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Abstract
Enhancing farmers’ incomes through the utilisation of improved agricultural technologies is an
important step towards poverty eradication among rural households in developing countries. Using
empirical data from small-scale Arabica coffee farmers in Manafwa district in Uganda, this paper
assesses the effect of integrated pest management (IPM) on net coffee revenue. The study also estimates
the rural income multiplier of IPM adoption. After controlling for endogeneity and selection bias, we
found that the multiplier effect of IPM use is positive and significant. The increase in income arising
from the use of IPM leads to a more than proportional increase in demand for farm non-tradable and
non-farm non-tradable commodities. Hence, coffee farming with IPM has a higher rural income
multiplier than conventional coffee farming. These findings provide evidence that the incomes of
smallholder coffee farmers and rural community economies can be raised through the use of
production technologies that are less environmentally invasive than conventional coffee-growing
technologies.