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Public & Private Sector Response

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Presentation on theme: "Public & Private Sector Response"— Presentation transcript:

1 Public & Private Sector Response
Presented by Antony Chapoto, IAPRI Presentation at 3rd Annual ReNAPRI Stakeholders Conference Radisson Blu, Hotel Nairobi Kenya November 10th, 2016

2 Country Specific Responses
What was the response? Country Specific Responses Short and medium to long-term responses Aimed at addressing immediate domestic pressure (price and food insecurity) Use of trade policy to enhance access to grain (in most cases) EL NINO EFFECTS ON GRAIN PRODUCTION

3 Propose Introduction of Export quotas
Zambia IMPOSED TEMPORARY EXPORT BAN – for review in September 2016. - Export ban still in Place. Government announced intention to buy 1 million metric tonnes (500,000 MT for SGR and 500,000 MT for price stabilization) Bought 30% of this quantity because of increased private sector participation (payment issues) Most maize in country with private sector (mostly Traders) Millers pushing for government to purchase more – threat of mealie meal price increases Disaster Management Unit on standby to distribute relief aid to affected areas. Government floated a tender to buy grain from private sector to fill the gap in SGR Increase the recipients of Input Subsidies PRIVATE SECTOR and other stake holders encouraging government to OPEN BORDER! Propose Introduction of Export quotas Encourage large scale farmers to produce early maize (and guarantee exports)

4 Botswana H A R D I T B Y EL NINO Declared the whole country drought stricken following recommendations to Cabinet by the Drought Assessment Inter-Ministerial Team; Doubled food rations for the vulnerable populations and the chronically ill, Subsidies to farmers on livestock feed; Payment of seasonal farming loans to farmers; Provision of funds for emergency water supply projects Construction and maintenance of firebreaks

5 Kenya 2015/16 not a very bad year Almost a normal season
No special response strategy required Government gave counties resources to prepare for a bad season (roads, repair of bridges, distribution of seed etc. ) Tanzania closed its borders so limited stocks came in from there 2016/17 season will be more difficult than 2015/16 due to severe drought in Kenya and Uganda Kenya needs grain in the coming year Where would this come from? Uganda???? 2015/16 not a very bad year

6 Malawi Declaration of National Disaster;
Distribution of relief items Cash grants; Mobilize resources for increased public investment in irrigation development an estimated US$ 600 million Facilitation of Maize Imports The Agricultural Development and Marketing Corporation (ADMARC) was financed to purchase maize Imposed a ban on unlicensed selling of maize Set floor and ceiling prices for maize First large irrigation project in Southern Africa!! – 45,000 hectares of land! Private Sector Sub-Contracted to Produce Maize

7 Mozambique National drought disaster declared;
Urgent call for international assistance; Seed & Livestock distribution . Rehabilitation of irrigation systems and drilling of boreholes Distribution of food by the National Institutes of Disaster Management $10 million strategy to address drought and food assistance

8 South Africa Facilitated increased importation of grain
Issuance of forward contracts to international partners Rounds of crop estimates and stock availability assessments NOTEWORHTY PERFORMANCE! Mobilized own stocks from global market Less humanitarian effort required Lobby for removal of import tariff on maize Ensure port facilities able to absorb increased volume of imports Provision of food stamps to poor consumers Private Sector advice to Government

9 Imposed export ban of grains Recently lifted (September 2016)
Tanzania Food assistance to most affected Provided opportunities food/cash for work activities Provision of storage bags / bins to reduce post-harvest losses Provision of farmer inputs e.g. seed Revive Market Intelligence Unit under SERA Project Imposed export ban of grains Recently lifted (September 2016)

10 Uganda Maize not a staple
Open Borders (farmers in Kenya complaining about cheap maize coming from Uganda) Projected to have Drought in 2016/17 season: KENYA???

11 Zimbabwe IMPOSED AN EXPORT BAN!
Issued permits to the private sector for grain importation; Import requirement: approx. 1,361,452MT between February and December 2016; Food relief distributed to needy areas; Increased Input Subsidies under Presidential initiative Rehabilitation; Continue to support the development of irrigation schemes; Announced the introduction of “Command Agriculture” for 2016/17 season to produce at least a MT. IMPOSED AN EXPORT BAN!

12 Conclusion & Recommendations
Serious efforts to encourage the development of effective early warning mechanisms public and private sector effort required; Enhance coordination to enhance climate resilience; Preparedness for adverse effects will ameliorate “knee-jerk” reaction to impacts.

13 ……….Conclusion & Recommendations
Remove restrictions to trade i.e. export/import bans. Increase collaboration on regional food security policy and supporting infrastructure. Support smallholder farmers to enhance productivity and yields. Actively promote large-scale maize production under irrigation Promote agricultural diversification and diverse diet


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