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Global Food Crisis Impact & Responses: Malawi

Global Food Crisis Impact & Responses: Malawi. FANRPAN Regional Policy Dialogue Meeting, 3 rd September 2008, Crossroads Hotel, Lilongwe . Outline . Context Impacts The Responses. The Context: . Issues to note: Maize is a staple crop in Malawi

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Global Food Crisis Impact & Responses: Malawi

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  1. Global Food Crisis Impact & Responses: Malawi FANRPAN Regional Policy Dialogue Meeting, 3rd September 2008, Crossroads Hotel, Lilongwe

  2. Outline • Context • Impacts • The Responses

  3. The Context: Issues to note: • Maize is a staple crop in Malawi • Maize as a staple is very responsive to climatic shocks • Due to soil fertility challenges: chemical fertilisers have been ‘the most reliable’ short-term soil enhancement mechanism • The combined factors have greatly qualified Malawi to be part of the global food crisis

  4. The Context: The food crisis revised: • Malawi has been experiencing climatic variations affecting food production i.e. droughts, floods etc. • Global fuel prices increases = domestic price increase = inflation • Price Effects: Transport costs increases (Malawi land locked) = increase in inputs, food • High food prices especially maize, official prices jumped from $0.14/kg (Mar 08) to $0.31/kg (Aug. 08) • Inputs prices (Fertiliser) have almost doubled

  5. Impacts Immediate impacts: • Farmers getting good producer prices • High consumer food prices, speculative tendencies causing grain shortage (hoarding) • High fertiliser prices = reduced hectarage, low productivity • Full extent of vulnerability not known, official figures not yet out, difficult to tell ‘the shock’ • Conservation agriculture: now popular as a alternative

  6. As a response:…. • Ministry of Agriculture called for a stakeholder meeting in August 2008 • The following were a summary of key responses presented & discussed:

  7. Short-term • Government ban on export of maize & maize products -- point of debate! • Government revoked all maize traders, Govt sole buyer & seller of maize – point of debate! • Govt has a maize production contract with commercial estates, maize ready in Nov 08 • Conservation agriculture: manure campaign • Investment in inputs subsidy programs: use of fertiliser & improved seed, legumes etc. • Impact analysis & comprehensive strategy dev. (task team set-up)

  8. Medium-long term • Emphasis on conservation agriculture • Contract farming • Climate change mainstreaming • Risk management instruments: weather insurance etc • Livestock production: manure vs. small stock, stimulate grain markets (feed) • Irrigation • Local fertiliser production & buffer stocks

  9. Medium-long term • Work to reduce transport costs • Market development for other crops than maize: relations, systems etc • Improved fertiliser mgt: planning, farmer use, imports & handling • Improved sector coordination: The ADP • Work on climate change mitigation for agri-sector: planning & coordination • Extension & farmer empowerment: technology adoption, produce pricing etc

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