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Global Food Crisis Impact &
Responses: Malawi
FANRPAN Regional Policy Dialogue Meeting,
3rd September 2008,
Crossroads Hotel, Lilongwe
Outline
• Context
• Impacts
• The Responses
The Context:
Issues to note:
• Maize is a staple crop in Malawi
• Maize as a staple is very responsive to
climatic shocks
• Due to soil fertility challenges: chemical
fertilisers have been ‘the most reliable’
short-term soil enhancement mechanism
• The combined factors have greatly qualified
Malawi to be part of the global food crisis
The Context:
The food crisis revised:
• Malawi has been experiencing climatic
variations affecting food production i.e.
droughts, floods etc.
• Global fuel prices increases = domestic price
increase = inflation
• Price Effects: Transport costs increases
(Malawi land locked) = increase in inputs, food
• High food prices especially maize, official prices
jumped from $0.14/kg (Mar 08) to $0.31/kg (Aug. 08)
•
Inputs prices (Fertiliser) have almost doubled
Impacts
Immediate impacts:
• Farmers getting good producer prices
• High consumer food prices, speculative
tendencies causing grain shortage (hoarding)
• High fertiliser prices = reduced hectarage, low
productivity
• Full extent of vulnerability not known, official
figures not yet out, difficult to tell ‘the shock’
• Conservation agriculture: now popular as a
alternative
As a response:….
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Ministry of Agriculture called for a
stakeholder meeting in August 2008
The following were a summary of key
responses presented & discussed:
Short-term
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Government ban on export of maize & maize
products -- point of debate!
Government revoked all maize traders, Govt
sole buyer & seller of maize – point of debate!
Govt has a maize production contract with
commercial estates, maize ready in Nov 08
Conservation agriculture: manure campaign
Investment in inputs subsidy programs: use of
fertiliser & improved seed, legumes etc.
Impact analysis & comprehensive strategy
dev. (task team set-up)
Medium-long term
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Emphasis on conservation agriculture
Contract farming
Climate change mainstreaming
Risk management instruments: weather
insurance etc
Livestock production: manure vs. small stock,
stimulate grain markets (feed)
Irrigation
Local fertiliser production & buffer stocks
Medium-long term
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Work to reduce transport costs
Market development for other crops than
maize: relations, systems etc
Improved fertiliser mgt: planning, farmer use,
imports & handling
Improved sector coordination: The ADP
Work on climate change mitigation for agrisector: planning & coordination
Extension & farmer empowerment: technology
adoption, produce pricing etc