Price Reform And Fertiliser Use In Smallholder Agriculture In Tanzania

Author : Christopher Lameck
Publisher :
ISBN 13 :
Total Pages : 96 pages
Book Rating : 4.:/5 (976 download)

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Download or read book Impact of Agricultural Subsidies to Smallholder Maize Farmers of Mbeya District Council in Tanzania written by Christopher Lameck and published by . This book was released on 2016 with total page 96 pages. Available in PDF, EPUB and Kindle. Book excerpt: Tanzania depends on agriculture for food production. It is an industry which is occupied mostly by smallholder farmers who on average cultivate less than one hectare of land. To smallholder farmers, farming is a as household activity implemented at the subsistence level. The government of Tanzania launched the Subsidy Program as a bridge to shift subsistence farming to farming as a business and to promote food secure households. Food insecurity was associated by low rate of application of fertilizers and usage of improved seeds among smallholder farmers due to fertilizer and seed costs which led to an increase in food prices. These conditions were the major reasons for launching of the Subsidy Program. This study aimed at assessing the impact of the agricultural subsidies to smallholder maize farmers. The study had four research objectives focusing agricultural productivity, food security, usage of improved inputs, and farmers' perception on how the program functioned. The study used an ex post facto research design to analyze 120 smallholder farmers in areas where subsidy programs operated. The investigation involved 60 smallholder farmers who received subsidies and 60 who did not. These farmers were selected from their respective households from four different wards (i.e., 15 smallholder farmers who received subsidies and 15 smallholder farmers who did not receive subsides). Hence from each wards, 30 smallholder farmers were randomly selected to form a sample used in the study. The study used an interviewer administered questionnaire where by all participants who were asked to participate in a survey completed the study. Most of the respondents in this study were male (71.7%), this is due to the setup of the program. The program operated by issuing subsidies to heads of households who were surveyed who were mostly male. For education level, most of them were standard seven (i.e., equivalent to grade 8 in the U.S.) and most respondents were married (87.5%). Farmers who received subsidies significantly improved maize production. Comparison of average output before and after subsides shows an increase in number of bags (100 kg) per acre from an average of 5.35 bags to 10.10 bags (i.e., about doubled average harvest of maize). Farmers who did not receive subsides produced about the same amount of maize at time 1 and time 2. There was general satisfaction with the functioning of the program, however certain areas need to be improved and making sure the objectives of the program are followed, selecting intended farmers, making sure farmers can manage market price of inputs, and enhancing extension services that will enable farmers to produce more surplus. Despite the contributions of the subsidy program, reaching goals of the program can be hampered by not following the guidelines for operation of the subsidy programs. Not adhering to guidelines have victimized some farmers into inability of achieving objectives of the program because they exited the program as premature graduates. Farmers who received subsidies late, incomplete package, and not receiving subsidies for three consecutive years underperformed in terms of productivity, income, and hence inability to purchase inputs at market prices.