New ESSP publication: ‘Structural transformation in Ethiopia: Evidence from cereal markets’

ESSP II Working Paper 39 "Structural transformation in Ethiopia: Evidence from cereal markets" by Bart Minten, David Stifel, and Seneshaw Tamiru.

Abstract: We study cereal wholesale markets in Ethiopia in the last decade (2001–2011), a period that has been characterized by important local changes affecting agricultural markets, including strong economic growth, urbanization, improved road and communication infrastructure, an increase in importance of cooperatives and commercial farms, and a doubling in commercial surplus. We find that these changes are associated with significant declines in real price differences between supplying and receiving markets, in cereal milling margins, as well as in retail margins. Important improvements have thus happened in the last decade in Ethiopia’s food marketing system, traditionally identified as a major cause of food security problems in the country.
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Invitation to National Workshop on Food Price Dynamics and Policy Implications in Ethiopia

The surge in food price continues to be a concern for both policy makers and the public at large. In relation to this, the Ethiopian Development Research Institute (EDRI), in collaboration with the Association for Strenghtening Agriculutral Research in Eastern and Central Africa (ASARECA), Ethiopia Strategy Support Program II (ESSPII) and International Food Policy Research Institute (IFPRI) is holding a half-day national workshop on “Food Price Dynamics and Policy Implications in Ethiopia”.

You are invited to participate in the event and share thoughts.
The workshop will be held at Ghion Hotel in Blue Salon on May 24th 2012 from 9:00a.m. to 1:00p.m.

Topics:

Food Price Trends in Ethiopia--Tadesse Kuma (EDRI)
Cereal Price Stabilization in Ethiopia: Implications of International Experience--David Stifel (Lafayette College/IFPRI)
Urban Wage Behavior during Price Hikes: The Case of Ethiopia--Fantu Nisrane (ESSP II/IFPRI)
Structural Transformation in Ethiopia: Evidence from Cereal Markets--Bart Minten (ESSP II/IFPRI)
Spatial Integration of Cereal Markets in Ethiopia--Seneshaw Tamiru (EDRI, ESSP II/IFPRI)
The Impact of Intensity of Wheat Variety Technology Adoption on Farm households’ Welfare Effects of Price Changes in Ethiopia--Asfaw Negassa (CIMMYT)

To confirm your participation please contact Ms. Bedilish Gebremedhin via email: bedilishbl@gmail.com or Tel: 251-11-5525315

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New ESSP publication: ‘Consumption Patterns of Livestock Products in Ethiopia: Elasticity Estimates Using HICES (2004/05) Data’

ESSP II Working Paper 38 "Consumption Patterns of Livestock Products in Ethiopia: Elasticity Estimates Using HICES (2004/05) Data" by Kibrom Tafere and Ibrahim Worku.

Abstract: Ethiopia is known to have one of the largest livestock populations in the world. Yet the overall contribution of livestock products to households’ daily consumption is very limited. The average per capita annual consumption of meat and dairy products are just 4.6 kg and 16.7 kg, respectively. Given recent growth in income, there is potential for growth in the demand for livestock products.
This study attempts to estimate elasticities of livestock products. We use the Household Income, Consumption, and Expenditure Survey (HICES), the Welfare Monitoring Survey (WMS), and Retail Prices of Goods and Services of 2004/05 data sets of the Ethiopian Central Statistical Agency (CSA).
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ESSP II Newsletter May-June 2012

Ethiopia Strategy Support Program II would like to present you
its bimonthly newsletter for the months May-June 2012.
The newsletter presents:

  • Upcoming events
    • May 24, 2012: workshop on ‘Food Price Dynamics and Policy Implications in Ethiopia'
    • Third week of June 2012: workshop on ‘Roads, Agriculture, and Welfare in Ethiopia’
    • July 19-21, 2012 at the Ethiopian Economic Association:  'The Tenth International Conference on the Ethiopian Economy'
  • List of recent ESSPII publications
    • ESSP II Working Paper 36: The Brokerage Institution and the Development of Agricultural Markets: New Evidence from Ethiopia.
    • ESSP II Research Note 12: Seed, Fertilizer, and Agricultural Extension in Ethiopia.
    • ESSP II Research Note 11: Crop Production in Ethiopia: Regional Patterns and Trends.
  • Highlights of presentations
  • Policy Related Analysis 'Structural transformation in Ethiopia: Evidence from cereal markets'
  • and more.

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New ESSP Publication: ‘Growth in Total Factor Productivity in the Ethiopian Agriculture Sector: Growth Accounting and Econometric Assessments of Sources of Growth’

ESSP II Working Paper 37 "Growth in Total Factor Productivity in the Ethiopian Agriculture Sector: Growth Accounting and Econometric Assessments of Sources of Growth" by Fantu Nisrane Bachewe.

Abstract: During the 2003/04–2008/09 period agricultural production in Ethiopia grew annually at 9.3 percent while cultivated area expanded at 4.7 percent. The remaining growth resulted from intensive use of other inputs, increased productivity, increased efficiency, or a combination of these factors. This study applies growth accounting and two econometric approaches on sector and administrative zone level data to investigate the issue.

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New ESSP Publication: ‘Integrating livestock in the CAADP framework: Policy analysis using a dynamic computable general equilibrium model for Ethiopia’

ESSP II Research Note 13 "Integrating livestock in the CAADP framework: Policy analysis using a dynamic computable general equilibrium model for Ethiopia"
Summary of ESSP II Working Paper 24.
David J. Spielman, Dawit Kelemework, and Dawit Alemu

This study examines the magnitude of the macro and welfare effects generated by a realistic acceleration in the productivity growth of the Ethiopian livestock sector, as compared to historical trends and to alternative scenarios of productivity expansion in the cereal and cash crop sectors. Results from the dynamic general equilibrium simulations show large aggregate gains from livestock productivity acceleration and effects on poor households’ incomes and consumption that are roughly in line with those obtained under cereal growth. This bears important initial implications for the allocation and prioritization of public investment in agriculture in Ethiopia.
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New IFPRI ESSP II Brochure


Download the new IFPRI ESSP II Brochure (268KB).

Learn about ESSP II's

  • Program Objectives
  • Research Areas
  • National Advisory Committee
  • Collaboration and Partnerships
  • Capacity Strengthening and Outreach
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Déjà Vu in the Horn of Africa

Source: 2011 Sven Torfinn/Panos

In lowland areas of the Horn of Africa, droughts and floods are frequent events, but the scale of the 2011 food emergency was somewhat unusual. Why is the region seemingly more vulnerable now than it has been in the past? How can development efforts be improved to render the people who live and work in the Horn more resilient to the next emergency? The answers to these questions are complex.

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New ESSP publication: ‘The brokerage institution and the development of agricultural markets: new evidence from Ethiopia’

ESSP II Working Paper 36 "The brokerage institution and the development of agricultural markets: new evidence from Ethiopia" by Maria Quattri, Adam Ozanne, and Seneshaw Tamru Beyene.

Abstract: Recognition that policies aimed at ‘getting prices right’ in less-developed countries have not been successful due to incomplete markets has spurred a new wave of reforms aimed instead at ‘getting markets and institutions right’. Previous studies of this policy shift have documented the potentially crucial role played by the brokerage institution in crop commercialization. However, few have investigated the factors that influence wholesalers’ decisions regarding their use of brokers. Results from a primary survey with traders show that brokerage services are particularly valuable for wholesalers who lack social capital and storage capacity, who are based in areas with low population density, and who trade at a distance, especially when roads are not asphalt. Buyers in drought-prone domains rely on brokers more for their long-distance purchases, while sellers in moisture-reliable domains employ brokers more for their long-distance sales. These results provide useful indications regarding where and how the recent formalization of brokerage functions through the Ethiopian Commodity Exchange (ECX) could be most beneficial for the functioning of Ethiopian agricultural markets.
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New ESSP publication: ‘Seed, Fertilizer, and Agricultural Extension in Ethiopia’

ESSP II Research Note 12 "Seed, Fertilizer, and Agricultural Extension in Ethiopia"
Summary of ESSP II Working Paper 20.
David J. Spielman, Dawit Kelemework, and Dawit Alemu

Decisionmakers in Ethiopia have pursued a range of policies and investments to boost agricultural production and productivity. An important tool has been to increase the availability of improved seed, chemical fertilizers, and extension services for small-scale, resource-poor farmers. While there is some evidence to suggest that the process has led to improvements in both agricultural output and yields, there is an urgent need for more substantial progress. A rethinking of approaches is required, one that reallocates the roles of the public and private sectors in the agricultural input sector.
Download the pdf (368KB).

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