Jens Aune (Noragric) | 30.01.2007
A policy that improves the relationship between input price and the price of agricultural products is a key factor for agricultural development in the Sahel. If this relationship is not favourable, the effect of other factors influencing intensification such as credit will be reduced. One of the major factors that can account for the low use of inputs is the low profitability of new technologies. This is related to the fact that farmers must sell their production after harvest while prices are low. The fall of prices of traditional crops during good seasons favours consumers over producers (Vitale and Sanders 2005).
In Sahelian countries, there are cereal reserves under governmental control and the sale of this stock has a major effect on the price of cereals in the market. In Niger, the government often starts selling cereals when the price is higher than FCFA 200 per kg. This policy is beneficial for the urban populations who purchase cereals, but at the expense of farmers.
Emergency aid characterized by free distribution of imported cereals also affects cereal prices in a negative manner. For this type of distribution not to have a harmful effect on cereal production in the future, it is important to make a distinction between a bad season and a catastrophic one. The distribution of imported cereals during a bad year undermines internal cereal production (Abdoulaye and Sanders 2006) and farmers are less motivated to develop agriculture and use of inputs becomes less attractive. It is appropriate only to import cereals after catastrophic years.
The USAID monetization program implemented by some American NGOs may have a harmful effect on the price of cereals in Sahelian countries (IATP 2005). The NGOs receive USAID support in the form of rice and American vegetable oil. These products are sold in the Sahelian countries and the income from the sale is used to finance the development activities of these American NGOs. Although millet or sorghum is not sold, there is a substitution involving the different cereals.
Mineral fertilizer was subsidized in the past, but the Structural Adjustment policy imposed by the International Monetary Fund and the World Bank has suppressed this subsidy. However, subsidizing fertilizer can be justified as the problem of soil fertility is not only a concern for farmers, but is also a public and national concern.
In many countries of the Sahel, trees were government properties in the past. The current development is towards a usage right of trees. This has contributed to a greater awareness by farmers of the management of trees in Niger (source C. Reij).
The probability for the agricultural season to be catastrophic is about 14% in those areas where rainfall does not exceed 400 mm of rain per year in Niger (Abdoulaye and Sanders). During the catastrophic seasons, farmers need support, as is the case in developed countries. The best way to help them without harming their dignity is to initiate public works such as road maintenance, the construction of bridges, or environmental activities such as regeneration of degraded lands or tree planting. Such works may be remunerated either in cash (money for work) or in kind with cheques /food coupons (food for work).
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