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Author: Banda, Chimwemwe Publisher: Intl Food Policy Res Inst ISBN: Category : Political Science Languages : en Pages : 4
Book Description
If Malawi’s fertilizer subsidy program aims to increase food security in the country, it should strive to target the most productive farmers. Subsidy levels can be set to self-target this group of farmers. This would maximize output achieved with subsidized fertilizer and eliminate the need for costly and error-prone top-down targeting. Maximizing the productive capacity of the AIP In a previous policy note, we argued that by setting the farmer contribution to fertilizer subsidized under that Affordable Inputs Programme (AIP) so that farmer demand matches what the program can supply, the government can maximize the total amount of fertilizer available for distribution under the program (Banda et al.,2022). In this note, we argue that a second advantage of this pricing strategy is that it ensures that each subsidized bag of fertilizer has the largest possible yield response, thus maximizing the additional amount of food produced through the program.
Author: Banda, Chimwemwe Publisher: Intl Food Policy Res Inst ISBN: Category : Political Science Languages : en Pages : 4
Book Description
If Malawi’s fertilizer subsidy program aims to increase food security in the country, it should strive to target the most productive farmers. Subsidy levels can be set to self-target this group of farmers. This would maximize output achieved with subsidized fertilizer and eliminate the need for costly and error-prone top-down targeting. Maximizing the productive capacity of the AIP In a previous policy note, we argued that by setting the farmer contribution to fertilizer subsidized under that Affordable Inputs Programme (AIP) so that farmer demand matches what the program can supply, the government can maximize the total amount of fertilizer available for distribution under the program (Banda et al.,2022). In this note, we argue that a second advantage of this pricing strategy is that it ensures that each subsidized bag of fertilizer has the largest possible yield response, thus maximizing the additional amount of food produced through the program.
Author: Kurdi, Sikandra Publisher: Intl Food Policy Res Inst ISBN: Category : Political Science Languages : en Pages : 24
Book Description
As part of a national policy to ensure a certain level of food self-sufficiency in strategic crops, the government of Egypt subsidizes nitrogen fertilizer directly by distributing quotas of subsidized fertilizers to farmers and indirectly by subsidizing natural gas used by local fertilizer factories. The implication of this subsidy on farmers’ fertilizer demand and productivity remains unknown. Using a detailed agricultural survey collected from smallholder farmers in Upper Egypt, we show that nitrogen fertilizer application rates are substantially in excess of crop-specific agronomic recommendations. We exploit eligibility criteria and other sources of variation to show that farm plots with easier access to the subsidy tend to use more subsidized nitrogen fertilizer and less phosphate fertilizer. Easier access to the subsidy increases use of total nitrogen fertilizer per unit of land, mainly because of the increase in subsidized nitrogen fertilizer. In particular, the fertilizer subsidy program in Egypt is associated with significant overapplication of nitrogen fertilizer. Such overapplication of fertilizer is expected to adversely affect soil, water, and environmental health. Our findings have important policy implications for Egypt and other African countries known for input subsidy programs. As Egypt is currently moving on from the successful implementation of a comprehensive macroeconomic reform program towards sector-level reforms, our results suggest that eliminating fertilizer subsidies is a good place to start.
Author: Houssou, Nazaire Publisher: Intl Food Policy Res Inst ISBN: Category : Political Science Languages : en Pages : 44
Book Description
This paper assesses whether fertilizer subsidy programs can be better targeted to resource-poor farmers using the case of Ghana and proxy means test approaches. Past fertilizer subsidy programs in the country have not been particularly targeted to the poor, even as targeting poor and smallholder farmers has become key in the program implementation guidelines. As a result, many poor farmers have not benefited from past programs. Our results show that targeting approaches based on proxy means tests that use the correlates of poverty to select beneficiary farmers can potentially improve the poverty outreach and costeffectiveness of Ghana’s fertilizer subsidy programs. Therefore, we propose that the proxy means test approach should be considered for implementing Ghana’s fertilizer subsidy programs, first in a pilot project involving a few communities, and later, if found successful, in a full-scale program.
Author: Laura Tuck Publisher: World Bank Publications ISBN: 9780821338391 Category : Business & Economics Languages : en Pages : 152
Book Description
World Bank Discussion Paper No. 336. Discusses the influence of targeted credited intervention programs among participants and non-participants living in program areas and compares them with poverty situations of households in non-program areas. The data are randomly drawn from 1,800 households in Bangladesh from both areas. The analysis shows that it takes about five years for participants to rise above the poverty line and eight years to graduate from program eligibility.
Author: Sergio Gomez y Paloma Publisher: Springer Nature ISBN: 3030421481 Category : Agriculture Languages : en Pages : 253
Book Description
This open access book discusses the current role of smallholders in connection with food security and poverty reduction in developing countries. It addresses the opportunities they enjoy, and the constraints they face, by analysing the availability, access to and utilization of production factors. Due to the relevance of smallholder farms, enhancing their production capacities and economic and social resilience could produce positive impacts on food security and nutrition at a number of levels. In addition to the role of small farmers as food suppliers, the book considers their role as consumers and their level of nutrition security. It investigates the link between agriculture and nutrition in order to better understand how agriculture affects human health and dietary patterns. Given the importance of smallholdings, strategies to increase their productivity are essential to improving food and nutrition security, as well as food diversity.
Author: Afua Branoah Banful Publisher: ISBN: Category : Languages : en Pages : 26
Book Description
Despite their disappointing performance in the recent past, fertilizer subsidies have re-emerged as a tool in the agricultural strategies of many countries in Sub-Saharan Africa. The new paradigm for fertilizer subsidies calls for use of such mechanisms as vouchers to target benefits to poor smallholders and public-private partnerships to develop private markets. There is some belief that with these innovations, fertilizer subsidy programs will circumvent the deleterious consequences of the programs of the past. However, there has been a glaring lack of innovation in how to prevent politics from dominating the allocation of subsidy program benefits and exacerbating inefficiencies as was the experience in earlier programs. This paper studies how vouchers, which could be used towards the purchase of fertilizer, were distributed amongst districts in Ghana's 2008 fertilizer subsidy program. We find that politics played a significant role in the allocation of vouchers. Higher numbers of vouchers were targeted to districts that the ruling party had lost in the previous presidential elections and more so in districts that had been lost by a higher margin. A district received 2 percent more vouchers for each percentage point by which the ruling party had lost the previous presidential election - this amount is both statistically and numerically significant. The analysis also shows that district poverty levels, which should have been an important consideration in an economic efficiency motivated distribution, were not a statistically significant determinant of districts' voucher allocation. The evidence that vouchers were targeted to areas in which the opposition party received strong support is suggestive of the vouchers being used for vote-buying. This finding raises the caution that despite innovations in implementing fertilizer subsidies, politically motivated allocation of subsidy benefits remains a major potential source of inefficiency.
Author: Houssou, Nazaire Publisher: Intl Food Policy Res Inst ISBN: Category : Political Science Languages : en Pages : 36
Book Description
Despite improvements to the implementation regime of Ghana’s fertilizer subsidy program, this paper shows that considerable challenges remain in ensuring that the subsidy is targeted to farmers who need fertilizer the most. Currently, larger-scale and wealthier farmers are the main beneficiaries of subsidized fertilizer even though the stated goal is to target smallholder farmers with fertilizer subsidies. The experience of other African countries suggests that the effectiveness of fertilizer subsidies can improve with effective targeting of resource-poor smallholders. However, targeting smallholder farmers entails significant transaction costs and may even be infeasible in some cases. Faced with such challenges, Ghanaian policy makers must ponder the question of how to improve the targeting of input subsidy programs in the country. Further research is needed to identify more cost-effective approaches for achieving the goal of targeting.
Author: Banda, Chimwemwe
Author: Banda, Chimwemwe
Author: Kurdi, Sikandra
Author: Houssou, Nazaire
Author: Laura Tuck
Author: Ephraim Chirwa
Author: Gene T. Harris
Author: Sergio Gomez y Paloma
Author: Afua Branoah Banful
Author: Houssou, Nazaire
Author: Kathy Amanda Lindert