1 Chuka University College, P. O. Box 109, Chuka, Kenya

2 Egerton University, P. O. Box 536, Egerton, Kenya


The purpose of this study was to investigate the role of extension services in enhancing effectiveness of out growers’ credit system in Kisumu County, Kenya. The study specifically sought to determine whether public and private extension services play a significant role in enhancing effectiveness of out-growers’ credit system among smallholder sugarcane farmers. A total of 110 small scale farmers were randomly selected for the study. A closed ended questionnaire was used to collect data from farmers. Both descriptive and inferential statistics were used for data analysis. The findings indicated that both public and private extension services were insignificant in enhancing effectiveness of out growers’ credit system. Further, the findings indicated that there was no significant difference between public and private sector in provision of extension services. The findings suggest that for out growers’ credit system to be effective in terms of creation of awareness about credit, accessibility, timely supply of credit, supervision of credit and provision of extension advice on credit utilization, both public and private extension services should be intensified and coordinated to avoid duplication. The results also suggest that sugarcane factory extension division should be strengthened just like in the coffee and tea sub-sectors.


1- Agbamu, I. U. (2005). 'Problems and Prospectsof Agricultural Extension Services in DevelopingCountries.' In: Adedoyin, S. F. (ed) op cit Pp 159-169.
2- Agribusiness Development Support Project, (2001).Annual Report. Kisumu: Lagrotech Limited.
3- Akroyd, S., & Smith, L. (2007). The Decline inPublic Spending to Agriculture – Does it Matter?Briefing Note, No. 2, Oxford Policy ManagementInstitute, Oxford. [Pubmed]   
4- Anderson, J. R. (2007). Agricultural Advisory Services.Background Paper for the World DevelOpmentReport 2008.
5- Chitere, P. A. (1995). Extension Education andFarmers Performance in Improved Crop Farming inKakamega District (Kenya). Agricultural Administration.18: 39-57. [DOI via Crossref]   
6- Economic Survey (2007). Central Bureau of Statistics.Ministry of Planning and National Development.Government of Kenya. 2007.
7- Food and Agriculture Organization. (1997). Effectivenessof Agricultural Extension Services inreaching Rural Women in Africa, Volume 2. Italy,Rome: FAO.
8- Gautam, M. & Anderson, J. R. (1999). Reconsideringthe Evidence on Returns to T&V Extension inKenya. Policy Research Working Paper 1098, theWorld Bank, Washington D. C.
9- Guda, E., Otieno, L.O., Ko'bonyo, P., Okumu,B., Ohito, D., Odera, J., Ogallo, O.S., Rasugu, O.,& Odudo, J. (2001). Business and Investment Insight:(Abstract). Maroko Investments Advisory ServicesPublications.
10- Government of Kenya. (2005). Review of theNational Agricultural Extension Policy (NEAP) andits Implementation. Volume II – Main Report andAnnexes. Ministry of Agriculture and Ministry ofLivestock and Fisheries Development. Nairobi.
11- KESREF (2007). Kenya Sugar Research Foundation.Strategic Plan 2009-2014.
12- Khasiani, C. (1992). Towards Legitimisation ofAfrican Women Indigenous Knowledge in NaturalResource Management. Award News Kenya: IssueNumber 4. December, 1993.
13- Kibet, J. K., Omunyinyi, M. E., & Muchiri, J.(2005). Elements of Agricultural Extension Policy inKenya. Challenges and Opportunities. African CropScience Conference Proceedings. 7: 1491 - 1494.
14- Koyenikan, M. J. (2008). Issues for AgriculturalExtension Policy in Nigeria. International Journalof Agricultural Extension. 12:51-61.
15- Madhur, G. (2000). Agricultural Extension: TheKenya Experience, an Impact Evaluation. WashingtonD. C: The World Bank.
16- Mbata, J. N. (1991). Agricultural Credit Schemein Nigeria, A Comparative Study of the Supervisedand Non- Supervised Agricultural Credit Scheme asa Tool for Agricultural Development in Rivers StateNigeria. Discovery and Innovation. (Abstract).
17- Milu, M., & Jayne, T.S. (2006). AgriculturalExtension in Kenya: Practice and PolicyLessons.Tegemeo Institute of Agricultural Policy and Development,Egerton University.
18- Nambiro, E., Omiti, J., & Mugunieri, L., (2005).Decentralization and Access to Agricultural ExtensionServices in Kenya. SAGA Working Paper.
19- Ogunsumi, L.O. (2004). Analysis of SustainedUse of Agricultural Technologies on Farmers' Productivityin Southwest, Nigeria. Ph.D. Dissertation,Department of Agricultural Economics and Extension,Federal University of Technology, Akure, Nigeria.
20- Owuor, G. (2002). The Effect of Financial SelfhelpGroups Credit on Agricultural Production, ACase of Ukwala Division in Siaya District. (UnpublishedMSc Thesis), Njoro: Egerton University.
21- Rees, D. M., Wekundah, F., Ndungu, J., Odondi,A.O., Oyure, D., Andima, M., Kamau, J., Ndubi, F.,Musembi, Mwaura, L., & Joldersma, R. (2000).Agricultural Knowledge and Information in Kenya-Implications for technology dissemination and development.ODI Agricultural Research and ExtensionNetwork Paper (Abstract).
22- Wangia, C. (2001). Micro- Finance Experiencein Kenya. In: Anandajayasekeram, Dixon, Kashuliza,Ng'anjo, Tawonezvi, Torkelsson, Wanzira (Eds).Micro – Finance Experience of FARMESA MemberCountries in East and Southern Africa. Farmesa,Harare, Zimbabwe.
23- World Bank. (1992). Trends in Agricultural Diversification:Regional Perspectives. Technical PaperNo. 180, Washington D.C: World Bank.
24- World Bank (2007). World Development Report2008: Agriculture for Development, World BankWashington D.C.