Agricultural Globalization in Reverse: The Impact of the Food Crisis in West Africa

Background paper for the Geneva Trade and Development Forum Crans-Montana, Switzerland September 17-20, 2008Africa, globalization, Food Security and Poverty, International Relations/Trade, Q11,

Transmission des hausses des prix internationaux des produits alimentaires en Afrique de l’Ouest : Leçons de la crise de 2007-2008 pour l’expansion de la production

CONFERENCE INTERNATIONALE SUR LES BIOCARBURANTS EN AFRIQUE : Les biocarburants, facteur d’insécurité ou moteur de développement (Ouagadougou, Burkina Faso 10-12 Novembre 2009)price transmission, agriculture, africa, food security, Agricultural and Food Policy, Food Security and Poverty, Marketing, q11,

Competitiveness and protection : a comparative and prospective study of the West African and Asian rice subsector

West Africa (WA) consumes more rice than other parts of the continent. Despite significant increases in rice production, WA still procures half of its rice needs through imports, and Asia (particularly Thailand, Vietnam, Pakistan, and India) is the major source of these imports. The 2008 rice crisis provided impetus to expanded rice production in WA, as countries sought to increase rice self-sufficiency rather than relying as heavily as they have had in the past on international trade to meet their food security goals. Recent changes in the Asian rice economy suggest a favorable environment for expansion of West African rice production, as area is shifting out of rice in Asia, productivity growth is slowing and labor costs are increasing. This study examines the evolving competitiveness of West African value chains vis-\ue0-vis those of major Asian rice exporters, focusing on : (i) estimating the current competitiveness of irrigated rice systems in three major West African producers (C\uf4te d\u2019Ivoire, Senegal and Mali) using a Domestic Resource Cost (DRC) analysis and identifying the major factors that will influence the competitiveness of these systems in the future, and (ii) assessing the forces driving the evolution of rice price policies over the period 1980-2009 by conducting country-specific time-series analyses for selected major rice importing countries in WA (C\uf4te d\u2019Ivoire, Senegal, Mali, and Nigeria) and their major imported rice suppliers in Asia (Vietnam, Thailand, India, and Pakistan) using an ARDL bounds-testing approach.The results show that large-scale irrigated production was financially profitable in 2011 in Senegal, Mali and C\uf4te d\u2019Ivoire, but only economically profitable the former two. This suggests that net subsidies to the rice sector since the 2008 world food price crisis have been an important contributor to expansion of production, at least in C\uf4te d\u2019Ivoire. Given its relatively high comparative advantage in producing and marketing rice to its capital city, Mali may even be able to position itself as a substantial exporter of rice to regional markets. However, the competitiveness of West African rice value chains will depend on factors both outside the countries\u2019 control (such as world prices and exchange rates) and those they can influence (such as efficiency in production, processing and transport). The ability to achieve increases in system-wide efficiency requires adequate investment in agrifood system research and extension. The results further show that all countries in both WA and Asia are becoming more protective of their rice sectors. The Asian markets are better able to insulate their domestic market against changes in world prices than WA, except in landlocked Mali, which is the poorest among the WA focused countries. Also, production levels positively affect the protection path of the WA countries, except in Mali. This trend towards increasing protection reflects the desire of these countries, which have invested heavily in irrigation infrastructure and research and development for improving seed varieties, to protect those fixed investments, especially if there is pressure by those who control them to protect the rents that accrue to those assets. However, continuing to protect high-cost producers in order to stimulate production will put a great burden on consumers and may jeopardize poor urban consumers\u2019 access to affordable rice supplies. Thus, there may be a need to put in place safety nets, broaden the consumption basket of staples, and open the market further, especially in Nigeria, by increasing investments in market infrastructure, including roads.Thesis (Ph. D.)--Michigan State University. Agricultural, Food and Resource Economics, 2016Includes bibliographical references (pages 174-182

Implications of Asia’s Changing Rice Economy for the Development of Rice Value Chains in West Africa

Rice is at the center of food policy debates in West Africa.1 Driven by its convenience in preparation and consumption and higher consumer incomes, per capita consumption grew from just under 15 kg/year in 1970 to 40 kg/year in 2011 while population tripled during the same period

Food Systems for an Urbanizing World

The report is organized into seven chapters, as follows, with additional text supported by data in the annexes: this first chapter sets out the context for the report, presents the objectives, outlines the methodology and approach, and briefly introduces the scope and organization. Chapter two looks at the key drivers and underlying trends that are already shaping the agenda or will influence the future of urban food issues. Chapter three pulls together relevant data and information to describe the structure and performance of the three interrelated channels in urban food system, traditional, modern and informal, the latter catering primarily to the urban poor. Chapter four introduces the transform framework of the interlinked food system outcome areas related to job creation, affordability and accessibility, security and nutrition, and sustainability and resilience. It also discusses an initial typology of cities based on demographic and food system criteria with which to begin to consider priority interventions. Chapter five discusses the enabling conditions of the transform framework: Transformative institutions; facilitating and progressive policies; Open data, knowledge and evidence base; Resources for effective public and private financing; and multistakeholder governance mechanisms and capacity. Chapter six examines four broad areas of intervention to achieve results in the interlinked outcome areas: Remunerative jobs and better agribusinesses; affordability and accessibility for food security; nutritious, diverse, quality and safe food; and sustainable, resilient agriculture and food systems. An initial set of indicative interventions and entry points are presented for each area, with further refinement and precision to be determined by analysis and consultation in subsequent phases. Finally, chapter seven synthesizes the salient findings and proposes a streamlined and succinct approach for advancing this important agenda, including potential instruments and program sequencing, key information and data gaps, and partnership opportunities

Transmission of cereals world price increase on local markets in Sub-Saharan Africa

L’impact des biocarburants sur les cours des produits agricoles a été très discuté, suite à la flambée des prix de 2007-2008. De nombreux travaux quantitatifs ont essayé d’en déterminer la contribution, tout en insistant sur la multiplicité des effets de leur développement. Les modèles économiques d’équilibre partiel ou général sont devenus des outils incontournables pour nourrir le débat. S’appuyant sur plusieurs travaux récemment réalisés, cette communication s’intéresse aux résultats obtenus par ces modèles avec un intérêt plus marqué pour les effets prix. Nous montrons comment la modélisation permet de confronter les différents mécanismes d’ajustement sur les marchés, en réponse à la demande de produits agricoles pour les biocarburants sur le moyen et long terme, tout en rappelant leur incapacité à traiter des fluctuations à court terme. La mise en perspective des résultats de ces modèles avec une analyse plus complète des facteurs explicatifs de la crise suggère une responsabilité significative des biocarburants de première génération dans la flambée des prix

Agricultural Globalization in Reverse: The Impact of the Food Crisis in West Africa

Trade bans and high international food prices are pushing many West African countries away from their historical reliance on regional and international trade as a key component of their food security strategies. No longer confident that international and regional markets are reliable sources of basic staples, many countries are pushing for greater food self sufficiency—a sort of agricultural globalization in reverse. This paper examines West Africa’s globalization in reverse and raises a number of questions about what role regional and international trade should play in the region’s future quest for food security. The objective is to stimulate discussion about the different strategies available to West African governments for ensuring food security in the current environment of high world market prices for staple foods. These strategies need to take into account not only the need to provide safety nets for vulnerable groups who cannot afford the higher food costs but also the need to stimulate production in response to growing regional and world demand