Failures in agricultural input mark

Failures in agricultural input markets are common in developing countries and are a major
constraint to productivity growth. Farmers in sub-Saharan African face particularly acute
constraints, with poor output price incentives, high fertilizer prices, lack of liquidity/credit and
lack of knowledge. In low input/low output agricultural systems, fertilizer subsidies can play a
role in raising fertilizer use and agricultural productivity. They can help demonstrate the
benefits of fertilizers and/or kick-start market development by raising input demand at a large
scale. However subsidies do not represent a suitable policy option on the long run, as they do
not address the root causes of low fertilizer use on input or outputs markets and they involve
unsustainable fiscal costs for the economy.
This paper provides an analysis of the economic rationale for subsidizing agricultural inputs
with public money and a literature review of recent experience with subsidies in Sub-Saharan
Africa. The paper reviews 14 national policies implemented since the late 1990s. Those
programmes evolved over time from small-scale demonstration packages to large-scale, multiyear
programmes that heavily subsidize fertilizer price to producers. They are targeted at
smaller scale farmers, as in East Africa (Kenya, Malawi, Rwanda, United Republic of Tanzania,
Zambia), or universal, as in West Africa (Burkina Faso, Senegal, Mali, Nigeria, Ghana). The new
generation of input subsidies (‘smart’ subsidies) brings innovations in design (e.g. targeting;
vouchers) to support both the most constrained farmers and encourage the development of
input markets. Available evidence, albeit very limited, suggests that such programmes have
been effective in raising fertilizer use, average yields and agricultural production but that their
success is highly dependent on implementation. Economic efficiency and equity considerations
have been less studied and results look less conclusive.
The paper concludes with a set of recommendations on the potential contribution of fertilizer
subsidies to national food security objectives and some of the entry points for improving their
design and efficiency. Policy-makers should adopt clear and non-contradictory objectives that
are aligned with their national food security objectives. They should develop targeted packages
for a variety of agro-ecologic contexts and farming systems and combine those with
complementary services to raise farmers demand (e.g. extension and research). Procurement
and distribution of subsidized fertilizers should enhance and not inhibit input market
development (market-friendliness). Finally complementary or alternative public expenditures
should be mobilized to achieve national food security goals, e.g. cash transfer programmes to
increase farm income and input use; market liberalization and infrastructure development to
establish strong, private sector-led input supply markets.
Key words: (Inorganic) Fertilizer; Agricultural subsidies; Agricultural productivity;

ผลลัพธ์ (อังกฤษ) 2:

Agricultural input failures in markets are common in developing countries and are a Major
Productivity constraint to growth. Farmers in Sub-Saharan African Face particularly acute
constraints, with poor output Price Incentives, High Fertilizer prices, Lack of Liquidity / Credit and
Lack of Knowledge. In low input / low output Agricultural Systems, Fertilizer subsidies Can Play a
role in Raising Agricultural Productivity and Fertilizer use. Can they demonstrate the Help
Benefits of Fertilizers and / or Kick-Start Market Development by Raising input demand at a Large
scale. However subsidies do not represent a Suitable Policy Option on the long Run, as they do
not address the root causes of low Fertilizer use on input or outputs markets and they involve
unsustainable Fiscal costs for the Economy.
This Paper provides an Analysis of the Economic rationale. Subsidizing for Agricultural inputs
with Public Money and a review of recent literature in Sub-Saharan Experience with subsidies
Africa. The paper reviews 14 national policies implemented since the late 1990s. Those
programs Evolved over time from Small to Large-scale demonstration Packages-scale, multiyear
programs that heavily subsidize Fertilizer Price to producers. They are targeted at
smaller scale Farmers, as in East Africa (Kenya, Malawi, Rwanda, United Republic of Tanzania,
Zambia), or Universal, as in West Africa (Burkina Faso, Senegal, Mali, Nigeria, Ghana). The New
Generation of input subsidies ( 'Smart' subsidies) brings Innovations in Design (eg targeting;
vouchers) Support to the Most constrained both encourage the Development of Farmers and
input markets. Available Evidence, albeit very Limited, suggests that such programs have
been effective in Raising Fertilizer use, but that their average yields and Agricultural Production
Success is highly dependent on implementation. Economic Equity and efficiency considerations
have been studied Less and Less conclusive results Look.
The Paper concludes with a SET of Recommendations on the potential contribution of Fertilizer
subsidies to National Food Security and objectives Some of the Entry points for Improving their
efficiency and Design. Policy-makers should adopt Clear and non-contradictory objectives that
are Aligned with their National Food Security objectives. They should Develop targeted Packages
for a Variety of agro-ecologic contexts and Farming Systems and Combine those with
Complementary Services to Raise Farmers demand (eg Extension and Research). Procurement
and Distribution of subsidized Fertilizers should not inhibit input and Enhance Market
Development (Market-friendliness). Finally Complementary or alternative Public expenditures
should be mobilized to Achieve National Food Security goals, eg Cash Transfer programs to
increase income and Farm input use; Market liberalization and Infrastructure Development to
establish strong, private-Sector Supply LED input markets.
Key Words: (Inorganic) Fertilizer; Agricultural subsidies; Agricultural productivity;

ผลลัพธ์ (อังกฤษ) 3:

Failures in agricultural input markets are common in developing countries and are a major.Constraint to productivity growth. Farmers in sub-Saharan African face particularly acute.Constraints with poor, output price incentives high prices lack, fertilizer, of liquidity / credit and.Lack of knowledge. In low input / low output, agricultural systems fertilizer subsidies can play a.Role in raising fertilizer use and agricultural productivity. They can help demonstrate the.Benefits of fertilizers and / or kick-start market development by raising input demand at a large.Scale. However subsidies do not represent a suitable policy option on the long run as they, do.Not address the root causes of low fertilizer use on input or outputs markets and they involve.Unsustainable fiscal costs for the economy.This paper provides an analysis of the economic rationale for subsidizing agricultural inputs.With public money and a literature review of recent experience with subsidies in Sub-Saharan.Africa. The paper reviews 14 national policies implemented since the late 1990s. Those.Programmes evolved over time from small-scale demonstration packages, to large-scale multiyear.Programmes that heavily subsidize fertilizer price to producers. They are targeted at.Smaller, scale farmers as in East Africa (Kenya Malawi Rwanda,,,, United Republic of TanzaniaZambia), or universal as in, West Africa (Burkina Faso Senegal Mali,,,, Nigeria Ghana). The new.Generation of input subsidies ("smart" subsidies) brings innovations in design (e.g. Targeting;Vouchers) to support both the most constrained farmers and encourage the development of.Input markets. Available evidence albeit limited, very, that suggests such programmes have.Been effective in raising fertilizer use average yields, and agricultural production but that their.Success is highly dependent on implementation. Economic efficiency and equity considerations.Have been less studied and results look less conclusive.The paper concludes with a set of recommendations on the potential contribution of fertilizer.Subsidies to national food security objectives and some of the entry points for improving their.Design and efficiency. Policy-makers should adopt clear and non-contradictory objectives that.Are aligned with their national food security objectives. They should develop targeted packages.For a variety of agro-ecologic contexts and farming systems and combine those with.Complementary services to raise farmers demand (e.g. Extension and Research). Procurement.And distribution of subsidized fertilizers should enhance and not inhibit input market.Development (market-friendliness). Finally complementary or alternative public expenditures.Should be mobilized to achieve national food, security goals e.g. Cash transfer programmes to.Increase farm income and input use; market liberalization and infrastructure development to.Establish, strong private sector - led input supply markets.Key words: (Inorganic) Fertilizer; Agricultural subsidies; Agricultural productivity;