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Inter-Temporal and Spatial Price Dispersion Patterns and the Well-Being of Maize Producers in Southern Tanzania

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  • Bjorn Van Campenhout
  • Els Lecoutere
  • Ben D'Exelle

Abstract

We revisit a methodology to gauge the short-term effect of price changes on smallholder farmer's welfare that is popular amongst policy makers and academia. Realising that farmers face substantial seasonal price volatility over the course of an agricultural year, we pay particular attention to the timing of sales and purchases. In addition we depart from the implicit assumption that all farmers scattered across rural areas face the same prices when interacting with markets. Using maize marketing during the 2007–2008 agricultural season in a sample of smallholders in Tanzania as an illustration, we find that especially poor farmers face greater losses than what a standard analysis would suggest. We also relate our methodology to factors that are likely to affect potential benefits or costs from inter-temporal and spatial price dispersion, such as means of transport, access to price information and credit.

Suggested Citation

  • Bjorn Van Campenhout & Els Lecoutere & Ben D'Exelle, 2015. "Inter-Temporal and Spatial Price Dispersion Patterns and the Well-Being of Maize Producers in Southern Tanzania," Journal of African Economies, Centre for the Study of African Economies, vol. 24(2), pages 230-253.
    • Handle: RePEc:oup:jafrec:v:24:y:2015:i:2:p:230-253.
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    File URL: http://hdl.handle.net/10.1093/jae/ejv002
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    Cited by:

    1. Tristan Le Cotty & Elodie Maître d'Hôtel & Raphael Soubeyran & Julie Subervie, 2020. "Wait and sell: farmers' individual preferences and crop storage in Burkina Faso," CIRED Working Papers hal-01123355, HAL.
    2. Van Campenhout, Bjorn & Bizimungu, Emmanuel & Birungi, Dorothy, 2016. "Risk and sustainable crop intensification: The case of smallholder rice and potato farmers in Uganda:," IFPRI discussion papers 1521, International Food Policy Research Institute (IFPRI).
    3. Gilbert, Christopher L. & Christiaensen, Luc & Kaminski, Jonathan, 2017. "Food price seasonality in Africa: Measurement and extent," Food Policy, Elsevier, vol. 67(C), pages 119-132.
    4. McCullough, Ellen & Zhen, Chen & Shin, Soye & Lu, Meichen & Arsenault, Joanne, 2022. "The role of food preferences in determining diet quality for Tanzanian consumers," Journal of Development Economics, Elsevier, vol. 155(C).
    5. Aggarwal, Shilpa & Francis, Eilin & Robinson, Jonathan, 2018. "Grain today, gain tomorrow: Evidence from a storage experiment with savings clubs in Kenya," Journal of Development Economics, Elsevier, vol. 134(C), pages 1-15.

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