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Factors Driving the Growth in Fertilizer Consumption in Kenya, 1990-2005: Sustaining the Momentum in Kenya and Lessons for Broader Replicability in Sub-Saharan Africa

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  • Ariga, Joshua
  • Jayne, Thomas S.
  • Nyoro, James K.

Abstract

The objective of this study is to identify the factors responsible for the impressive growth in fertilizer use in Kenya since market liberalization in the early 1990s. Over the past 10 years, fertilizer consumption has risen by 35%. So far, it is unknown whether smallholder farmers are responsible for this growth or whether it is being driven mainly by the large-scale and/or estate sectors. Moreover, it is important for policy makers to know whether the increased fertilizer consumption is being devoted to smallholder food crops or whether industrial crops such as tea and sugarcane are responsible for this growth. This study addresses these questions using nationwide survey data on smallholder fertilizer use patterns between 1996 and 2004. The study also explores whether the growth in fertilizer use in Kenya is attributed to any particular types of fertilizer delivery supply chains. A better understanding of the types of fertilizer distribution channels fueling the growth in consumption and the sustainability of these delivery systems can be of great help in guiding future policy to replicate successful supply chain models more widely in Kenya. Finally the study is meant to guide discussions on fertilizer marketing policy in Kenya in line with the new Economic Recovery Strategy (ERS).

Suggested Citation

  • Ariga, Joshua & Jayne, Thomas S. & Nyoro, James K., 2006. "Factors Driving the Growth in Fertilizer Consumption in Kenya, 1990-2005: Sustaining the Momentum in Kenya and Lessons for Broader Replicability in Sub-Saharan Africa," Food Security Collaborative Working Papers 55167, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  • Handle: RePEc:ags:midcwp:55167
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    References listed on IDEAS

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    1. Wekesa, E. & Mwangi, Wilfred & Verkuijl, Hugo & Danda, Milton Kengo & De Groote, Hugo, 2003. "Adoption of Maize Production Technologies in the Coastal Lowlands of Kenya," Miscellaneous Reports 56109, CIMMYT: International Maize and Wheat Improvement Center.
    2. Omamo, Steven Were & Mose, Lawrence O., 2001. "Fertilizer trade under market liberalization: preliminary evidence from Kenya," Food Policy, Elsevier, vol. 26(1), pages 1-10, February.
    3. Jayne, T.S. & Yamano, Takashi & Nyoro, James, 2004. "Interlinked credit and farm intensification: evidence from Kenya," Agricultural Economics, Blackwell, vol. 31(2-3), pages 209-218, December.
    4. Kherallah, Mylène & Delgado, Christopher L. & Gabre-Madhin, Eleni Z. & Minot, Nicholas & Johnson, Michael, 2002. "Reforming agricultural markets in Africa," Food policy statements 38, International Food Policy Research Institute (IFPRI).
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    Cited by:

    1. Gorter, Harry & Tsur, Yacov, 2010. "Towards a Genuine Sustainability Standard for Biofuel Production," 14th ICABR Conference, June 16-18, 2010, Ravello, Italy 188083, International Consortium on Applied Bioeconomy Research (ICABR).
    2. Sheahan, Megan & Black, Roy & Jayne, Thomas S., 2012. "Are Farmers Under-Utilizing Fertilizer? Evidence from Kenya," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126739, International Association of Agricultural Economists.
    3. M. Mekonnen & A. Hoekstra & R. Becht, 2012. "Mitigating the Water Footprint of Export Cut Flowers from the Lake Naivasha Basin, Kenya," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 26(13), pages 3725-3742, October.
    4. Spielman, David J. & Mekonnen, Dawit Kelemework & Alemu, Dawit, 2012. "Seed, fertilizer, and agricultural extension in Ethiopia," IFPRI book chapters,in: Food and agriculture in Ethiopia: Progress and policy challenges, chapter 4 International Food Policy Research Institute (IFPRI).
    5. Sheahan, Megan & Black, Roy & Jayne, Thomas S., 2012. "What is the Scope for Increased Fertilizer Use in Kenya?," Food Security International Development Working Papers 135283, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    6. Winter-Nelson, Alex & Argwings-Kodhek, Gem, 2007. "Distortions to Agricultural Incentives in Kenya," Agricultural Distortions Working Paper 48521, World Bank.
    7. Jayne, Thomas S. & Govereh, Jones & Chilonda, Pius & Mason, Nicole M. & Chapoto, Antony & Haantuba, Hyde H., 2007. "Trends in Agricultural and Rural Development Indicators in Zambia," Food Security Collaborative Working Papers 54483, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    8. Nkonya, Ephraim & Place, Frank & Pender, John & Mwanjololo, Majaliwa & Okhimamhe, Appollonia & Kato, Edward & Crespo, Susana & Ndjeunga, Jupiter & Traore, Sibiry, 2011. "Climate risk management through sustainable land management in Sub-Saharan Africa:," IFPRI discussion papers 1126, International Food Policy Research Institute (IFPRI).
    9. De Groote, Hugo & Andam, Kwaw S. & Munyua, Bernard & Spielman, David J., 2010. "Market Segmentation Strategies And Seed Purchasing Decisions Among Smallholders: Preliminary Findings From Kenya," 14th ICABR Conference, June 16-18, 2010, Ravello, Italy 188084, International Consortium on Applied Bioeconomy Research (ICABR).
    10. Diao, Xinshen & Kennedy, Adam & Badiane, Ousmane & Cossar, Frances & Dorosh, Paul & Ecker, Olivier & Hagos, Hosaena Ghebru & Headey, Derek & Mabiso, Athur & Makombe, Tsitsi & Malek, Mehrab & Schmidt, , 2013. "Evidence on key policies for African agricultural growth:," IFPRI discussion papers 1242, International Food Policy Research Institute (IFPRI).
    11. Krausova, Marika & Banful, Afua Branoah, 2010. "Overview of the agricultural input sector in Ghana," IFPRI discussion papers 1024, International Food Policy Research Institute (IFPRI).
    12. Sheahan, Megan & Black, Roy & Jayne, T.S., 2013. "Are Kenyan farmers under-utilizing fertilizer? Implications for input intensification strategies and research," Food Policy, Elsevier, vol. 41(C), pages 39-52.
    13. Spielman, David J. & Byerlee, Derek & Alemu, Dawit & Kelemework, Dawit, 2010. "Policies to promote cereal intensification in Ethiopia: The search for appropriate public and private roles," Food Policy, Elsevier, vol. 35(3), pages 185-194, June.
    14. World Bank, 2007. "Ethiopia - Accelerating Equitable Growth : Country Economic Memorandum, Part 2. Thematic Chapters," World Bank Other Operational Studies 7866, The World Bank.

    More about this item

    Keywords

    Food Security; Food Policy; Fertilizer Consumption; Kenya; Crop Production/Industries; Q18;

    JEL classification:

    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy

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