Self-targeted fertilizer subsidies

If Malawi’s fertilizer subsidy program aims to increase food security in the country, it should strive to target the most productive farmers. Subsidy levels can be set to self-target this group of farmers. This would maximize output achieved with subsidized fertilizer and eliminate the need for cost...

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Autores principales: Banda, Chimwemwe, De Weerdt, Joachim, Duchoslav, Jan, Jolex, Aubrey
Formato: Brief
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2022
Materias:
Acceso en línea:https://hdl.handle.net/10568/140914
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author Banda, Chimwemwe
De Weerdt, Joachim
Duchoslav, Jan
Jolex, Aubrey
author_browse Banda, Chimwemwe
De Weerdt, Joachim
Duchoslav, Jan
Jolex, Aubrey
author_facet Banda, Chimwemwe
De Weerdt, Joachim
Duchoslav, Jan
Jolex, Aubrey
author_sort Banda, Chimwemwe
collection Repository of Agricultural Research Outputs (CGSpace)
description If Malawi’s fertilizer subsidy program aims to increase food security in the country, it should strive to target the most productive farmers. Subsidy levels can be set to self-target this group of farmers. This would maximize output achieved with subsidized fertilizer and eliminate the need for costly and error-prone top-down targeting. Maximizing the productive capacity of the AIP In a previous policy note, we argued that by setting the farmer contribution to fertilizer subsidized under that Affordable Inputs Programme (AIP) so that farmer demand matches what the program can supply, the government can maximize the total amount of fertilizer available for distribution under the program (Banda et al.,2022). In this note, we argue that a second advantage of this pricing strategy is that it ensures that each subsidized bag of fertilizer has the largest possible yield response, thus maximizing the additional amount of food produced through the program.
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spelling CGSpace1409142025-11-06T07:10:09Z Self-targeted fertilizer subsidies Banda, Chimwemwe De Weerdt, Joachim Duchoslav, Jan Jolex, Aubrey fertilizers food production market prices supply balance farmers crop yield farm inputs agricultural economics food security commodity markets If Malawi’s fertilizer subsidy program aims to increase food security in the country, it should strive to target the most productive farmers. Subsidy levels can be set to self-target this group of farmers. This would maximize output achieved with subsidized fertilizer and eliminate the need for costly and error-prone top-down targeting. Maximizing the productive capacity of the AIP In a previous policy note, we argued that by setting the farmer contribution to fertilizer subsidized under that Affordable Inputs Programme (AIP) so that farmer demand matches what the program can supply, the government can maximize the total amount of fertilizer available for distribution under the program (Banda et al.,2022). In this note, we argue that a second advantage of this pricing strategy is that it ensures that each subsidized bag of fertilizer has the largest possible yield response, thus maximizing the additional amount of food produced through the program. 2022-12-05 2024-04-12T13:36:52Z 2024-04-12T13:36:52Z Brief https://hdl.handle.net/10568/140914 en https://doi.org/10.2499/p15738coll2.136462 Open Access application/pdf International Food Policy Research Institute Banda, Chimwemwe; De Weerdt, Joachim; Duchoslav, Jan; and Jolex, Aubrey. 2022. Self-targeted fertilizer subsidies. MaSSP Policy Note 48. Washington, DC: International Food Policy Research Institute (IFPRI). https://doi.org/10.2499/p15738coll2.136464.
spellingShingle fertilizers
food production
market prices
supply balance
farmers
crop yield
farm inputs
agricultural economics
food security
commodity markets
Banda, Chimwemwe
De Weerdt, Joachim
Duchoslav, Jan
Jolex, Aubrey
Self-targeted fertilizer subsidies
title Self-targeted fertilizer subsidies
title_full Self-targeted fertilizer subsidies
title_fullStr Self-targeted fertilizer subsidies
title_full_unstemmed Self-targeted fertilizer subsidies
title_short Self-targeted fertilizer subsidies
title_sort self targeted fertilizer subsidies
topic fertilizers
food production
market prices
supply balance
farmers
crop yield
farm inputs
agricultural economics
food security
commodity markets
url https://hdl.handle.net/10568/140914
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AT deweerdtjoachim selftargetedfertilizersubsidies
AT duchoslavjan selftargetedfertilizersubsidies
AT jolexaubrey selftargetedfertilizersubsidies