Factors affecting the technologies adoption intensity and effect in milk production in Minas Gerais, Brazil

Abstract

Brazilian milk production has increased over the last decade, mainly due to the adoption of technologies and yield gains. However, huge technological heterogeneity persists among farmers. This paper adopts a beta regression model to evaluate the factors influencing the intensity of adoption of milk production technologies by 271 dairy farms in Minas Gerais, the major milk-producing state in Brazil. The dependent variable is an index that measures the intensity of adoption of the most updated technologies in the milk production system. The set of technologies comprises all stages of the milk production system include feeding management, herd management, environmental management and controls, equipment, and facilities. The explanatory variables refer to farmer and farm characteristics, access to information and milk commercialisation channels. The results suggest that the adoption of technologies is positively influenced by access to information through radio, magazines, the Internet, field days and rural extension service. In addition, risk-taking behaviour of farmers and dependence on the supply chain also foster the adoption of technologies. Multiple correspondence analysis demonstrates the positive association of intensity technology adoption and milk productivity indicators. The results have implications for diffusion and technology-transfer programmes through policies or strategies by the industry and collective actions.