21 research outputs found

    The sequencing of agricultural market reforms in Malawi

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    The paper analyzes the welfare impacts of alternative sequencing scenarios of agricultural market reforms in Malawi using a profit maximization approach. The simulation results show that, contrary to the sequencing path adopted in the 1980's, Malawi's Government should have liberalized the maize sector first, followed by the groundnut export sector, and once a supply response was generated, input subsidies could have been phased out, without generating a negative impact on producers' welfare and food security.Agricultural economics. ,Food security Malawi. ,

    THE SEQUENCING OF AGRICULTURAL MARKET REFORMS IN MALAWI

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    The paper analyzes the welfare impacts of alternative sequencing scenarios of agricultural market reforms in Malawi using a profit maximization approach. The simulation results show that, contrary to the sequencing path adopted in the 1980's, Malawi's Government should have liberalized the maize sector first, followed by the groundnut export sector, and once a supply response was generated, input subsidies could have been phased out, without generating a negative impact on producers' welfare and food security

    Methods for agricultural input market reform research

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    The purpose of this paper is to provide a research approach and a set of different quantitative techniques for analysis of questions related to agricultural input market reforms. The broad objective of the Multi Country Project 1 (MP 1) undertaken at the International Food Policy Research Institute is to understand the conditions for a successful reform of agricultural input markets, including the markets for fertilizers, pesticides, seeds, agricultural equipments and livestock services. This understanding requires an analysis of policy issues related to the overall economic environment, market structure, conduct and performance, transportation cost, traders' participation, demand for modern inputs and the impact and sequencing of reforms. This paper raises specific research questions addressing these policy issues and suggest possible research methods to answer those questions. Thus, the paper can be considered as a toolkit for the policy analysts interested in market reforms.Markets Economic policy. ,Agriculture Research Economic aspects. ,

    Supply response under market liberalisation: A case study of Malawian agriculture

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    In order to analyse the effects of policy reforms, output supply and factor demand responses to input and output prices for Malawian agriculture are estimated in this article in a multiple-output, multiple-input framework. The implications of various structural adjustment policies implemented in Malawi are analysed using the model results for their impact on the smallholder agricultural sector. The results of the analysis indicate that removal of fertiliser subsidy - a major component of market reform policies - does not substantially reduce the production of maize, the major staple food in Malawi. However, when implemented in appropriate sequence along with other output market liberalisation policies and increased investment in infrastructure, such a policy is likely to increase the productivity of smallholder agriculture.
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