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Agricultural Market Performance and Determinants of Fertilizer Use in Ethiopia

Author

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  • Demeke, Mulat
  • Kelly, Valerie A.
  • Jayne, Thomas S.
  • Said, Ali
  • Le Vallee, Jean-Charles
  • Chen, H.

Abstract

This paper examines how the fertilizer sector in general, and farmers’ demand for fertilizer in particular, has evolved since the introduction of fertilizer sector reforms in Ethiopia. There is much debate in the agricultural development literature about whether fertilizer use in Africa is constrained primarily by poor input distribution systems, by farmers’ lack of knowledge concerning the benefits and correct use of fertilizer, or by lack of effective demand because the product is simply not profitable enough. This paper looks at each of these issues in an effort to understand the relative importance of the different constraints and how well current policies are addressing the problems. It attempts to identify additional policy measures needed to sustain expanded use of fertilizer and thus enhance food security in Ethiopia.

Suggested Citation

  • Demeke, Mulat & Kelly, Valerie A. & Jayne, Thomas S. & Said, Ali & Le Vallee, Jean-Charles & Chen, H., 1998. "Agricultural Market Performance and Determinants of Fertilizer Use in Ethiopia," Food Security Collaborative Working Papers 55599, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  • Handle: RePEc:ags:midcwp:55599
    DOI: 10.22004/ag.econ.55599
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    References listed on IDEAS

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    1. Leones, Julie P. & Rozelle, Scott, 1991. "Rural Household Data Collection in Developing Countries: Designing Instruments and Methods for Collecting Off-Farm Income Data," Working Papers 128160, Cornell University, Department of Applied Economics and Management.
    2. Rozelle, Scott, 1991. "Rural Household Data Collection In Developing Countries: Designing Instruments And Methods For Collecting Farm Production Data," Working Papers 7267, Cornell University, Department of Applied Economics and Management.
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    Citations

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    Cited by:

    1. Minten, Bart & Taffesse, Alemayehu Seyoum & Brown, Petra, 2018. "Conclusion [In The Economics of Teff]," IFPRI book chapters, in: The economics of teff: Exploring Ethiopia’s biggest cash crop, chapter 16, pages 397-411, International Food Policy Research Institute (IFPRI).
    2. Alemu, Zerihun Gudeta & Oosthuizen, L.K. & van Schalkwyk, Herman D., 2003. "The Effect And Persistence Of Major Changes In Economic Policies On The Long-Term Performance (Trend) Of Ethiopian Agriculture," 2003 Annual Conference, October 2-3, 2003, Pretoria, South Africa 19089, Agricultural Economics Association of South Africa (AEASA).
    3. Minten, Bart & Taffesse, Alemayehu Seyoum & Brown, Petra, 2018. "The economics of teff: Exploring Ethiopia’s biggest cash crop," IFPRI books, International Food Policy Research Institute (IFPRI), number 9780896292833.
    4. Takada, Jun & Shuto, Hisato, 2023. "Causal linkages between land reform and factor demand under tenure insecurity: Evidence from Amhara Region, Ethiopia," Land Use Policy, Elsevier, vol. 128(C).
    5. Kefyalew Endale, 2011. "Fertilizer Consumption and Agricultural Productivity in Ethiopia," Working Papers 003, Policy Studies Institute.
    6. Wanzala, Maria N. & Jayne, Thomas S. & Staatz, John M. & Mugera, Amin W. & Kirimi, Justus & Owuor, Joseph, 2001. "Agricultural Production Incentives: Fertilizer Markets and Insights from Kenya," Food Security Collaborative Working Papers 55150, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    7. Xiang Gao & Binglong Li & Song Jiang & Yunbin Nie, 2021. "Can Increasing Scale Efficiency Curb Agricultural Nonpoint Source Pollution?," IJERPH, MDPI, vol. 18(16), pages 1-17, August.
    8. Spielman, David J. & Mekonnen, Dawit Kelemework & Alemu, Dawit, 2012. "Seed, fertilizer, and agricultural extension in Ethiopia," IFPRI book chapters, in: Dorosh, Paul A. & Rashid, Shahidur (ed.), Food and agriculture in Ethiopia: Progress and policy challenges, chapter 4, International Food Policy Research Institute (IFPRI).
    9. Kedir Jemal, Mekamu & Schmidt, Emily & Tilahun, Helina, 2018. "Market access, teff production, and fertilizer use over time," IFPRI book chapters, in: The economics of teff: Exploring Ethiopia’s biggest cash crop, chapter 6, pages 131-148, International Food Policy Research Institute (IFPRI).
    10. Lin Xie & Zeyuan Qiu & Liangzhi You & Yang Kang, 2020. "A Macro Perspective on the Relationship between Farm Size and Agrochemicals Use in China," Sustainability, MDPI, vol. 12(21), pages 1-17, November.
    11. Liverpool-Tasie, Lenis Saweda O. & Jayne, Thomas & Muyanga, Milu & Sanou, Awa, 2017. "Are African Farmers Experiencing Improved Incentives To Use Fertilizer?," Feed the Future Innovation Lab for Food Security Policy Research Papers 270632, Michigan State University, Department of Agricultural, Food, and Resource Economics, Feed the Future Innovation Lab for Food Security (FSP).
    12. Yonas Alem & Mintewab Bezabih & Menale Kassie & Precious Zikhali, 2010. "Does fertilizer use respond to rainfall variability? Panel data evidence from Ethiopia," Agricultural Economics, International Association of Agricultural Economists, vol. 41(2), pages 165-175, March.
    13. Haileslassie, Amare & Priess, Joerg A. & Veldkamp, Edzo & Lesschen, Jan Peter, 2007. "Nutrient flows and balances at the field and farm scale: Exploring effects of land-use strategies and access to resources," Agricultural Systems, Elsevier, vol. 94(2), pages 459-470, May.
    14. Yanggen, David & Kelly, Valerie A. & Reardon, Thomas & Naseem, Anwar, 1998. "Incentives for Fertilizer Use in Sub-Saharan Africa: A Review of Empirical Evidence on Fertilizer Response and Profitability," Food Security International Development Working Papers 54677, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    15. Larson, Donald F. & Gurara, Daniel Zerfu, 2013. "A conceptual model of incomplete markets and the consequences for technology adoption policies in Ethiopia," Policy Research Working Paper Series 6681, The World Bank.
    16. Shimeles, Abebe & Gurara, Daniel Zerfu & Birhanu Tessema, Dawit, 2015. "Market Distortions and Political Rent: The Case of Fertilizer Price Divergence in Africa," IZA Discussion Papers 8998, Institute of Labor Economics (IZA).
    17. Kelly, Valerie A., 2005. "Farmers' Demand for Fertilizer in Sub-Saharan Africa," Staff Paper Series 11612, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    18. Gebrehiwot, Desta Brhanu, 2015. "Impact of Weather Index Insurance on Household Demand for Fertilizer in Tigray Region," MPRA Paper 94410, University Library of Munich, Germany.
    19. Rashid, Shahidur & Tefera, Nigussie & Minot, Nicholas & Ayele, Gezahegn, 2013. "Fertilizer in Ethiopia: An assessment of policies, value chain, and profitability:," IFPRI discussion papers 1304, International Food Policy Research Institute (IFPRI).
    20. Kelly, Valerie & Adesina, Akinwumi A. & Gordon, Ann, 2003. "Expanding access to agricultural inputs in Africa: a review of recent market development experience," Food Policy, Elsevier, vol. 28(4), pages 379-404, August.
    21. Ermias Engida Legesse & Amit Kumar Srivastava & Arnim Kuhn & Thomas Gaiser, 2019. "Household Welfare Implications of Better Fertilizer Access and Lower Use Inefficiency: Long-Term Scenarios for Ethiopia," Sustainability, MDPI, vol. 11(14), pages 1-24, July.
    22. Alemu, Zerihun Gudeta, 2005. "Causes Of Instability In Cereal Production In Ethiopia," Working Paper Series 28073, University of the Free State, Department of Agricultural Economics.

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    Keywords

    Crop Production/Industries; Marketing;

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