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Rice flows across regions in Madagascar

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  • Ralandison, Tsilavo
  • Arimoto, Yutaka
  • Kono, Hisaki
  • Sakurai, Takeshi
  • Takahashi, Kazushi

Abstract

Although spatial disintegration of rice markets in Madagascar has been well documented, little is known about actual rice flows across regions. Using weekly collected unique data from rice markets in 22 regional capital cities for one year, this study explores the physical distribution of rice in Madagascar and reveals that rice flows from sufficient regions to deficit regions, along with geographical proximity, have positive effects on rice flow. In contrast, season factors, such as harvest/non-harvest periods and weather conditions have a negligible effect on rice flow. These findings suggest that rice flows generally follow a rational pattern despite the fact that market indicators indicate that rice trade across regions is underdeveloped.

Suggested Citation

  • Ralandison, Tsilavo & Arimoto, Yutaka & Kono, Hisaki & Sakurai, Takeshi & Takahashi, Kazushi, 2015. "Rice flows across regions in Madagascar," IDE Discussion Papers 503, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    • Handle: RePEc:jet:dpaper:dpaper503
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    References listed on IDEAS

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    1. Arimoto, Yutaka & Sakurai, Takeshi & Tanaka, Mari & Tsilavo, Ralandison, 2013. "Rice Trading in Madagascar: Report on Rice Trader Survey 2011," PRIMCED Discussion Paper Series 38, Institute of Economic Research, Hitotsubashi University.
    2. Fafchamps, Marcel & Gabre-Madhin, Eleni & Minten, Bart, 2005. "Increasing returns and market efficiency in agricultural trade," Journal of Development Economics, Elsevier, vol. 78(2), pages 406-442, December.
    3. Miyake, Hajime & Sakurai, Takeshi, 2012. "Improvement of Transportation Infrastructure and Integration of Agricultural Market-An Analysis of Rice Market in Madagascar-," Economic Review, Hitotsubashi University, vol. 63(3), pages 209-226, July.
    4. Haggblade, Steven & Jayne, Thomas S. & Tschirley, David L. & Longabaugh, Steven, 2008. "Potential for Intra-Regional Maize Trade in Southern Africa: an Analysis for Zambia at the Sub-National Level," Food Security Collaborative Working Papers 54494, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    5. Christine Moser & Christopher Barrett & Bart Minten, 2009. "Spatial integration at multiple scales: rice markets in Madagascar," Agricultural Economics, International Association of Agricultural Economists, vol. 40(3), pages 281-294, May.
    6. Wouter Zant, 2013. "How Is the Liberalization of Food Markets Progressing? Market Integration and Transaction Costs in Subsistence Economies," The World Bank Economic Review, World Bank, vol. 27(1), pages 28-54.
    7. Sakurai, Takeshi & Ralandison, Tsilavo & Takahashi, Kazushi & Arimoto, Yutaka & Kono, Hisaki, 2015. "Is there any premium for unobservable quality? : a hedonic price analysis of the Malagasy rice market," IDE Discussion Papers 504, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    8. J. S. Butler & Christine Moser, 2010. "Structural Model of Agricultural Markets in Developing Countries," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 92(5), pages 1364-1378.
    9. Fackler, Paul L. & Goodwin, Barry K., 2001. "Spatial price analysis," Handbook of Agricultural Economics, in: B. L. Gardner & G. C. Rausser (ed.), Handbook of Agricultural Economics, edition 1, volume 1, chapter 17, pages 971-1024, Elsevier.
    10. Emma C. Stephens & Edward Mabaya & Stephan von Cramon-Taubadel & Christopher B. Barrett, 2012. "Spatial Price Adjustment with and without Trade," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 74(3), pages 453-469, June.
    11. World Bank, 2009. "Eastern Africa - A study of the Regional Maize Market and Marketing Costs," World Bank Publications - Reports 3155, The World Bank Group.
    12. Marie Hélène Dabat & Bart Minten & Paul Dorosh & Olivier Jenn-Treyer & John Magnay & Ziva Razafintsalama, 2006. "Rice markets in Madagascar in disarray," Post-Print hal-03049969, HAL.
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    1. Sakurai, Takeshi & Ralandison, Tsilavo & Takahashi, Kazushi & Arimoto, Yutaka & Kono, Hisaki, 2015. "Is there any premium for unobservable quality? : a hedonic price analysis of the Malagasy rice market," IDE Discussion Papers 504, Institute of Developing Economies, Japan External Trade Organization(JETRO).

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    More about this item

    Keywords

    Madagascar; Rice; Primary commodities; Market; Commodity flow; Origin; Destination;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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