Assessing the Economic Potential of Public-Private Partnerships (PPPs): An Ex-ante Cost-Benefit Analysis for Agricultural R&D in Southern Philippines

Lemuel S. Preciados, David Hall


With the growing emphasis on reducing costs within the government, it is increasingly important for public research institutions to adopt more cost effective approaches for the provision of public services, while at the same time aiming to enhance the use of innovations and research outputs to reduce poverty and improve the livelihoods of more people. Public-private partnerships in agricultural R&D have been recognized as an effective method to address these issues. This paper has examined the cost and benefits of public-private partnerships (PPPs) in agricultural research and development. With the assumptions on the benefits of PPP based on literatures and case studies reviewed, the results of the cost-benefits analysis suggest positively higher returns to the investment in collaborative research (With PPP) when compared with non-collaborative research (Without PPP). The technology adoption scenarios have also shown that the estimates of the increase of adoption rates and the earlier adoption expectation are highly relevant and significant for getting a higher return on the investment. The analysis concludes that the inclusion of the private sector in public research and development initiatives in agricultural R&D can generate higher welfare benefits that have the potential to provide positive net benefits and bigger impact for the agencies working in the research partnerships.


“With and Without PPP”, Impact Assessment, Australian Centre for International Agricultural (ACIAR)


Alston, J., Norton, G. & Pardey P. (1995). Science Under Scarcity: Principles and Practice For Agricultural Evaluation and Priority Setting, Ithaca, New York: Cornell University Press.

Australian Centre for International Agricultural (2015). ACIAR. [Online] Available at: [Accessed 2015].

Baxter, L. (2013). Constructing A Theoretical Model of Public-Private Alliance Establishment in Official Development Assistance Program

Campbell, H. & Brown R. (2003). Benefit-Cost Analysis: Financial and Economic Appraisal Using Spreasheets. Cambridge University Press. United State of America

Cargani, M. & Kherallah, M. (2014). IFAD and public-private partnerships: Selected project experiences, s.l.: International Fund for Agricultural Development (IFAD).

Hartwich, F. et al. (2007). Building Public–Private Partnerships for

Agricultural Innovation.. s.l.:International Food Policy Research Institute (IFPRI).

Hodge, G. & Greve, C. (2007). Public-Private Partnerships: An International Performance Review. Public Administration Review, June.

Ion, Alison, Kristin Beyard, and Santiago Sedaca. (2014). Trends in Public-Private Partnerships (PPPs) and Inclusive Business Models (IBMs) for Improving Food Security and Rural Development through Agriculture. Carana Corporation for the Food Systems Innovation Inititiative.

McClintock, A., Preciados, L., Orr, L. & Bulayog, M. S. (2012). Economic Impacts of Protected Cropping Technology, s.l.:Economic Series Report No.48, NSW Trade and Investment.

Norton, G. & Hautea, D. (2009). Projected Impacts of Agricultural Biotechnologies for Fruits & Vegetables in the Philippines & Indonesia: International Service for the Acquisition of Agri-biotec Applications and the SEAMEO Southest Asian Regional Center for Graduate Study and in Agriculture.

Oakshott J. and Hall D. (eds) (2013). Smallholder HOPES – Horticulture,

people and soil. ACIAR Proceedings 139. Australian Centre for International Agricultural Research: Canberra. 298pp.

Preciados, L. S., Bulayog, M. S. B., &. Notarte, A. (2013). Ex-ante impact assessment of the adaoption of IPM strategies for mango in Region XI of the southern Philippines. Cebu, ACIAR, pp. 226-233.

Preciados, L. S., Bulayog, M. S. B., Borines, L. & Guadaquever, G. (2013). Ex-Ante Impact Assessment of Phytophthora disease control for Jackfruit in Region VIII, Southern Philippines. Cebu, ACIAR, pp. 234-241.

Rogers, G. et al. (2013). Development of a cost-effective protected cropping system in the Southern Philippines and Australia, Australia: ACIAR ABN 34 864 955 427.

Spielman, D., Hartwich, F. & Greber, v. K. (2007). Public-Private Partnerships in INternational Agricultural , s.l.:International Food Policy Institute Brief

WorldBank (2003). The CGIAR at 31:An independent meta-evaluation of the consultative group on international agricultural research, Washington, D.C.:World Bank

Full Text: JEHRD 001


  • There are currently no refbacks.