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what is missing between agricultural growth and infrastructure development ? cases of coffee and dairy in Africa

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  • Iimi, Atsushi
  • Smith, James Wilson

Abstract

Although it is commonly believed that aggregate economic growth must be associated with public infrastructure stocks, the possible infrastructure needs and effects are different from industry to industry. The agriculture sector is typical. Various infrastructures would affect agriculture growth differently depending on the type of commodity. This paper finds that a general transport network is essential to promote coffee and cocoa production, perhaps along with irrigation facilities, depending on local rainfall. Conversely, along with the transport network, the dairy industry necessitates rural water supply services as well. In some African countries, a 1 percent improvement in these key aspects of infrastructure could raise GDP by about 0.1-0.4 percent, and by possibly by several percent in some cases.

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Bibliographic Info

Paper provided by The World Bank in its series Policy Research Working Paper Series with number 4411.

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Date of creation: 01 Nov 2007
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Handle: RePEc:wbk:wbrwps:4411

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Keywords: Transport Economics Policy&Planning; Economic Theory&Research; Crops&Crop Management Systems; Food&Beverage Industry; Rural Development Knowledge&Information Systems;

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References

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  1. Gardner, Bruce L., 2003. "Causes Of Rural Economic Development," Working Papers 28559, University of Maryland, Department of Agricultural and Resource Economics.
  2. Fan, Shenggen & Zhang, Linxiu & Zhang, Xiaobo, 2002. "Growth, inequality, and poverty in rural China: the role of public investments," Research reports 125, International Food Policy Research Institute (IFPRI).
  3. Iimi, Atsushi, 2007. "Infrastructure and trade preferences for the livestock sector : empirical evidence from the beef industry in Africa," Policy Research Working Paper Series 4201, The World Bank.
  4. Christopher Delgado & Nicholas Minot & Marites Tiongco, 2005. "Evidence and Implications of Non-Tradability of Food Staples in Tanzania 1983-98," Journal of Development Studies, Taylor & Francis Journals, vol. 41(3), pages 376-393.
  5. Fan, Shenggen & Jitsuchon, Somchai & Methakunnavut, Nuntaporn, 2004. "The importance of public investment for reducing rural poverty in middle-income countries," DSGD discussion papers 7, International Food Policy Research Institute (IFPRI).
  6. Mundlack, Yair & Larson, Donald F. & Butzer, Rita, 2002. "Determinants of agricultural growth in Indonesia, the Philippines, and Thailand," Policy Research Working Paper Series 2803, The World Bank.
  7. Antle, John M, 1983. "Infrastructure and Aggregate Agricultural Productivity: International Evidence," Economic Development and Cultural Change, University of Chicago Press, vol. 31(3), pages 609-19, April.
  8. Claudio Bravo-Ortega & Daniel Lederman, 2004. "Agricultural productivity and its determinants: revisiting international experiences," Estudios de Economia, University of Chile, Department of Economics, vol. 31(2 Year 20), pages 133-163, December.
  9. Canning, David, 1998. "A Database of World Stocks of Infrastructure, 1950-95," World Bank Economic Review, World Bank Group, vol. 12(3), pages 529-47, September.
  10. Richard Tiffin & Xavier Irz, 2006. "Is agriculture the engine of growth?," Agricultural Economics, International Association of Agricultural Economists, vol. 35(1), pages 79-89, 07.
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Cited by:
  1. Stone, Susan & Strutt, Anna & Hertel, Thomas, 2010. "Assessing Socioeconomic Impacts of Transport Infrastructure Projects in the Greater Mekong Subregion," ADBI Working Papers 234, Asian Development Bank Institute.

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