In agricultural research and development (R&D), public-private partnerships are arrangements between public research organizations and universities and private sector entities such as agribusinesses, associations, and farmers’ organizations. Partners share authority, responsibility, and risks; jointly contribute resources and funding; and mutually benefit from the goods and services provided.The authors test the following hypotheses:
(1) The type of R&D partnership chosen depends on the way funds are allocated; which part of the agrichain the private partner is involved in; the type of research the partnership is aiming at; and the financial participation level and type of private partners involved.
(2) The private sector becomes actively involved in public-private partnerships only if there are clear prospects of profits, and the public sector provides funding or research resources to partnerships even though there may be no clear analysis or expectation of a positive social cost-benefit ratio.
(3) The good functioning of a partnership depends on internal leadership and effective internal monitoring and evaluation.