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Market opportunities for African agriculture: A General Equilibrium examination of demand-side constraints on agricultural growth in East and Southern Africa

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Author Info
Diao, Xinshen
Dorosh, Paul A.
Rahman, Shaikh Mahfuzur

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Abstract

"This report focuses on demand-side constraints on agricultural growth and their implications for three broad alternative agricultural development strategies: promoting traditional exports, developing nontraditional exports, and increasing food staple growth. We address three major questions. First, how constraining will demand be for future agricultural growth in East and Southern Africa and, in particular, is there sufficient demand to permit agriculture to grow at a rate that can significantly reduce poverty and hunger? Second, if technological change and increase in supply are achieved, which agricultural subsectors offer the greatest potential and can become the most powerful vehicles for raising real incomes and increasing food consumption? Finally, what are the implications of reductions in marketing costs and growth linkages with nonagricultural sectors for achieving increased market demand for agricultural products? The report applies a general equilibrium framework for the analysis, focusing on seven East and Southern African countries—Madagascar, Malawi, Mozambique, Tanzania, Uganda, Zambia, and Zimbabwe—and finds that an export-led agricultural growth strategy is unlikely to generate substantial overall income growth in these countries." from Authors' Summary

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Paper provided by International Food Policy Research Institute (IFPRI) in its series Research reports with number 154.

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Date of creation: 2007
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Handle: RePEc:fpr:resrep:154

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Related research
Keywords: Agricultural growth; exports; Poverty reduction; General equilibrium model; food consumption; Markets; income growth;

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  1. Reimer, Jeff & Thomas Hertel, 2004. "International Cross Section Estimates of Demand for Use in the GTAP Model," GTAP Technical Papers 1647, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University. [Downloadable!]
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  2. Dave D. Weatherspoon & Thomas Reardon, 2003. "The Rise of Supermarkets in Africa: Implications for Agrifood Systems and the Rural Poor," Development Policy Review, Overseas Development Institute, vol. 21, pages 333-355, 05. [Downloadable!] (restricted)
  3. Jorge Quiróz & Raimundo Soto, . "International Price Signals in Agricultural Markets: DoGovernments Care?," ILADES-Georgetown University Working Papers inv088, Ilades-Georgetown University, School of Economics and Bussines. [Downloadable!]
  4. Thomas Reardon & C. Peter Timmer & Christopher B. Barrett & Julio BerdeguÈ, 2003. "The Rise of Supermarkets in Africa, Asia, and Latin America," American Journal of Agricultural Economics, American Agricultural Economics Association, vol. 85(5), pages 1140-1146, December. [Downloadable!] (restricted)
  5. Mundlak, Yair & Larson, Donald F, 1992. "On the Transmission of World Agricultural Prices," World Bank Economic Review, Oxford University Press, vol. 6(3), pages 399-422, September.
  6. Muradian, Roldan & Pelupessy, Wim, 2005. "Governing the coffee chain: The role of voluntary regulatory Systems," World Development, Elsevier, vol. 33(12), pages 2029-2044, December. [Downloadable!] (restricted)
  7. Dr. Peter Kenning & Hilke Plassmann, 2004. "NeuroEconomics," Experimental 0412005, EconWPA. [Downloadable!]
  8. Limao, Nuno & Venables, Anthony J., 1999. "Infrastructure, geographical disadvantage, and transport costs," Policy Research Working Paper Series 2257, The World Bank. [Downloadable!]
  9. Skees, Jerry & Hazell, P. B. R. & Miranda, Mario, 1999. "New approaches to crop yield insurance in developing countries:," EPTD discussion papers 55, International Food Policy Research Institute (IFPRI). [Downloadable!]
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