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Can Public–Private Partnerships Leverage Private Investment in Agricultural Value Chains in Africa? A Preliminary Review

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  • Poulton, Colin
  • Macartney, Jon

Abstract

Public–private partnerships (PPPs) may be one way of increasing the level of private sector investment into poorly performing agricultural value chains. This paper considers a range of PPP mechanisms that respond to different market failures affecting such chains and draws on principal–agent theory to illustrate the challenges. It reviews emerging experience with a number of these mechanisms along with experience from other sectors that may shed light on “generic” problems of implementing PPPs in Africa. While finding some positive impacts on investment, it notes that state failures can also undermine PPP effectiveness. As the evidence base is still limited, it calls on organizations promoting innovative PPPs to disclose available information for critical examination.

Suggested Citation

  • Poulton, Colin & Macartney, Jon, 2012. "Can Public–Private Partnerships Leverage Private Investment in Agricultural Value Chains in Africa? A Preliminary Review," World Development, Elsevier, vol. 40(1), pages 96-109.
  • Handle: RePEc:eee:wdevel:v:40:y:2012:i:1:p:96-109 DOI: 10.1016/j.worlddev.2011.05.017
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    Cited by:

    1. Jones, Sam & Tarp, Finn, 2013. "Jobs and Welfare in Mozambique," WIDER Working Paper Series 045, World Institute for Development Economic Research (UNU-WIDER).
    2. Paul E. McNamara & Joyous S. Tata, 2015. "Principles of Designing and Implementing Agricultural Extension Programs for Reducing Post-harvest Loss," Agriculture, MDPI, Open Access Journal, vol. 5(4), pages 1-12, October.
    3. Liesbeth Dries & Domenico Dentoni, 2015. "Private sector investments to create market-supporting institutions: The case of Malawian Agricultural Commodity Exchange," Working Papers 2015/08, Maastricht School of Management.
    4. Abebe, Gumataw K. & Bijman, Jos & Kemp, Ron & Omta, Onno & Tsegaye, Admasu, 2013. "Contract farming configuration: Smallholders’ preferences for contract design attributes," Food Policy, Elsevier, vol. 40(C), pages 14-24.
    5. Negash, Martha & Riera, Olivia, 2014. "Biodiesel value chain and access to energy in Ethiopia: Policies and business prospects," Renewable and Sustainable Energy Reviews, Elsevier, vol. 39(C), pages 975-985.

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