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The Political Economy of Food Price Policy in South Africa

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  • Kirsten, Johann F.

Abstract

This paper analyses the food price trends in South Africa during two periods of rapid food price inflation that occurred in the decade 2000–10 and unpacks the political reaction and policy responses to the food price crises in these two periods. Based on personal recollection of events during the past decade, interviews with former politicians and state officials, as well as a thorough investigation of relevant cabinet and government documents it is concluded that agricultural and food policy in South Africa remained largely unchanged with no controls or regulations introduced. The South African state has maintained since 1998 a substantive social welfare programme reaching the poorest 20 per cent of the South African population, which has provided an important safety net during periods of high food prices. The South African government nevertheless implemented a set of `second class´ interventions that mostly target the poorer section of the population in an attempt to mitigate the negative effects of price changes and include elements such as food parcels, agricultural starter packs, and vegetable gardens.

Suggested Citation

  • Kirsten, Johann F., 2012. "The Political Economy of Food Price Policy in South Africa," WIDER Working Paper Series 102, World Institute for Development Economic Research (UNU-WIDER).
  • Handle: RePEc:unu:wpaper:wp2012-102
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    References listed on IDEAS

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    1. Dorrit Posel & Michael Rogan, 2012. "Gendered trends in poverty in the post-apartheid period, 1997--2006," Development Southern Africa, Taylor & Francis Journals, vol. 29(1), pages 97-113, March.
    2. Abidoye, Babatunde O. & Marlene, Labuschagne, 2012. "The Transmission of World Maize Price to South African Maize Market: A Threshold Cointegration Approach," Working Papers 206515, University of Pretoria, Department of Agricultural Economics, Extension and Rural Development.
    3. Murray Leibbrandt & Ingrid Woolard & Arden Finn & Jonathan Argent, 2010. "Trends in South African Income Distribution and Poverty since the Fall of Apartheid," OECD Social, Employment and Migration Working Papers 101, OECD Publishing.
    4. Nick Vink, 2004. "The influence of policy on the roles of agriculture in South Africa," Development Southern Africa, Taylor & Francis Journals, vol. 21(1), pages 155-177.
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    Cited by:

    1. Abidoye, Babatunde O. & Marlene, Labuschagne, 2012. "The Transmission of World Maize Price to South African Maize Market: A Threshold Cointegration Approach," Working Papers 206515, University of Pretoria, Department of Agricultural Economics, Extension and Rural Development.
    2. Bryan, Shane, 2013. "A Cacophony of Policy Responses: Evidence from Fourteen Countries During the 2007/08 Food Price Crisis," WIDER Working Paper Series 029, World Institute for Development Economic Research (UNU-WIDER).
    3. Watson, Derrill D., 2013. "Political Economy Synthesis: the Food Policy Crisis," WIDER Working Paper Series 050, World Institute for Development Economic Research (UNU-WIDER).
    4. d'Agostino, Giorgio & Scarlato, Margherita & Napolitano, Silvia, 2016. "Do Cash Transfers Promote Food Security? The Case of the South African Child Support Grant," MPRA Paper 69177, University Library of Munich, Germany.
    5. McKay, Andy & Tarp, Finn, 2014. "Distributional impacts of the 2008 global food price spike in Vietnam," WIDER Working Paper Series 030, World Institute for Development Economic Research (UNU-WIDER).
    6. Baltzer, Kenneth, 2013. "International to Domestic Price Transmission in Fourteen Developing Countries During the 2007-08 Food Crisis," WIDER Working Paper Series 031, World Institute for Development Economic Research (UNU-WIDER).
    7. Babatunde O. Abidoye & Marlene Labuschagne, 2014. "The transmission of world maize price to South African maize market: a threshold cointegration approach," Agricultural Economics, International Association of Agricultural Economists, vol. 45(4), pages 501-512, July.
    8. Aye, Goodness C., 2016. "Causality between Oil Price and South Africa's Food Price: Time Varying Approach - Relazione di causalità tra prezzo del petrolio e pr ezzo dei prodotti alimentari in Sud Africa: un approccio time var," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 69(3), pages 193-212.

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    Keywords

    Food supply;

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