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Accelerating Africa's food production in response to rising food prices: Impacts and requisite actions

Author

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  • Diao, Xinshen
  • Fan, Shenggen
  • Headey, Derek
  • Johnson, Michael
  • Nin Pratt, Alejandro
  • Yu, Bingxin

Abstract

"In Africa the global food crisis threatens the livelihoods of millions of people who because of high rates of poverty, hunger, malnutrition, and food dependency are already exceptionally vulnerable. In better circumstances, Africa's agricultural sector would respond to rising prices by increasing food supply. But such a response is impossible without significant new policy actions on both the production and marketing of African agriculture. This paper assesses the likely impacts of two strategic policy options: doubling African staples production, and improving “market access” through regional integration and lowering transaction costs. Using an economywide multimarket model for 17 African economies and econometrically estimated parameters describing the relationships between growth and poverty and between public spending and growth, we assess the impacts of these two strategic options on Africa's food markets and its broader economic development. Doubling staples production significantly increases food security, reduces consumer food prices by roughly 25 percent, reduces producer prices by 10 percent (thus raising farm revenue), accelerates agricultural growth rates, facilitates broader economic growth through new agroprocessing and export opportunities, and lifts more than 100 million Africans out of poverty. Key policy actions are needed to move from this strategic vision to implementation. The first set of actions requires investing $38 billion from 2009 to 2013, or $7.5 billion per year, in a well-designed package of modern agricultural inputs and provisions. The second requires improving and extending transport infrastructure, especially major transport corridors and rural feeder roads. The third requires reducing tra*de barriers, which still remain much higher in agriculture than in other sectors. All of these actions are technically and financially feasible, but their timely implementation requires urgent initiatives by both national and international policymakers." from authors' abstract

Suggested Citation

  • Diao, Xinshen & Fan, Shenggen & Headey, Derek & Johnson, Michael & Nin Pratt, Alejandro & Yu, Bingxin, 2008. "Accelerating Africa's food production in response to rising food prices: Impacts and requisite actions," IFPRI discussion papers 825, International Food Policy Research Institute (IFPRI).
  • Handle: RePEc:fpr:ifprid:825
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    References listed on IDEAS

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    Cited by:

    1. Johnson, M., 2014. "Exploring strategic priorities for regional agricultural research and development investments in Southern Africa," IWMI Working Papers H046297, International Water Management Institute.
    2. Renkow, Mitch, 2010. "Impacts of IFPRI's "priorities for pro-poor public investment" global research program:," Impact assessments 31, International Food Policy Research Institute (IFPRI).
    3. Johnson, Michael E. & Benin, Samuel & You, Liangzhi & Diao, Xinshen & Chilonda, Pius & Kennedy, Adam, 2014. "Exploring strategic priorities for regional agricultural research and development investments in southern Africa:," IFPRI discussion papers 1318, International Food Policy Research Institute (IFPRI).
    4. Genesis T. Yengoh & Frederick Ato Armah & Edward Ebo Onumah, 2010. "Paths to Attaining Food Security: The Case of Cameroon," Challenges, MDPI, Open Access Journal, vol. 1(1), pages 1-22, August.
    5. Hazell, Peter B.R., 2012. "Elmhirst Lecture, 27th International Conference of Agricultural Economists, Foz do Iguaçu, Brazil August 2012 : Options for African Agriculture in an Era of High Food and Energy Prices," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 127070, International Association of Agricultural Economists.
    6. Midingoyi, Soul-kifouly & Hippolyte, Affognon & Georges, Ong'amo & Bruno, LeRu, 2015. "Economic Welfare Change Attributable to Biological Control of Lepidopteran Cereal Stemborer Pests in East and Southern Africa: Cases of Maize and Sorghum in Kenya, Mozambique and Zambia," 2015 Conference, August 9-14, 2015, Milan, Italy 212461, International Association of Agricultural Economists.
    7. Muhammad Azam & Muhammad Irfan Chani & Muhammad Wasif Siddiqi, 2014. "An Augmented Solow Growth Model: The Role of Agriculture Productivity and Institutional Quality in Pakistan," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 3(2), pages 47-59, June.
    8. M. L. Mabuza & G. F. Ortmann & E. Wale, 2016. "Frequency and extent of employing food insecurity coping strategies among rural households: determinants and implications for policy using evidence from Swaziland," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 8(1), pages 255-269, February.
    9. Omilola, Babatunde & Lambert, Melissa, 2010. "Weathering the storm," IFPRI discussion papers 965, International Food Policy Research Institute (IFPRI).

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    Keywords

    Food prices; Green Revolution; Staple foods; Agricultural productivity; Market access; infrastructure; economic modeling;

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