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Operational details of the 2008 fertilizer subsidy in Ghana: Preliminary report

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  • Banful, Afua Branoah

Abstract

"In July 2008, the government of Ghana instituted a country-wide subsidy on 50Kg bags of four types of fertilizer in an effort to mitigate the effect of rising energy and food prices. Farmers received the subsidy in the form of fertilizer- and region-specific vouchers distributed by agricultural extension agents. This descriptive report details the operational design of the subsidy program and offers preliminary observations of its implementation. The fertilizer subsidy was a unique example of a public-private partnership in which thegovernment consulted heavily with fertilizer importers in the design stage and relied exclusively on the existing private distribution system to deliver fertilizer to farmers. While this structure offers clear benefits, initial observations suggest scope for improvement in both the system design and implementation. Poor timing, shortage of fertilizer and a small network of fertilizer retailers participating in the program prevented fertilizer use from increasing as much as was possible within the program budget and may have disadvantaged smaller retailers. Amidst such constraints, less than 50 percent of the vouchers country-wide had been redeemed by the end of the planting seasons." from text

Suggested Citation

  • Banful, Afua Branoah, 2009. "Operational details of the 2008 fertilizer subsidy in Ghana: Preliminary report," GSSP working papers 18, International Food Policy Research Institute (IFPRI).
  • Handle: RePEc:fpr:gsspwp:18
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    References listed on IDEAS

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    1. Jayne, T. S. & Govereh, J. & Wanzala, M. & Demeke, M., 2003. "Fertilizer market development: a comparative analysis of Ethiopia, Kenya, and Zambia," Food Policy, Elsevier, vol. 28(4), pages 293-316, August.
    2. Dorward, Andrew & Chirwa, Ephraim & Kelly, Valerie A. & Jayne, Thomas S. & Slater, Rachel & Boughton, Duncan, 2008. "Evaluation Of The 2006/7 Agricultural Input Subsidy Programme, Malawi. Final Report," Food Security Collaborative Working Papers 97143, Michigan State University, Department of Agricultural, Food, and Resource Economics.
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    Cited by:

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    2. Kansanga, Moses & Andersen, Peter & Atuoye, Kilian & Mason-Renton, Sarah, 2018. "Contested commons: Agricultural modernization, tenure ambiguities and intra-familial land grabbing in Ghana," Land Use Policy, Elsevier, vol. 75(C), pages 215-224.
    3. Houssou, Nazaire & Andam, Kwaw S. & Collins, Asante-Addo, 2017. "Can better targeting improve the effectiveness of Ghana's Fertilizer Subsidy Program? Lessons from Ghana and other countries in Africa south of the Sahara," IFPRI discussion papers 1605, International Food Policy Research Institute (IFPRI).
    4. Bumb, Balu L. & Johnson, Michael E. & Fuentes, Porfirio A., 2011. "Policy options for improving regional fertilizer markets in West Africa:," IFPRI discussion papers 1084, International Food Policy Research Institute (IFPRI).
    5. Resnick, Danielle & Mather, David, 2016. "Agricultural inputs policy under macroeconomic uncertainty: Applying the kaleidoscope model to Ghana’s Fertilizer Subsidy Programme (2008–2015):," IFPRI discussion papers 1551, International Food Policy Research Institute (IFPRI).
    6. Houssou, Nazaire & Asante-Addo, Collins & Andam, Kwaw S., 2017. "Improving the targeting of fertilizer subsidy programs in Africa south of the Sahara: Perspectives from the Ghanaian experience," IFPRI discussion papers 1622, International Food Policy Research Institute (IFPRI).

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