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Cotton Sector Policies And Performance In Sub-Saharan Africa:Lessons Behind The Numbers In Mozambique And Zambia

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  • Boughton, Duncan
  • Tschirley, David L.
  • Zulu, Ballard
  • Ofico, Afonso Osorio
  • de Marrule, Higino Francisco

Abstract

Cotton is one of the most important smallholder cash crops in Sub-Saharan Africa (SSA). How to ensure input supply, credit recovery and competition is a subject of intense policy debate. This paper examines the performance of cotton sector development policies in Mozambique and Zambia. Both countries face the challenge of organizing input supply to farmers in the absence of rural credit markets, and competing in international markets distorted by production subsidies in developed countries. Both countries privatized cotton ginning in the 1990s. Emerging from civil war, Mozambique established geographical monopolies to interlink input and output markets and facilitate credit recovery. In Zambia, the government completely liberalized the cotton sector, forcing the private sector to deal with the problem of input distribution and credit recovery by itself. Despite being landlocked, Zambia's cotton sector has achieved better performance in terms of both value of cotton output per hectare and smallholder share of world market prices. An analysis of the institutional and technical factors behind the two countries' performance provides insights to guide the design of public/private partnerships relevant to many SSA countries.

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Bibliographic Info

Paper provided by International Association of Agricultural Economists in its series 2003 Annual Meeting, August 16-22, 2003, Durban, South Africa with number 25855.

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Date of creation: 2003
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Handle: RePEc:ags:iaae03:25855

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Keywords: Cotton; Mozambique; Zambia; liberalization; agricultural policy; Agricultural and Food Policy; Crop Production/Industries;

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  1. Badiane, Ousmane & Ghura, Dhaneshwar & Goreux, Louis & Masson, Paul, 2002. "Cotton sector strategies in West and Central Africa," Policy Research Working Paper Series 2867, The World Bank.
  2. Pitoro, Raul & Govene, Olivia & de Marrule, Higino Francisco & Tschirley, David L. & Boughton, Duncan, 2001. "Desempenho do Sector Algodoeiro ao Nível da Machamba em Nampula: Situação Actual e Perspectivas para o seu Melhoramento," Food Security Collaborative Working Papers 56051, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  3. Jayne, Thomas S., 2000. "Improving Smallholder and Agri-Business Opportunities in Zambia’s Cotton Sector: Key Challenges and Options," Food Security Collaborative Working Papers 54456, Michigan State University, Department of Agricultural, Food, and Resource Economics.
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Cited by:
  1. Delpeuch, Claire & Vandeplas, Anneleen & Swinnen, Johan F.M., 2010. "Revisiting the “cotton problem”: A comparative analysis of cotton reforms in Sub-Saharan Africa," 84th Annual Conference, March 29-31, 2010, Edinburgh, Scotland 91806, Agricultural Economics Society.
  2. Swinnen, Johan F.M. & Vandeplas, Anneleen, 2007. "Contracting, Competition, and Rent Distribution Theory and Empirical Evidence from Developing and Transition Countries," 103rd Seminar, April 23-25, 2007, Barcelona, Spain 9413, European Association of Agricultural Economists.
  3. Delpeuch, Claire & Leblois, Antoine, 2010. "Sub-Saharan African Cotton Policies in Retrospect," 2010 AAAE Third Conference/AEASA 48th Conference, September 19-23, 2010, Cape Town, South Africa 96174, African Association of Agricultural Economists (AAAE) & Agricultural Economics Association of South Africa (AEASA).
  4. Zulu, Ballard & Tschirley, David L., 2004. "An Assessment of Current Policy Initiatives in Zambia's Cotton Sector," Food Security Collaborative Policy Briefs 54612, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  5. Delpeuch, Claire, 2011. "African cotton markets at crossroads : will the price spike turn into a new kick-start ?," Policy Research Working Paper Series 5847, The World Bank.
  6. Pitoro, Raul & Walker, Thomas S. & Tschirley, David L. & Swinton, Scott M. & Boughton, Duncan & de Marrule, Higino Francisco, 2009. "Can Bt Technology Reduce Poverty Among African Cotton Growers? An Ex Ante Analysis of the Private and Social Profitability of Bt Cotton Seed in Mozambique," 2009 Conference, August 16-22, 2009, Beijing, China 51633, International Association of Agricultural Economists.
  7. World Bank, 2007. "Zambia : Smallholder Agricultural Commercialization Strategy," World Bank Other Operational Studies 8039, The World Bank.
  8. Bias, Calisto & Donovan, Cynthia, 2003. "Gaps and Opportunities for Agricultural Sector Development in Mozambique," Food Security Collaborative Working Papers 56058, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  9. repec:hal:wpaper:hal-00866412 is not listed on IDEAS
  10. Gandonou, Jean-Marc & Dillon, Carl R. & Harman, Wyatte L. & Williams, Jimmy R., 2004. "Precision Farming As A Tool In Reducing Environmental Damages In Developing Countries: A Case Study Of Cotton Production In Benin," 2004 Annual meeting, August 1-4, Denver, CO 20086, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  11. Tschirley, David L. & Kabwe, Stephen, 2007. "Cotton in Zambia: 2007 Assessment of its Organization, Performance, Current Policy Initiatives, and Challenges for the Future," Food Security Collaborative Working Papers 54485, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  12. World Bank, 2004. "Zambia - Country Economic Memorandum : Policies for Growth and Diversification, Volume 1. Main Report," World Bank Other Operational Studies 15666, The World Bank.
  13. Alfieri, Andrea & Arndt, Channing & Cirera, Xavier, 2007. "Distortions to Agricultural Incentives in Mozambique," Agricultural Distortions Working Paper 48552, World Bank.

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