Contract renewal differentials of female- and male-owned farms in Ethiopia

This paper assesses the differentials in contract renewal behaviour between plots rented out by male and female land owners in Ethiopia, and the socio-cultural and economic factors that determine this behaviour.

The paper suggests that search and eviction costs as well as tenure insecurity are important determinants of contract renewal. Accordingly, female landowners’ higher tenure insecurity might discourage contract renewal. In addition, because the main agricultural activities are undertaken by men, there are tendencies in such settings to disregard the role of women as farmers. This, in turn, might undermine their landownership and weaken their bargaining position in the land lease market. For instance, female landlords may lack the power to evict tenants they deem unproductive.

The paper finds that tenure insecurity reduces the likelihood of contract renewal and landlord’s enforcement ability, while contract renewal is not less likely for plots leased out by female landlords. Also the findings show that female land owners exhibit significantly higher tendency to renew land contracts than their male counterparts. However, the paper figures that the source of contract renewal differential is owed to females’ lower bargaining power, and tenure insecurity.

The paper concludes that a full stride towards empowering rural women and in land rights requires their proper recognition as farmers. This would enable them to feel more tenure secure and enable them have better bargaining power in the land lease market.