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The Effects of the Food Reserve Agency on Maize Market Prices in Zambia

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Author Info

  • Mason, Nicole M.
  • Myers, Robert J.

Abstract

Over the last decade, governments in eastern and southern Africa have become increasingly involved in grain marketing via strategic reserves and marketing boards. Kenya, Malawi, Zimbabwe, Ethiopia, Tanzania, and Zambia all have one or both of these entities, and their level of involvement in grain marketing has generally increased in recent years. Yet, to date, relatively little is known about how the resurgent activities of strategic grain reserves and marketing boards are affecting market prices. This paper estimates the effects of the Zambia Food Reserve Agency’s (FRA) activities on maize market prices in the country.

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Bibliographic Info

Paper provided by Michigan State University, Department of Agricultural, Food, and Resource Economics in its series Food Security Collaborative Working Papers with number 120771.

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Date of creation: Dec 2011
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Handle: RePEc:ags:midcwp:120771

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Keywords: Zambia; Food Security; Maize; Agricultural and Food Policy; Food Security and Poverty;

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References

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  1. Ben S. Bernanke & Ilian Mihov, 1995. "Measuring monetary policy," Working Papers in Applied Economic Theory 95-09, Federal Reserve Bank of San Francisco.
  2. Govereh, Jones & Jayne, Thomas S. & Chapoto, Antony, 2008. "Assessment of Alternative Maize Trade and Market Policy Interventions in Zambia," Food Security Collaborative Working Papers 54492, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  3. Elliot Mghenyi & Robert J. Myers & T.S. Jayne, 2011. "The effects of a large discrete maize price increase on the distribution of household welfare and poverty in rural Kenya-super-1," Agricultural Economics, International Association of Agricultural Economists, vol. 42(3), pages 343-356, 05.
  4. Govereh, Jones & Malawo, Emma & Lungu, Tadeyo & Jayne, Thomas S. & Chinyama, Kasweka & Chilonda, Pius, 2009. "Trends and Spatial Distribution of Public Agricultural Spending in Zambia: Implication for Agricultural Productivity Growth," Food Security Collaborative Working Papers 54497, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  5. Rosamond L. Naylor & Walter P. Falcon, 2010. "Food Security in an Era of Economic Volatility," Population and Development Review, The Population Council, Inc., vol. 36(4), pages 693-723, December.
  6. Myers, Robert J., 2006. "On the costs of food price fluctuations in low-income countries," Food Policy, Elsevier, vol. 31(4), pages 288-301, August.
  7. T. S. Jayne & Robert J. Myers & James Nyoro, 2008. "The effects of NCPB marketing policies on maize market prices in Kenya," Agricultural Economics, International Association of Agricultural Economists, vol. 38(3), pages 313-325, 05.
  8. Jayne, T. S. & Jones, Stephen, 1997. "Food marketing and pricing policy in Eastern and Southern Africa: A survey," World Development, Elsevier, vol. 25(9), pages 1505-1527, September.
  9. Nkonde, Chewe & Mason, Nicole M. & Sitko, Nicholas J. & Jayne, Thomas S., 2011. "Who Gained and Who Lost from Zambia's 2010 Maize Marketing Policies?," Food Security Collaborative Working Papers 99610, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  10. Bellemare, Marc F. & Barrett, Christopher B. & Just, David R., 2010. "The Welfare Impacts of Commodity Price Fluctuations: Evidence from Rural Ethiopia," MPRA Paper 24457, University Library of Munich, Germany.
  11. Chapoto, Antony & Jayne, Thomas S., 2009. "Effects of Maize Marketing and Trade Policy on Price Unpredictability in Zambia," Food Security Collaborative Working Papers 54499, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  12. Sims, Christopher A, 1980. "Macroeconomics and Reality," Econometrica, Econometric Society, vol. 48(1), pages 1-48, January.
  13. Zulu, Ballard & Jayne, Thomas S. & Beaver, Margaret, 2007. "Smallholder Household Maize Production and Marketing Behavior in Zambia and Its Implications for Policy," Food Security Collaborative Working Papers 54481, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  14. Tembo, Gelson & Chapoto, Antony & Jayne, Thomas S. & Weber, Michael T., 2009. "Fostering Agricultural Market Development in Zambia," Food Security Collaborative Working Papers 54501, Michigan State University, Department of Agricultural, Food, and Resource Economics.
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Citations

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Cited by:
  1. Kornher, Lukas & Kalkuhl, Matthias, 2013. "Food price volatility in developing countries and its determinants," 53rd Annual Conference, Berlin, Germany, September 25-27, 2013 156132, German Association of Agricultural Economists (GEWISOLA).
  2. Sitko, Nicholas J. & Kuteya, Auckland N., 2013. "The Maize Price Spike of 2012/13: Understanding the Paradox of High Prices despite Abundant Supplies," Food Security Collaborative Working Papers 171871, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  3. Sitko, Nicholas J. & Jayne, T.S., 2014. "Exploitative Briefcase Businessmen, Parasites, and Other Myths and Legends: Assembly Traders and the Performance of Maize Markets in Eastern and Southern Africa," World Development, Elsevier, vol. 54(C), pages 56-67.
  4. Kornher, Lukas & Kalkuhl, Matthias, 0. "Food Price Volatility in Developing Countries and its Determinants," Quarterly Journal of International Agriculture, Humboldt-Universität zu Berlin, vol. 52.
  5. Resnick, Danielle & Thurlow, James, 2014. "The political economy of Zambia’s recovery: Structural change without transformation?:," IFPRI discussion papers 1320, International Food Policy Research Institute (IFPRI).
  6. Kuteya, Auckland N. & Sitko, Nicholas J., 2014. "Creating Scarcity From Abundance: Bumper Harvests, High Prices, And The Role Of State Interventions In Zambian Maize Markets," Food Security Collaborative Policy Briefs 171877, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  7. Jolejole-Foreman, Maria Christina & Mallory, Mindy L. & Baylis, Katherine R., 2013. "Impact of Wheat and Rice Export Ban on Indian Market Integration," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150595, Agricultural and Applied Economics Association.
  8. Mason, Nicole M. & Jayne, Thomas S. & Myers, Robert J., 2011. "Zambian Smallholder Behavioral Responses To Food Reserve Agency Activities," Food Security Collaborative Working Papers 120768, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  9. Sitko, Nicholas & Jayne, T.S., 2014. "Demystifying the Role of Grain Assemblers in the Rural Maize Markets of Eastern and Southern Africa," Food Security Collaborative Working Papers 176628, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  10. Chapoto, Antony & Haggblade, Steven & Hichaambwa, Munguzwe & Kabwe, Stephen & Longabaugh, Steven & Sitko, Nicholas J. & Tschirley, David L., 2012. "Agricultural Transformation in Zambia: Alternative Institutional Models for Accelerating Agricultural Productivity Growth, and Commercialization," Food Security Collaborative Working Papers 132339, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  11. Ricker-Gilbert, Jacob & Mason, Nicole & Jayne, Thomas & Darko, Francis Addeah & Tembo, Solomon, 2013. "What are the effects of input subsidy programs on equilibrium maize prices? Evidence from Malawi and Zambia," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 149259, Agricultural and Applied Economics Association.

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