Food marketing margins during the COVID-19 pandemic: Evidence from vegetables in Ethiopia PDF Download

Author: Hirvonen, Kalle
Publisher: Intl Food Policy Res Inst
ISBN:
Category : Political Science
Languages : en
Pages : 16

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Book Description
It is widely feared that the COVID-19 pandemic will lead to a significant worsening of the food security situation in low and middle-income countries. One reason for this is the disruption of food marketing systems and subsequent changes in farm and consumer prices. Based on primary data in Ethiopia collected just before the start and a few months into the pandemic, we assess changes in farm and consumer prices of four major vegetables and the contribution of different segments of the rural-urban value chain in urban retail price formation. We find large, but heterogeneous, price changes for different vegetables with relatively larger changes seen at the farm level, compared to the consumer level, leading to winners and losers among local vegetable farmers due to pandemicrelated trade disruptions. We further note that despite substantial hurdles in domestic trade reported by most value chain agents, increases in marketing – and especially transportation – costs have not been the major contributor to overall changes in retail prices. Marketing margins even declined for half of the vegetables studied. The relatively small changes in marketing margins overall indicate the resilience of these domestic value chains during the pandemic in Ethiopia.

Author: Abay, Kibrom A.
Publisher: Intl Food Policy Res Inst
ISBN:
Category : Political Science
Languages : en
Pages : 46

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Book Description
We assess the impact of Ethiopia’s flagship social protection program, the Productive Safety Net Program (PSNP) on the adverse impacts of the COVID-19 pandemic on food and nutrition security of households, mothers, and children. We use both pre-pandemic in-person household survey data and a post-pandemic phone survey. Two thirds of our respondents reported that their incomes had fallen after the pandemic began and almost half reported that their ability to satisfy their food needs had worsened. Employing a household fixed effects difference-in-difference approach, we find that the household food insecurity increased by 11.7 percentage points and the size of the food gap by 0.47 months in the aftermath of the onset of the pandemic. Participation in the PSNP offsets virtually all of this adverse change; the likelihood of becoming food insecure increased by only 2.4 percentage points for PSNP households and the duration of the food gap increased by only 0.13 months. The protective role of PSNP is greater for poorer households and those living in remote areas. Results are robust to definitions of PSNP participation, different estimators and how we account for the non-randomness of mobile phone ownership. PSNP households were less likely to reduce expenditures on health and education by 7.7 percentage points and were less likely to reduce expenditures on agricultural inputs by 13 percentage points. By contrast, mothers’ and children’s diets changed little, despite some changes in the composition of diets with consumption of animal source foods declining significantly.

Author: Hirvonen, Kalle
Publisher: Intl Food Policy Res Inst
ISBN:
Category : Political Science
Languages : en
Pages : 48

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Book Description
We combine in-person survey data collected in February 2020 (i.e., just before the pandemic was declared) with phone survey data collected in March 2021 (i.e., one year into the pandemic) and August 2021 (i.e., approximately 18 months into the pandemic) to study how vegetable value chains in Ethiopia have coped with the COVID-19 pandemic. Focusing on the major vegetable value chain connecting farmers in East Shewa zone to consumers in Addis Ababa, we applied a cascading survey approach in which we collected data at all levels of the value chain: vegetable farmers, urban wholesalers, and retailers.

Author: McDermott, John
Publisher: Intl Food Policy Res Inst
ISBN: 0896294226
Category : Political Science
Languages : en
Pages : 200

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Book Description
Two years after the onset of the COVID-19 pandemic, the health, economic, and social disruptions caused by this global crisis continue to evolve. The impacts of the pandemic are likely to endure for years to come, with poor, marginalized, and vulnerable groups the most affected. In COVID-19 & Global Food Security: Two Years Later, the editors bring together contributions from new IFPRI research, blogs, and the CGIAR COVID-19 Hub to examine the pandemic’s effects on poverty, food security, nutrition, and health around the world. This volume presents key lessons learned on food security and food system resilience in 2020 and 2021 and assesses the effectiveness of policy responses to the crisis. Looking forward, the authors consider how the pandemic experience can inform both recovery and longer-term efforts to build more resilient food systems.

Author: Hirvonen, Kalle
Publisher: Intl Food Policy Res Inst
ISBN:
Category : Political Science
Languages : en
Pages : 15

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Book Description
As in most low and middle-income countries, the paucity of timely economic data in Ethiopia makes it difficult to understand the economic impacts of the COVID-19 pandemic. To mitigate this, several organizations have launched phone surveys to gather more information about the crisis. This research report reviews the available phone survey evidence as of mid-August 2020 and identifies knowledge gaps. First, the available evidence suggest that the pandemic has not led to unusually large increases in food prices. However, a case study in the vegetable sector suggests that price dynamics are highly context and crop specific, calling for more comprehensive price monitoring to identify food value chains and areas where food price increases may have been unusually rapid. Second, employment losses have concentrated on informal sector workers while redundancies in the formal sector have been less significant. Third, there is considerable uncertainty about the income, poverty, and food security implications of this crisis. While most households report income losses, the qualitative and subjective nature of these questions meanthat the magnitudes of these losses are unknown. In Addis Ababa, less subjective food security measures indicate only small negative changes in household food and nutrition security. Finally, due to limited access to mobile phones in rural areas, we have imperfect and incomplete information on how this crisis is affecting rural households.

Author: Amare, Mulubrhan
Publisher: Intl Food Policy Res Inst
ISBN:
Category : Political Science
Languages : en
Pages : 44

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Book Description
This paper combines pre-pandemic face-to-face survey data with follow up phone surveys collected in April-May 2020 to quantify the overall and differential impacts of COVID-19 on household food security, labor market participation and local food prices in Nigeria. We exploit spatial variation in exposure to COVID-19 related infections and lockdown measures along with temporal differences in our outcomes of interest using a difference-in-difference approach. We find that those households exposed to higher COVID-19 cases or mobility lockdowns experience a significant increase in measures of food insecurity. Examining possible transmission channels for this effect, we find that COVID-19 significantly reduces labor market participation and increases food prices. We find that impacts differ by economic activities and households. For instance, lockdown measures increased households' experience of food insecurity by 12 percentage points and reduced the probability of participation in non-farm business activities by 13 percentage points. These lockdown measures have smaller impacts on wage-related activities and farming activities. In terms of food security, households relying on non-farm businesses, poorer households, those with school-aged children, and those living in remote and conflicted-affected zones have experienced relatively larger deteriorations in food insecurity. These findings can help inform immediate and medium-term policy responses, including social protection policies aiming at ameliorating the impacts of the pandemic, as well as guide targeting strategies of governments and international donor agencies by identifying the most impacted sub-populations.

Author: Sitko, N., Knowles M., Viberti, F., Bordi, D.
Publisher: Food & Agriculture Org.
ISBN: 9251353395
Category : Technology & Engineering
Languages : en
Pages : 69

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Book Description
In this paper we focus specifically on differences in the welfare impacts of COVID-19 on rural livelihoods between countries using nationally representative data that we disaggregate by food system typology. This typology captures key structural differences in the organization of rural economies and the vulnerabilities to rural livelihoods due to the COVID-19 pandemic and associated lockdown measures. In particular, we draw on household survey data collected from 54 countries through the World Bank’s COVID-19 High Frequency Monitoring Dashboard to generate descriptive data on COVID-19 impacts in rural areas across three dimensions: income, coping strategies and food security. These descriptive data are disaggregated into four food system categories and contextualized and validated through a systematic review of rigorous, survey-based studies of COVID-19 impacts in rural areas. Through this analysis, the report provides insights on how COVID-19 is influencing rural livelihoods, how its impacts vary between countries and food system typologies, and, ultimately, how policymakers and the international community need to respond in order to foster an inclusive and sustainable recovery.

Author: Amare, Mulubrhan
Publisher: Intl Food Policy Res Inst
ISBN:
Category : Political Science
Languages : en
Pages : 47

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Book Description
This paper uses comprehensive and long time series monthly food price data and a panel dyadic regression framework to evaluate the impact of the COVID-19 pandemic and associated policy responses on spatial market integration across a diverse set of food items in Nigeria. The empirical results reveal several important insights. First, we show that a significant slowdown in the speed of adjustment and price transmission occurred during the pandemic. For some food items, the speed of adjustment and, by implication, spatial market integration weakened by two- to-threefold after the pandemic outbreak. The effect was specially pronounced for perishable food items. Second, lockdown measures and the spread of the pandemic triggered additional dispersion in market prices across markets. For example, lockdown measures were associated with a 5–10 percent reduction in the speed of readjustment toward long-term equilibrium. Third, additional underlying attributes of markets, including lack of access to digital infrastructure and distance between markets, exacerbated impacts associated with the pandemic. For instance, access to Internet service reduced the slowdown in the speed of adjustment caused by the pandemic, but longer distances between market pairs induced greater slowdown in the speed of price transmission. Our findings offer important insights for revitalizing the efficiency of food markets affected by the pandemic. The heterogenous impacts of the pandemic across value chains and markets reinforce the need to properly target post-pandemic recovery interventions and investments. Finally, we offer some insights to reduce the vulnerability of food and market systems to disruptions in future pandemics or similar phenomena that inhibit food marketing and trade.

Author: Claire Kremen
Publisher: Frontiers Media SA
ISBN: 2832539645
Category : Technology & Engineering
Languages : en
Pages : 323

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Book Description
The global coronavirus pandemic is revealing major weaknesses, inequities and system-wide risks in global food systems, giving renewed urgency to foster pathways to greater food system sustainability and resilience. Due to rising unemployment, supply chain disruptions and other responses to the pandemic, such as disruptions to social assistance programs in some countries, predictions suggest a near doubling of food insecurity globally. Nutritional changes are also occurring, as food availability and access changes, leading to substitution of dry, canned or processed foods for healthier, fresh ingredients, for some communities, and the reverse for others. These food security and nutritional changes are likely to be as impactful on human health as the virus itself. As a system-wide shock, the pandemic reveals weaknesses of global supply chains. The media highlighted empty supermarket shelves alongside food dumping in situations where producers locked into disappearing food service outlets were unable to access new markets. Farmers with long-standing reliance on migrant agricultural labor that can no longer travel across international borders under lockdown struggle to access support for the upcoming harvest season. The pandemic highlights well-known inequities for marginalized food systems employees; as essential workers are exposed to greater risks of contracting the virus in food-processing, agricultural and grocery store settings, but have little choice in accepting these conditions in order to keep these low-paying jobs. The pandemic reinforces another well-known food system inequity: marginalized and impoverished minorities often suffer from diet-related diseases (i.e. cardiovascular diseases, diabetes) and/or malnutrition that place them at greater risk of morbidity and mortality from the coronavirus. Lockdowns and border closures are reducing economic opportunities such as day labor and agricultural markets in some regions, such as much of Africa; ensuing risks of food and nutrition insecurity for vast segments of the population threaten to set back development, increase social conflict, and catalyze migration. Finally, the current pandemic shines a spotlight on the systemic risk of infectious diseases to emerge and become globalized through local bushmeat markets and international wildlife trade, and how wildlife hunting and trade is influenced by land use changes, including by industrial agriculture. At the same time, adaptive responses to the coronavirus illustrate how more resilient and sustainable food systems could evolve going forward. To avoid supply chain disruptions, communities are increasing their reliance on local food systems, including an increase in urban gardening and community-supported agriculture programs. Small-scale farmers are innovating to connect with buyers and with each other, including through new online marketing initiatives. Entrepreneurs are identifying foods that would otherwise be wasted and directing them to food banks. Retailers and wholesalers are re-configuring their distribution networks to shift food to where it is needed most. Food pantries, local producers and food businesses are also collaborating with municipal governments to address food security gaps arising from COVID-19 impacts.

Author: Food and Agriculture Organization of the United Nations
Publisher: Food & Agriculture Org.
ISBN: 9251344302
Category : Technology & Engineering
Languages : en
Pages : 60

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Book Description
The assessment presented in this report uses livelihood survey data collected by the Food and Agriculture Organization of the United Nations (FAO) from June to November 2020 in 11 highly food insecure countries. These efforts have led to the assembly of the survey data into one of the largest datasets so far used to look at coronavirus disease 2019 (COVID-19)-related impacts on rural and agricultural livelihoods. It contributes to the growing body of evidence by focusing specifically on agricultural households, and sheds new light on the impact of COVID-19 and other shocks on the lives and livelihoods of these households. All countries selected appear in the list of “food crisis countries” published annually by the multi-agency Food Security Information Network (FSIN). These countries are Afghanistan, Central African Republic, Colombia, Democratic Republic of the Congo, Liberia, Mali, Niger, Sierra Leone, Somalia, Yemen and Zimbabwe.This report shows that the enforcement of COVID‑19‑related restrictions has reduced the incomes of agricultural producers as well as their food security with an impact comparable to that of major shocks, such as conflict or natural disasters. The overall decrease in income was particularly high for vegetable and fish producers whose products are highly perishable, highlighting how movement restrictions and consequent transportation delays of agricultural goods affected these groups the most, causing severe losses that could not be compensated once restrictions were lifted. Livestock producers were also among the most severely affected by the restrictions, however the impact for many of them has been cushioned though either delayed sales or through asset depletion, which can lead to a cycle of poverty. As the pandemic and associated restrictions continue, both supply and demand‑side measures are necessary.This report is made possible by the support of the American People through the United States Agency for International Development (USAID). The contents of this report are the sole responsibility of FAO and do not necessarily reflect the views of USAID or the United States Government.