we will analyze if this kind of technology is employed for production decisions in
rural areas in Puno, a Peruvian department in the southern highlands, bordering Bolivia. In
our case, production comprises livestock and agriculture. One of the main results is that no
matter how educated people are; if education is of poor quality, it will not have a significant
impact on the probability of making an effective use of mobile phones.