Draft Paper – Not to be cited without author’s permission
and especially smaller and poorer farmers to compete, as they tend to depress crop prices. 97
In sum, liberalization has opened markets to a flood of imports, and eliminated public sector institutions that fulfilled vital functions for small farmers, though they also
suffered from internal weaknesses should have
instead of just
result has been a net loss of markets for smaller, poorer farmers in more Just as in Mexico, rising costs and increasing uncertainty of daily life have
remote areas. led farmers to
diversify their economic activity away from their own farms, to the detriment of own productivity, production and family life. Export crop production was touted
their as a
means of inequities
raising farmer incomes, but has been thwarted by that have combined with glutted world markets.
context of SAPs and the WTO
has weakened the competitive ability of
farmers into an competition with
impossible a flood of
Figure 8. Average per country value of food imports (index year, 1989=100) in Sub-Saharan Africa for 28 countries with Enhanced Structural Adjustment (ESAF) programs and 9 without, 1979-1999. Sources: IMF, 1999b (list of countries); FAOSTAT (value of imports).
In sum, agricultural liberalization in Africa to date, while still relatively incipient, has shown similar trends to those observed in Mexico, as imports capture an increasingly large share of domestic markets, to the detriment of local producers.
Average value of food imports (1989=100)
Onset of ESAF programs
ESAF (28) Non-ESAF (9)