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The dis-incentive effects of food aid and agricultural policies on local land allocation in developing countries: The case of Malawi

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  • Stanley Sharaunga
  • Edilegnaw Wale

Abstract

Food aid and other agricultural policies can create incentives/disincentives in local agricultural production. This paper provides empirical evidence on the disincentive effects of both food aid and some agricultural policies in Malawi. In contrast to previous studies, this paper analyses the impact of food aid on the proportion of land allocated to cereal crops and the interplay of both food aid and other agricultural policies in creating disincentive effects. Data were analysed using the logit transformation regression. It was found that, in addition to the disincentive effects of food aid, agricultural policies including price controls and sustained reliance on imported cereals were also undermining incentives to sustain local agricultural production. Therefore, both food aid and agricultural price policies need to be aligned to farmers' incentives to optimcally allocate land to food production.

Suggested Citation

  • Stanley Sharaunga & Edilegnaw Wale, 2013. "The dis-incentive effects of food aid and agricultural policies on local land allocation in developing countries: The case of Malawi," Development Southern Africa, Taylor & Francis Journals, vol. 30(4-5), pages 491-507, December.
    • Handle: RePEc:taf:deveza:v:30:y:2013:i:4-5:p:491-507
    DOI: 10.1080/0376835X.2013.817300
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    Cited by:

    1. Rodrigo Jesus Silva & Gabriela Bielefeld Nardoto & Tatiana Schor & Marcia Regina Farias Silva & Luiz Antônio Martinelli, 2022. "Impacts of market economy access and livelihood conditions on agro-food transition in rural communities in three macro-regions of Brazil," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(1), pages 1010-1030, January.

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