Effects of market liberalization on food security in Tanzania

A conference paper on the effects of market liberalization on food security in Tanzania.During the past decade, Tanzania has faced an unprecedented economic crisis, characterised by severe balance of payments disequilibrium, high inflation, and large government budget deficits. Population has grown more rapidly than gross domestic product. Shortages of consumer goods were widespread and intermittent food shortage had to be met by food imports. To tackle the economic crisis, government implemented several adjustment and stabilization programmes (Ndulu and Lipumba, 1986). These policies culminated in significant devaluation and the liberalization of imports financed by privately-owned foreign exchange. Restrictions on private trade b food grains were relaxed. In June 1986, the government adopted the World Bank and IMF-supported Economic Recovery Programme (ERP). The policy measures taken included a major devaluation and a crawling peg to correct future overvaluation, control of the growth of government expenditures to reduce and limit government borrowing from the banking system, increases in agricultural producer prices, and further relaxation of restrictions on private trade in major food grains. The policy thrust has been to adopt market-oriented policy instruments and to depend less on state-controlled procedures. Since 1984 government has further liberalized the economy.The research supporting the preparation the proceedings papers was financed by the U.S. Agency for International Development, Bureau of Science and Technology; Bureau for Africa; and the Southern Africa Regional Programme

Impact of market liberalisation on household food security in Tanzania

A conference paper on national food security in Tanzania, presented at The Fourth Annual Conference on Food Security In Southern Africa, 31 October- 3 November, 1988.During the November 1987 Conference on Food Security Research in Southern Africa, we presented a paper on the impact of adjustment and stabilization policies in general, and market liberalisation in particular, on food security in Tanzania. Our 1987 paper included: a brief history of agricultural policy since independence in 1961; an analysis of the characteristics of food consumption in rural and urban areas; a detailed examination of the evolution of the intervention regime and its impact on production, consumption, and food security; and an indepth discussion of the impact of recent adjustment policies and market liberalization on food security. This paper analyses the impact of policy measures since July 1984 on household food security. The paper is divided into four sections. A summary of our 1987 paper and a review of factors affecting food supply in the long- and short-run at the micro level is presented in Appendix I. Section two, a major component of this paper, uses micro-level data to analyse the impact of food market liberalization on consumption growth, mainly through income and price changes. The third section examines some possible policy interventions to reduce food insecurity for those most at risk and presents an ex ante analysis of the impact of such policies on the at-risk households

Food security management Through Public Policy

This paper emphasizes the role of public policy in addressing food insecurity. It begins with an elaboration of the food security concept. In this regard, the paper argues that the conceptual framework for food security should seek to ensure that food is available and accessible to each individual in sufficient quantities to guarantee nutritious diet and good health. In terms of food availability, the paper addresses three aspects, namely, food production, food trade/markets and food aid. In all of these, public policy is crucial to ensuring good performance. In terms of access to food, the paper argues that there is need to develop appropriate policies and institutions that promote investment in productive assets, improves human capabilities and skills, expands commodity markets and trade opportunities for both agriculture and non agriculture commodities, and promotes social capital. These recommendations are based on the fact that the aspect of food accessibility takes food security issues further afield, with poverty and under-development being root causes of food insecurity. To this end, the paper argues that sectors other than agriculture should become prominent, thereby bringing to the fore issue such as employment generation, broad-based economic growth and sustainable development. In all of these good public policy is crucial. (Af. J. Finance and Management: 2002 11 (1): 1-15

Household food security in Tanzania: preliminary findings from four regions

A position paper on household food security in Tanzania.Six years ago the Government of Tanzania began to take policy measures to improve food availability and accessibility at the national and household levels. The Government realized that to attain food security, policies to increase the productivity and earning power of poor households as well as improve the efficiency of food markets were necessary. Several policy measures have been taken since 1984 to increase food production in the short-run. First was an increase in real producer prices. This was made possible by the removal of consumer and input subsidies. Second, the Government reduced internal trade barriers on food items by "tolerating" the marketing activities of private traders — this measure provided farmers (in some parts of the country) with alternative buyers for their food crops and improved food availability in urban areas. Third, a partial import liberalisation measure increased the availability of "incentive goods” in the rural areas. This encouraged the production of agricultural crops.USAID (Southern African Regional Programme