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The New Generation of African Fertilizer Subsidies: Panacea or Pandora’s Box?

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  • Kelly, Valerie A.
  • Crawford, Eric W.
  • Ricker-Gilbert, Jacob
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    Abstract

    For several reasons, fertilizer subsidies are again popular policy tools. First, there is broad agreement that fertilizer is a critical yet still-underused input for improving productivity and food security in Africa. Second, politicians have felt greater urgency to increase domestic food production since the 2007/08 food price crisis. Third, subsidy programs are highly visible, popular with voters, and viewed as politically beneficial. Fourth, donor budget support has made it easier for governments to pay for subsidies.

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    Bibliographic Info

    Paper provided by Michigan State University, Department of Agricultural, Food, and Resource Economics in its series Food Security International Development Policy Syntheses with number 107460.

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    Date of creation: May 2011
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    Handle: RePEc:ags:midips:107460

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    Keywords: Fertilizer subsidies; Africa; Malawi; Zambia; Senegal; Feed The Future; Agricultural and Food Policy; Food Security and Poverty;

    References

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    1. Ariga, Joshua & Jayne, Thomas S., 2009. "Private sector responses to public investments and policy reforms: The case of fertilizer and maize market development in Kenya," IFPRI discussion papers 921, International Food Policy Research Institute (IFPRI).
    2. Jacob Ricker-Gilbert & Thomas S. Jayne & Ephraim Chirwa, 2010. "Subsidies and Crowding Out: A Double-Hurdle Model of Fertilizer Demand in Malawi," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 93(1), pages 26-42.
    3. Zhiying Xu & William J. Burke & Thomas S. Jayne & Jones Govereh, 2009. "Do input subsidy programs "crowd in" or "crowd out" commercial market development? Modeling fertilizer demand in a two-channel marketing system," Agricultural Economics, International Association of Agricultural Economists, vol. 40(1), pages 79-94, 01.
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    Cited by:
    1. Pan, Lei & Christiaensen, Luc, 2011. "Who is vouching for the input voucher ? decentralized targeting and elite capture in Tanzania," Policy Research Working Paper Series 5651, The World Bank.

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