Addressing the Plight of Poor Households by Zero-Rating Value Added Tax on Basic Commodities In Namibia

Difficult economic times began for Namibia in 2008 as real economic growth suddenly dropped to 4.3 per cent from the 5.5 per cent recorded in 2007. There were also wide fluctuations in the general level of prices of goods and services, including food commodities. Cost-of-living inflation rose to a high of 10.4 per cent from a low of 2.3 per cent in 2003 and unemployment rates were high, well in excess of 50 per cent; thus many households faced an increasing cost of living without reliable sources of income. The unfavourable circumstances of these households were exacerbated by inauspicious climatic and soil conditions, which greatly limit the role of subsistence farming as a viable source of livelihood in many parts of the country. In order to mitigate the impact of rising food prices and address food security concerns, the government decided to increase from eight to fourteen the number of basic commodities (foodstuffs and services) that had zero-rated value added tax (VAT) in 2000, as a means of improving access to basic foodstuffs and services needed for daily survival, particularly for the poor. This paper offers an ex-ante analysis of how the zero-of rating VAT on these basic commodities affected the well-being of poor households. We use data from the 1993/94 and 2003/04 National Household Income and Expenditure Survey and a mini survey conducted in 2009 to determine the consumption patterns of these commodities. The VAT burden lifted is determined and disaggregated by income decile. The analysis reveals that, contrary to expectations, rich households are more likely to benefit from VAT zero-rating than poor households. The findings of the study make it plausible to conclude that the zero-rating of VAT on basic commodities in 2000 and 2008 did not adequately target the commodities that the poor consume in large quantities and that they acquire in formal markets; hence the measure is unlikely to bring additional benefits to the poor. The government might have to reconsider the choice of VAT zero-rated commodities and include those that are consumed mostly by the poor and acquired in formal markets, while simultaneously strengthening and expanding other schemes such as social transfers which would benefit the poor disproportionately. (...)Addressing the Plight of Poor Households by Zero-Rating Value Added Tax on Basic Commodities In Namibia

Macroeconomic effects of disruptions in global food commodity markets

We use two approaches to examine the macroeconomic consequences of disruptions in global food commodity markets. First, we embed a novel quarterly composite global production index for the four basic staples (corn, wheat, rice and soybeans) in a standard vector autoregression (VAR) model, and we estimate the dynamic effects of global food commodity supply shocks on the US economy. As an alternative, we also estimate the consequences of thirteen narratively identified global food commodity price shocks. Both approaches deliver similar conclusions. Specifically, an unfavorable food commodity market shock raises food commodity prices, and leads to a rise in food, energy and core inflation, and to a persistent fall in real GDP and consumer expenditures. A closer inspection of the pass-through reveals that households do not only reduce food consumption. In fact, there is a much greater decline in durable consumption and investment. Overall, the macroeconomic effects turn out to be a multiple of the maximum impact implied by the share of food commodities in the consumer price index and household consumption

Addressing the plight of poor households by zero-rating value added tax on basic commodities in Namibia

Difficult economic times began for Namibia in 2008 as real economic growth suddenly dropped to 4.3 per cent from the 5.5 per cent recorded in 2007. There were also wide fluctuations in the general level of prices of goods and services, including food commodities. Cost-of-living inflation rose to a high of 10.4 per cent from a low of 2.3 per cent in 2003 and unemployment rates were high, well in excess of 50 per cent; thus many households faced an increasing cost of living without reliable sources of income. The unfavourable circumstances of these households were exacerbated by inauspicious climatic and soil conditions, which greatly limit the role of subsistence farming as a viable source of livelihood in many parts of the country. In order to mitigate the impact of rising food prices and address food security concerns, the government decided to increase from eight to fourteen the number of basic commodities (foodstuffs and services) that had zero-rated value added tax (VAT) in 2000, as a means of improving access to basic foodstuffs and services needed for daily survival, particularly for the poor. This paper offers an ex-ante analysis of how the zero-of rating VAT on these basic commodities affected the well-being of poor households. We use data from the 1993/94 and 2003/04 National Household Income and Expenditure Survey and a mini survey conducted in 2009 to determine the consumption patterns of these commodities. The VAT burden lifted is determined and disaggregated by income decile. The analysis reveals that, contrary to expectations, rich households are more likely to benefit from VAT zero-rating than poor households. The findings of the study make it plausible to conclude that the zero-rating of VAT on basic commodities in 2000 and 2008 did not adequately target the commodities that the poor consume in large quantities and that they acquire in formal markets; hence the measure is unlikely to bring additional benefits to the poor. The government might have to reconsider the choice of VAT zero-rated commodities and include those that are consumed mostly by the poor and acquired in formal markets, while simultaneously strengthening and expanding other schemes such as social transfers which would benefit the poor disproportionately

Cluster potensi kabupaten/kota di indonesia dalam pengembangan komoditas tanaman pangan dan hortikultura

Indonesia is an agricultural country which makes the agricultural sector has an important role on the national economy. Agricultural sector contribution to GDP in 2014 reached 14.43% (BPS 2014). The agricultural sector in addition to meet domestic food needs, also as revenue (income) countries in the event of surplus production. Dependency on food imports (food trap) as a result of agricultural productivity in the country that tend to slow down, causing the amount of imports increased. Major food sectors supporting Indonesia in 2014 experienced a trade deficit. Food crops sector deficit of US $-7.45 billion, US$ -1.12 billion horticulture and animal husbandry had a deficit of US $ -3.2 billion. Efforts to increase the production of food crops and horticulture, in order to reduce dependence on food imports (food trap), can be done if the government knows the potential of the area. Potential agricultural commodities in the area can be identified by looking at the potential of the resemblance. Policies in agriculture, especially food crops and horticulture can be focused on areas of potential. Potential agricultural commodities can be identified as a group by using clustering analysis (cluster analysis). The group formed show similarity characteristics of the region with other regions in the group. One method used cluster is a top-down clustering (k-means). Regency/city which is the object of research there are as many as 511. The commodities which are used as variables are sorghum, rice, soybeans, corn, cassava, peanuts, potatoes, onions, garlic, peppers, oranges, grapes and apples. The initial selection of potential areas obtained 268 regency/city which has a minimum of one commodity production of 13 commodities above the average production of the Regency/City. The using of cluster analysis towards 268 regency/city can get the best cluster formation, with a look at the value of the standard deviation in the cluster (Sw) is the smallest and the standard deviation between clusters (Sb) are optimum or value Sw/Sb smallest. Results of processing by performing eight times the simulation group, the smallest value in the number of clusters formed by 7 clusters in the amount of 0569, with Sw = 65 229.90 and Sb = 114 707.55. This result makes the grouping as many as seven clusters is considered as the best grouping at k-mean method. The clusters which are formed first (I) as many as 154 regency/city, Cluster II by 2 regency/city, cluster III in 1 regency/city, cluster IV as many as 8 regency/city, cluster V as many as 24 regency/city, cluster VI 75 regency/city, cluster VII as well as 4 regency/city. Each cluster has a dominant characteristic commodities. Sector basis or featured on the cluster formed in food crops and horticulture, can be performed using Location Quotient (LQ). Seventh clusters are formed which became the basic sector of food crops and horticulture to the value Location Quontien (LQ)> 1. Cluster I commodities to the value of LQ> 1 are paddy, maize, potato, citrus, apples and grapes. Cluster II superior commodities are maize, cassava, peanuts, garlic, peppers and grapes. Cluster III with commodity cassava. Cluster IV commodities superior are soybean, maize, cassava, peanuts, potatoes, peppers and apples. Cluster V commodities are sorghum, rice, soybeans, onions, peppers, oranges and apples. Cluster VI main commodities are sorghum, rice, soybeans, corn, peanuts, potatoes, onion, garlic and chilli. While commodities cluster VII with cassava, peanuts and chilli. Zoning strategy based cluster formed by using Klassen typology. The growth of food crops and horticulture at the rate of progress and grow faster than 13 commodities there are 6 commodities, namely on cluster I; rice and corn. Cluster II commodities cassava. Cluster III commodities cassava and rice. Cluster IV with maize, cassava and chili. Cluster V with paddy and apples. Cluster VI has commodities as rice, corn and onions. Cluster VII only commodity cassava. While six commodities which are lagging behind growth; sorghum, potatoes, soybeans, peanuts, oranges and grapes. The main obstacle in getting food crops and horticulture which leads to low productivity due to plant pests, high operational costs, climate, soil conditions and natural disasters

EVALUATING SUPPORT TO AGRICULTURE IN SOUTH AFRICA: THE CALCULATION OF NET PROTECTION COEFFICIENTS (NPCS)

The Effective Protection Ratio (EPR) is used in this study as a measure of the impact of policy distortions on agricultural producers. The results of the EPR analysis show that in 1995, most of the interventions supporting agricultural production have disappeared, particularly if the production is aimed at the domestic market. This holds for basic grains and oilseeds, as well as other products such as potatoes, cotton and tobacco, across all regions. Beef cattle and sheep production is also not being favoured by support in any of the regions. On the contrary, a number of commodities are effectively being taxed.Agricultural and Food Policy,

THE FOOD CONSUMER IN THE 21ST CENTURY: NEW RESEARCH PERSPECTIVES

A far more complex set of factors are now driving food consumption patterns in high-income countries than economists have traditionally analyzed in demand studies. Food consumers have moved up Maslow's hierarchy of needs pyramid from satisfying basic physiological needs. If the traditional focus was on quantity demands for homogenous commodities, attention needs to increasingly be given to the demand for quality-differentiated food products. Although the income elasticity in terms of quantity may be low, the elasticity for many food attributes, such as nutrition and health, safety, convenience, and diversity, are quite high. Where people buy food, the form in which they buy and where they eat it are all changing. To simply distinguish between food consumed at home and away from home is no longer adequate. Rapid demographic and socioeconomic changes, such as the massive entrance of women into the workforce and increasing multi-ethnicity, are a fundamental driver of food buying and dietary patterns. Research needs to give more attention to the demand for differentiated, frequently branded food products, to disaggregation of the population, and to a recognition that traditional demographic factors may have limited explanatory power. A specific research study is given as an example of each. The single quality-differentiation factor currently receiving the most attention is genetic modification. The difference in the general consumer acceptance of biotechnology and genetically modified foods between the United States and Europe is dramatic. Kevin Lancaster's consumer model can be utilized to more fully understand this difference, especially to distinguish between a difference in the perception of the risks and benefits of the technology and in the underlying consumer preferences for risk avoidance or naturalness in food.Consumer/Household Economics, Food Consumption/Nutrition/Food Safety,

PENERAPAN MODEL PROJECT BASED LEARNING BERBASIS KOMODITAS PANGAN LOKAL PADA KOMPETENSI DASAR MELAKUKAN PRINSIP PENGGUNAAN MEDIA PENGHANTAR PANAS DI SMKN 1 CIDAUN

Penelitian ini dilakukan karena proses pembelajaran dan kegiatan praktikum di SMKN 1 Cidaun belum berjalan secara optimal, sehingga menyebabkan pencapaian kompetensi siswa menjadi kurang maksimal. Melimpahnya komoditas pangan lokal Cidaun yang belum termanfaatkan secara maksimal juga menjadi alasan dilakukannya penelitian ini. Tujuan dari penelitian ini adalah untuk mengetahui hasil belajar siswa dengan menerapkan model project based learning berbasis komoditas pangan lokal. Metode yang digunakan yaitu pra eksperimen dengan desain pre test – post test satu kelompok. Penelitian ini dilakukan pada kelas X program keahlian Teknologi Pengolahan Hasil Pertanian (TPHP) di SMKN 1 Cidaun. Hasil penelitian menunjukkan bahwa hasil belajar dengan menerapkan model project based learning berbasis komoditas pangan lokal pada kompetensi dasar melakukan prinsip penggunaan media penghantar panas memiliki rata-rata nilai N-Gain dengan kategori sedang. Hasil belajar siswa secara keseluruhan telah mencapai Kriteria Ketuntasan Minimal yang telah ditentukan. Berdasarkan hasil penelitian, model project based learning berbasis komoditas pangan lokal dapat membantu siswa dalam pencapaian kompetensi dan meningkatkan hasil belajar siswa. Model project based learning dapat diterapkan pada kompetensi dasar maupun mata pelajaran produktif lainnya untuk meningkatkan hasil belajar dan membantu siswa dalam pencapaian kompetensi. Kata kunci: model pembelajaran, proyek, hasil belajar, media penghantar panas This research done due to the process of learning and practicum activity in SMKN 1 Cidaun was not run optimally, it is caused the less maximum competence of students achieved. The abundance of Cidaun local food commodities which untapped maximally was also be the reason of this research. The purpose of this research was to determined students learning outcomes by implementing project based learning models based on local food commodities. The method used is pra-experiment method with one group pre test-post test design. The research conducted in X grade of TPHP expertise program in SMKN 1 Cidaun. The results shows that the learning outcomes by implementing project based learning model based on local food commodities in practice the principles of heat media basic competences has average value in N-Gain with medium category. Students learning outcomes as a whole has reached the minimum completeness criteria which has been determined. Based on the research results, project based learning models based on local food commodities can help students in achieving competence and improving students learning outcomes. Project based learning models can be applied in any other basic competence or any other productive subjects to improve students learning outcome and help students in achieving competence. Keyword: learning model, project, learning outcomes, heat medi

The Trends of the Agrarian Foreign Trade of CR after Accession to EU, Competitiveness of Commodities

The extent of agricultural foreign trade (AFT) of the Czech Republic (CR) increased markedly after accession to EU. The first part of this article is devoted to the trends during the period of 2004 – 2008. Detailed analysis of the CR AFT has been carried out for all 24 items of the basic food goods during the same period for the assessment of competitiveness of individual commodities. The Balass indicator RCA (Revealed Comparative Advantage) was used for this analysis, as well as the Michaely index that shows the specific measure of specialization for export. The method of logarithmic decomposition, which makes it possible to determine the effect of prices and quantities to net export has also been used. This paper was processed within the framework of the Research Project of MSM 6046070906 "The economics of Czech agricultural resources and their effective use in the frame of multifunctional agri-food systems".Agrarian foreign trade, foreign trade, competitiveness, competitive advantage, Balass RCA indicator, Michaely index, Agribusiness, Research and Development/Tech Change/Emerging Technologies, GA, IN,

Structural and Economic Overview of the Italian Agri-food System: A Focus on Food Prices

An analysis of the main items characterizing the agri-food system highlights the existence of a strong demand for a politically-correct decisional process. This paper analyzes the value of the agri-food sector at national level in terms of Gross Domestic Product, Value Added at basic and current prices (ISTAT), comparing data with the EU level (Eurostat). Farms’ structure and production are analyzed in order to highlight the current situation and future development of the agri-food sector. After an overview of the main structural characteristics of farms, the study focuses on a direct survey (FADN/RICA sample): in order to collect specific data an “ad hoc” questionnaire was drawn up to identify farm characteristics, productive potential and main market regulatory mechanisms. With the objective of highlighting the farmers’ point of view, a case study on an Italian region is presented to evaluate three main topics: a) sales prices: main factors occurring in the price fixing phase; b) distribution channels and commodities prices: perception of strength in terms of trade agreement; c) rules and checks: actions to enhance and increase price transparency through supply chain rings.Agri-food System, Farms, Market, Prices., Agricultural and Food Policy,