The elimination of Madagascar's vanilla marketing board, 10 years on

Details

Serval ID
serval:BIB_C165AC0D880F
Type
Article: article from journal or magazin.
Collection
Publications
Institution
Title
The elimination of Madagascar's vanilla marketing board, 10 years on
Journal
Journal of African Economies
Author(s)
Cadot  O., Dutoit  L., de Melo  J.
ISSN
0963-8024
Publication state
Published
Issued date
06/2009
Peer-reviewed
Oui
Volume
18
Number
3
Pages
388-430
Language
english
Notes
First published as CEPR Discussion Paper 5548, March 2006
Abstract
This paper explores how the elimination of Madagascar's Vanilla Marketing Board (VMB) in 1993 affected prices paid to farmers, incentives and indicators of poverty and inequality using household survey data and simulation analysis. Following the reforms, margins between FOB and farmgate prices have narrowed down, and the analysis of changes in poverty and inequality based on household surveys suggests a reduction in poverty and a muted supply response. A counterfactual analysis based on the observed reduction in intermediation margins shows that, however limited, increase in competition among intermediaries has contributed to raise purchase prices and the cash income of vanilla farmers. After taking into account the reduction in Madagascar's monopoly power on the world vanilla market implied by the elimination of the VMB, the induced rise in producer prices is estimated to have lifted about 20,000 individuals out of poverty.
Web of science
Create date
27/08/2010 12:39
Last modification date
20/08/2019 16:36
Usage data