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The Determinants of Livestock Prices in Niger

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  • Fafchamps, Marcel
  • Gavian, Sarah

Abstract

Not only does livestock make an important contribution to rural incomes and export earnings in the Sahel, it is also kept as insurance against weather risk. Fluctuations in livestock prices can therefore trigger food entitlement failures. Using monthly price data from Niger, we show that livestock prices respond to droughts and pasture availability. They are also exposed to aggregate shifts in export revenues and meat demand that affect Niger and its southern neighbor Nigeria. These shifts add an important element of risk to the livelihood of Sahelian farmers and pastoralists. Famine early-warning systems should keep an eye not only on weather shocks but also on macroeconomic conditions and other factors affecting the livestock economy. Copyright 1997 by Oxford University Press.

Suggested Citation

  • Fafchamps, Marcel & Gavian, Sarah, 1997. "The Determinants of Livestock Prices in Niger," Journal of African Economies, Centre for the Study of African Economies, vol. 6(2), pages 255-295, July.
    • Handle: RePEc:oup:jafrec:v:6:y:1997:i:2:p:255-95
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    Cited by:

    1. Verpoorten, Marijke, 2009. "Household coping in war- and peacetime: Cattle sales in Rwanda, 1991-2001," Journal of Development Economics, Elsevier, vol. 88(1), pages 67-86, January.
    2. Bachewe, Fantu Nisrane & Yimer, Feiruz & Minten, Bart, 2017. "Agricultural price evolution in drought versus non-drought affected areas in Ethiopia: An updated assessment using national producer data (January 2014 to January 2017)," ESSP working papers 106, International Food Policy Research Institute (IFPRI).
    3. Camille Laville, 2021. "Keep Off the Grass : Grassland Scarcity and the Security Implications of Cross-Border Transhumance Between Niger and Nigeria," Working Papers hal-03350202, HAL.
    4. Baldwin, Katherine L. & DeVeau, Vanessa & Foster, Kenneth A. & Marshall, Maria I., 2008. "Traits Affecting Household Marketing Decisions in Rural Kenya," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6445, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    5. Zimmerman, Frederick J. & Carter, Michael R., 2003. "Asset smoothing, consumption smoothing and the reproduction of inequality under risk and subsistence constraints," Journal of Development Economics, Elsevier, vol. 71(2), pages 233-260, August.
    6. Fantu Bachewe & Derek Headey & Bart Minten, 2023. "Price predictors in an extended hedonic regression framework: An application to wholesale cattle markets in Ethiopia," Agricultural Economics, International Association of Agricultural Economists, vol. 54(2), pages 289-306, March.
    7. Camille Laville, 2021. "Keep Off the Grass : Grassland Scarcity and the Security Implications of Cross-Border Transhumance Between Niger and Nigeria," CERDI Working papers hal-03350202, HAL.
    8. WALTHER Olivier, 2012. "Regional trade and economic networks in West Africa," LISER Working Paper Series 2012-07, Luxembourg Institute of Socio-Economic Research (LISER).
    9. Turner, Matthew D. & Williams, Timothy O., 2002. "Livestock Market Dynamics and Local Vulnerabilities in the Sahel," World Development, Elsevier, vol. 30(4), pages 683-705, April.
    10. Christopher B. Barrett & Francis Chabari & DeeVon Bailey & Peter D. Little & D. Layne Coppock, 2003. "Livestock Pricing in the Northern Kenyan Rangelands," Journal of African Economies, Centre for the Study of African Economies, vol. 12(2), pages 127-155, June.
    11. Bachewe, Fantu Nisrane & Yimer, Feiruz & Minten, Bart & Dorosh, Paul A., 2016. "Agricultural prices during drought in Ethiopia: An assessment using national producer data (January 2014 to January 2016)," ESSP working papers 88, International Food Policy Research Institute (IFPRI).
    12. Li Zhou & Jie Sun & Wuyang Hu & Yu Zhang, 2023. "Asset Smoothing and Consumption Smoothing: Disaster‐coping Strategies in Noncontiguous and Contiguous Destitute Areas," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 31(2), pages 223-250, March.
    13. Barrett, Christopher B. & Luseno, Winnie K., 2001. "Decomposing Producer Price Risk: An Analysis Of Livestock Markets In Northern Kenya," 2001 Annual Meeting, July 8-11, 2001, Logan, Utah 36154, Western Agricultural Economics Association.
    14. Fafchamps, Marcel & Udry, Christopher & Czukas, Katherine, 1998. "Drought and saving in West Africa: are livestock a buffer stock?," Journal of Development Economics, Elsevier, vol. 55(2), pages 273-305, April.
    15. Barrett, Christopher B. & Luseno, Winnie K., 2004. "Decomposing producer price risk: a policy analysis tool with an application to northern Kenyan livestock markets," Food Policy, Elsevier, vol. 29(4), pages 393-405, August.
    16. Yashodhan Ghorpade, 2012. "Coping Strategies in Natural Disasters and under Conflict: A Review of Household Responses and Notes for Public Policy," HiCN Working Papers 136, Households in Conflict Network.
    17. Bachewe, Fantu Nisrane & Yimer, Feiruz & Minten, Bart, 2016. "Agricultural prices during drought in Ethiopia: An updated assessment using national producer data (January 2014 to June 2016)," ESSP working papers 97, International Food Policy Research Institute (IFPRI).
    18. Simon Lange & Malte Reimers, 2014. "Livestock as an Imperfect Buffer Stock in Poorly Integrated Markets," Courant Research Centre: Poverty, Equity and Growth - Discussion Papers 162, Courant Research Centre PEG.
    19. Karen Eggleston & Robert Jensen & Richard Zeckhauser, 2002. "Information and Communication Technologies, Markets and Economic Development," Discussion Papers Series, Department of Economics, Tufts University 0203, Department of Economics, Tufts University.

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