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Silver Bullets?

In: African Farmers, Value Chains and Agricultural Development

Author

Listed:
  • Alan de Brauw

    (International Food Policy Research Institute)

  • Erwin Bulte

    (Wageningen University and Research)

Abstract

Several solutions have been proposed to transform informal value chains into more formal value chains enabling greater value creation. While many have merit, they are susceptible to exaggeration about their potential to catalyze African structural transformation. We discuss six potential solutions in this chapter. These include land consolidation, which would theoretically lead to more efficient investment, but is susceptible to elite capture; input subsidy programs, which lead to higher output but yield substantial opportunity costs; innovation platforms, which bring people together to solve problems but which can be hijacked and are costly themselves; producer organizations, which can work but must be endogenously formed; ICT, which is spreading rapidly but likely needs to be an intervention component rather than a focus; and blockchain, which lends traceability but lacks incentives for anyone to actually trace products.

Suggested Citation

  • Alan de Brauw & Erwin Bulte, 2021. "Silver Bullets?," Palgrave Studies in Agricultural Economics and Food Policy, in: African Farmers, Value Chains and Agricultural Development, chapter 0, pages 155-188, Palgrave Macmillan.
    • Handle: RePEc:pal:psachp:978-3-030-88693-6_8
    DOI: 10.1007/978-3-030-88693-6_8
    as

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