[PDF] Food Marketing Margins During The Covid 19 Pandemic Evidence From Vegetables In Ethiopia eBook

Author : Hirvonen, Kalle
Publisher : Intl Food Policy Res Inst
Page : 16 pages
File Size : 47,28 MB
Release : 2020-08-17
Category : Political Science
ISBN :

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It is widely feared that the COVID-19 pandemic will lead to a significant worsening of the food security situation in low and middle-income countries. One reason for this is the disruption of food marketing systems and subsequent changes in farm and consumer prices. Based on primary data in Ethiopia collected just before the start and a few months into the pandemic, we assess changes in farm and consumer prices of four major vegetables and the contribution of different segments of the rural-urban value chain in urban retail price formation. We find large, but heterogeneous, price changes for different vegetables with relatively larger changes seen at the farm level, compared to the consumer level, leading to winners and losers among local vegetable farmers due to pandemicrelated trade disruptions. We further note that despite substantial hurdles in domestic trade reported by most value chain agents, increases in marketing – and especially transportation – costs have not been the major contributor to overall changes in retail prices. Marketing margins even declined for half of the vegetables studied. The relatively small changes in marketing margins overall indicate the resilience of these domestic value chains during the pandemic in Ethiopia.

Author : Hirvonen, Kalle
Publisher : Intl Food Policy Res Inst
Page : 48 pages
File Size : 21,40 MB
Release : 2021-11-23
Category : Political Science
ISBN :

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We combine in-person survey data collected in February 2020 (i.e., just before the pandemic was declared) with phone survey data collected in March 2021 (i.e., one year into the pandemic) and August 2021 (i.e., approximately 18 months into the pandemic) to study how vegetable value chains in Ethiopia have coped with the COVID-19 pandemic. Focusing on the major vegetable value chain connecting farmers in East Shewa zone to consumers in Addis Ababa, we applied a cascading survey approach in which we collected data at all levels of the value chain: vegetable farmers, urban wholesalers, and retailers.

Author : Minten, Bart
Publisher : Intl Food Policy Res Inst
Page : 25 pages
File Size : 47,5 MB
Release : 2020-08-14
Category : Political Science
ISBN :

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Driven by the fast spread of private irrigation pumps, there has been a rapid expansion of intensive vegetable cultivation in the central Rift Valley in Ethiopia, making it the most important commercial vegetable production cluster in the country. Supporting that “quiet revolution” has been an inflow of migrant laborers – paid through daily, monthly, or piecemeal contracts, with few employment benefits attached to them – and a gig economy as widely-used contractors organize, among others, mechanized land preparation, the digging of wells and ponds, seedling propagation, and loading of trucks. Almost 60 percent of the irrigated area is cultivated by medium-scale tenant farmers relying on short-term rental contracts. It seems that gig economies characterized by flexible contract arrangements implemented by outside contractors, which are increasingly fueling sophisticated sectors in developed countries, are important in these commercial agrarian settings in Africa as well. We further find that the COVID-19 pandemic has led to significant disruptions of this model, as seen by more limited access to services and the unavailability or high price increases in factor markets, especially for labor. We further note large but heterogenous price changes in output markets. The pandemic seems especially to have had important effects on the medium-scale tenant farmers as they depend relatively more than smallholders on outside inputs, labor markets, and these gig economies. However, on the other hand, they benefit more than smallholders from favorable output markets for vegetables.

Author : Hirvonen, Kalle
Publisher : Intl Food Policy Res Inst
Page : 15 pages
File Size : 41,40 MB
Release : 2020-08-24
Category : Political Science
ISBN :

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As in most low and middle-income countries, the paucity of timely economic data in Ethiopia makes it difficult to understand the economic impacts of the COVID-19 pandemic. To mitigate this, several organizations have launched phone surveys to gather more information about the crisis. This research report reviews the available phone survey evidence as of mid-August 2020 and identifies knowledge gaps. First, the available evidence suggest that the pandemic has not led to unusually large increases in food prices. However, a case study in the vegetable sector suggests that price dynamics are highly context and crop specific, calling for more comprehensive price monitoring to identify food value chains and areas where food price increases may have been unusually rapid. Second, employment losses have concentrated on informal sector workers while redundancies in the formal sector have been less significant. Third, there is considerable uncertainty about the income, poverty, and food security implications of this crisis. While most households report income losses, the qualitative and subjective nature of these questions meanthat the magnitudes of these losses are unknown. In Addis Ababa, less subjective food security measures indicate only small negative changes in household food and nutrition security. Finally, due to limited access to mobile phones in rural areas, we have imperfect and incomplete information on how this crisis is affecting rural households.

Author : Hirvonen, Kalle
Publisher : Intl Food Policy Res Inst
Page : 58 pages
File Size : 26,55 MB
Release : 2021-11-23
Category : Political Science
ISBN :

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We combine in-person survey data collected in February 2018 with phone survey data collected in June and September 2021 to study how dairy value chains in Ethiopia have coped with the COVID-19 pandemic. Focusing on the major dairy value chain connecting farmers in North and West Shewa as well as peri-urban and urban producers in and around Addis Ababa to consumers in Addis Ababa, we applied a cascading survey approach in which we collected data at all levels of the value chain: dairy farmers, rural wholesalers, and urban retailers.

Author : Bachewe, Fantu Nisrane
Publisher : Intl Food Policy Res Inst
Page : 42 pages
File Size : 25,57 MB
Release : 2021-06-29
Category : Political Science
ISBN :

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We study price behavior of vegetables and fruits in Ethiopia over the 15 year period from 2005 to 2019 based on large-scale retail and producer price datasets. This is an important topic given the importance of prices for consumption decisions for these nutritious crops. A number of notable findings come from the analysis. First, prices are rapidly increasing both in real terms and when compared to cereals. At the end of the study period in 2019, vegetables and fruits in real terms were significantly more expensive than 15 years earlier. Especially green leafy vegetables show a significant price rise, likely because few high-yielding varieties of these vegetables have been made available and adopted by producers. Second, part of the rise in prices is explained by increased marketing margins. To understand what accounts for these increases in the marketing margins for fruits and vegetables requires more research, as they contrast with stable or declining margins seen for other food crops over the study period. Third, we see significant seasonality in vegetable prices that is mostly driven by supply factors, but also by demand shifts due to increased demand in fasting periods. Fruit prices do not show such high seasonal variation, however. Fourth, there is significant spatial price variation in the country – vegetable prices are 60 percent more expensive in lowland regions than in the Amhara region, where vegetables are cheapest. Fruit prices in the lowlands are double the prices in the major producing area, the Southern Nations, Nationalities, and Peoples' (SNNP) region.

Author : Abay, Kibrom A.
Publisher : Intl Food Policy Res Inst
Page : 46 pages
File Size : 13,71 MB
Release : 2020-11-11
Category : Political Science
ISBN :

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We assess the impact of Ethiopia’s flagship social protection program, the Productive Safety Net Program (PSNP) on the adverse impacts of the COVID-19 pandemic on food and nutrition security of households, mothers, and children. We use both pre-pandemic in-person household survey data and a post-pandemic phone survey. Two thirds of our respondents reported that their incomes had fallen after the pandemic began and almost half reported that their ability to satisfy their food needs had worsened. Employing a household fixed effects difference-in-difference approach, we find that the household food insecurity increased by 11.7 percentage points and the size of the food gap by 0.47 months in the aftermath of the onset of the pandemic. Participation in the PSNP offsets virtually all of this adverse change; the likelihood of becoming food insecure increased by only 2.4 percentage points for PSNP households and the duration of the food gap increased by only 0.13 months. The protective role of PSNP is greater for poorer households and those living in remote areas. Results are robust to definitions of PSNP participation, different estimators and how we account for the non-randomness of mobile phone ownership. PSNP households were less likely to reduce expenditures on health and education by 7.7 percentage points and were less likely to reduce expenditures on agricultural inputs by 13 percentage points. By contrast, mothers’ and children’s diets changed little, despite some changes in the composition of diets with consumption of animal source foods declining significantly.

Author : Abate, Gashaw T.
Publisher : Intl Food Policy Res Inst
Page : 25 pages
File Size : 28,92 MB
Release : 2020-06-16
Category : Political Science
ISBN :

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In early June 2020, we called by telephone a representative sample of nearly 600 households in Addis Ababa, Ethiopia to assess income changes and household food and nutrition security status during the COVID-19 pandemic (survey period covering May). This was the second administration of a COVID-19 related survey to these households, following an initial survey conducted in early May 2020 covering the situation of the survey households in April. More than two-third of the households indicated in the second survey that their incomes were lower than expected (up from 58 percent in April) and 45 percent reported that they are extremely stressed about the situation (up from 35 percent in April). Using a pre-pandemic wealth index, we find that less-wealthy households were considerably more likely to report income losses and high stress levels than were wealthier households. Compared to a period just before the pandemic (January and February 2020), indicators measuring food security have significantly worsened but have remained the same since April. During the pandemic, households are less and less frequently consuming relatively more expensive but nutritionally richer foods, such as fruit and dairy products. However, overall food security status in Addis Ababa is not yet alarming, possibly because many households have been able to use their savings to buffer food consumption. As the pandemic is still in an early stage in Ethiopia, it is likely that these savings will not last throughout the pandemic, calling for a rapid scale-up of existing support programs.

Author : de Brauw, Alan
Publisher : Intl Food Policy Res Inst
Page : 27 pages
File Size : 25,66 MB
Release : 2020-07-23
Category : Political Science
ISBN :

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In early July 2020, we called by telephone a representative sample of nearly 600 households in Addis Ababa, Ethiopia to assess income changes and household food and nutrition security status during the COVID-19 pandemic (recall period covering June). This was the third administration of a COVID-19 related survey to these households, following surveys in early May 2020 and early June. About 64 percent of the households indicated in the third survey that their incomes were lower than expected (down from 67 percent reporting lower incomes than expected in previous month) and 42 percent reported that they are extremely stressed about the situation (down from 45 percent in previous month). Using a pre-pandemic wealth index, we find that less-wealthy households were considerably more likely to report income losses and high stress levels than were wealthier households. Compared to the period just before the pandemic (January and February 2020), indicators measuring food security have significantly worsened but during the pandemic they have remained relatively stable. Households now are less frequently consuming relatively more expensive but nutritionally richer foods, such as fruit and dairy products. However, overall food security status in Addis Ababa is not yet alarming and we see small signs of improvements in this July phone survey relative to previous months. However, many households have drawn down their savings over past months to buffer their food consumption. As the daily COVID-19 infection rates are still rising in Ethiopia, the food security situation in Addis Ababa may deteriorate over coming months, especially as the savings levels among the poorest households are now low. This calls for a further scale-up and strengthening of existing support programs.

Author : Hirvonen, Kalle
Publisher : Intl Food Policy Res Inst
Page : 27 pages
File Size : 18,78 MB
Release : 2020-05-14
Category : Political Science
ISBN :

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We called by telephone a representative sample of 600 households in Addis Ababa, Ethiopia to assess household food and nutrition security status during the COVID-19 pandemic. More than half the households indicated that their incomes were lower than expected and more than one-third reported that they are extremely stressed about the situation. Using a pre-pandemic wealth index, we find that less-wealthy households were considerably more likely to report income losses and high stress levels than were wealthier households. Compared to a period just before the pandemic (January and February 2020), indicators measuring food security have significantly worsened. In April, households were less frequently consuming relatively more expensive but nutritionally richer foods, such as fruit and dairy products. However, overall food security status in Addis Ababa is not yet alarming, possibly because most households have used their savings to buffer food consumption. It is likely that these savings will not last for much longer, calling for a rapid scale-up of existing support programs.