A Cost-Benefit Analysis Of Local Production Of Ready To Use Theraupetic Foods In Uganda
AbstractThe prevalence of malnutrition, vitamin-A deficiency, and anemia is high in Uganda. Of children under 5 years of age, 33 percent are stunted and 5 percent wasted. The rate of anemia among women and children is as high as 50 percent. The aim of this study is to identify if a 5 year off-take contract would result a sufficient incentive for the private sector to establish a factory for Ready to Use Therapeutic Food (RUTF) production. The base-line analysis revealed that the financial incentive for the investment would exist if the off-take price is at the RUTF’s world price level. The proper structure of the deal would also result on significant benefits arising to more than 4,000 HIV/AIDs infected farmers supplying pea nuts to the factory. The government of Uganda would also benefit by US$1.54 mill over the 10-year life of the project
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Bibliographic InfoPaper provided by JDI Executive Programs in its series Development Discussion Papers with number 2012-05.
Length: 17 pages
Date of creation: Jan 2013
Date of revision:
cost-benefit analysis; investment appraisal; stakeholder analysis; RUTF; Uganda; project finance; malnutrition;
Find related papers by JEL classification:
- D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
- D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
- D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
- D62 - Microeconomics - - Welfare Economics - - - Externalities
- E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Capital; Investment; Capacity
- E23 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Production
- F35 - International Economics - - International Finance - - - Foreign Aid
- H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods
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