Rising Imports and Domestic Rice Production in Togo

Rice is one of the major food crop produced and consumed in Togo. Although it has the potential to produce more than it needs, Togo imports nearly 50 percent of domestic consumption. Realizing its potential for increasing household income and food security, the government has been encouraging domestic production through various farm support programs since early 1990s. Although these programs have achieved some success in increasing production, it has failed to keep up with the soaring market demand. Moreover, despite consistent efforts from the government, only about 20 percent of the land suitable for rice cultivation was producing paddy until 2007. Although most native varieties are in high demand and receive significantly higher prices than imported varieties, factors such as limited access to modern inputs, lack of market information, and rising cheap imports are the primary constraints for steady growth in domestic rice production. In this light, this study aims to evaluate the impact of rising imports on domestic rice production in Togo. A source differentiated import demand function is used to evaluate the impact of importing broken, brown, and milled rice on domestic production. Preliminary results show that imported broken rice is considered as an inferior good in Togo.