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Agricultural Subsidies & Input voucher Program Regional Dialogue 31 st Aug to 4 th September 2009 Maputo David B Kamchacha PhD. policy@fanrpan.org www.fanrpan.org. Slow Agriculture Growth. The Malawi Input Voucher Programme. Results. Agriculture Growth. Farmer Case studies.
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Agricultural Subsidies & Input voucher Program Regional Dialogue 31st Aug to 4th September 2009 Maputo David B Kamchacha PhD policy@fanrpan.org www.fanrpan.org
Zambia Fertilizer Support Programme (FSP) • Fertiliser Support since 2002 • Yield increased from 1.1mt to 2.4t/ha (year 2002-8) • Area cultivated: • Fertilizer user- 795, 000 ha • None users 1, 131, 000 ha (2008/09). • National yield average 1.3mt/ha
Percent of Fertilizer Users and Non-Users BY the Source of Fertilizer
Continued • Surpluses allowed them to enter crop markets and trade with non-beneficiaries • Able to rent tractors to cultivate bigger areas
Overall Outcome • Vouchers can integrate commercial and non-commercial input distribution systems • Timely access to inputs is key • Yield Increase per hectare • Increased Income • A market-smart form of subsidy • Increase In trade • Increased fertilizer application from 17% in 2005 to 30% of the rural household in 2006
Challenges • Accurate targeting of beneficiaries • Monitoring • Compromise on inputs quality • Late decisions leading to late delivery • Political interference
Common issues • Need for more investment in research and extension • Agro dealer network development • Promotion of new technologies • Investment in grain storage to reduce Post harvest loses • Improve targeting (FVI) • Monitoring framework that facilitate farmer graduation
- FINALLYRight investments done in the right way under the right circumstances can produce the desired results-Southern Africa is not doomed to remain in food deficit- Policy makers can make a difference- Hunger and dependence on food aid can be reducedYes we can