nep-mkt New Economics Papers
on Marketing
Issue of 2005‒12‒14
four papers chosen by
Joao Carlos Correia Leitao
Universidade da Beira Interior

  1. The WTO Doha Round, Cotton Sector Dynamics and Poverty Trends in Zambia By Jorge F. Balat; Guido G. Porto
  2. Infrastructure Development for Agro-Processing Cooperatives in By Deepak Shah
  3. The Doha Trade Round and Mozambique By Channing Arndt

  1. By: Jorge F. Balat (The World Bank); Guido G. Porto (The World Bank)
    Abstract: The Zambian cotton sector went through significant reforms during the 1990s. After a long period of parastatal control, a process of liberalization in cotton production and marketing began in 1994. These reforms were expected to benefit agricultural farmers. In Zambia, these are rural, often vulnerable, smallholders. The authors investigate the connection between the dynamics of the cotton sector and the dynamics of poverty and evaluate to what extent cotton can work as a vehicle for poverty alleviation. They find that cotton can indeed act as an effective mechanism for increased household welfare. They also find income gains associated with cotton production, as well as positive impacts on the long-run nutritional status of Zambian children. The impacts, however, are relatively small.
    Keywords: Agriculture, Poverty, Rural development
    Date: 2005–09–01
  2. By: Deepak Shah (Gokhale Institute of Politics & Economics, B.M.C.C. Road, Deccan Gymkhana, Pune 411004, Maharashtra, India)
    Abstract: Although India is blessed with diverse agro-climatic conditions and so has the ability to produce a wide variety of fruits, vegetables, flowers and a host of other agro-based products, a substantial quantity of horticultural produce of our country is lost due to poor post harvest processing, handling, transportation and storage operations. In order to curb these losses, some of the agencies like National Horticulture Board (NHB) and National Cooperative Development Cooperation (NCDC) are making sincere efforts to create adequate infrastructure facilities for horticultural crops. Among various schemes introduced by NCDC and NHB, the Soft Loan Scheme (SLS) of NHB is noteworthy. Under SLS, an assistance is provided to cooperative societies, public and private limited companies, and farmers association with a maximum limit of Rs.1.00 crore at 4 per cent service charges per annum with one year moratorium period to set up projects related to infrastructure development. Maharashtra is noticed to be the only state which has received about 52 per cent of the total soft loan distributed by NHB to 26 beneficiaries in the country. Majority of the beneficiaries of SLS in Maharashtra are processing cooperatives. The present study attempts to evaluate not only the NHB’s soft loan scheme but also the impact of the scheme on development of post-harvest infrastructure (PHI) for horticulture crops in Maharashtra. The focus of this study is on two processing-cum-export oriented grape growers’ cooperative societies. The study shows a positive impact of SLS towards development PHI facilities since such facilities have not only increased the export trade of the selected societies but they have also helped in increasing the productivity levels of the crops grown in the area, besides helping in reducing the post harvest losses of the produce. Nonetheless, with a view to further improve the efficiency of SLS, the study has made a few major suggestions, which mainly revolve around simplification of loan procedure adopted by the NHB, timely disbursement of the loan, financing of the entire comprehensive project rather than for certain specific components, subsidization of electricity tariffs for the processing units, subsidization of sea freight, provision of funds for setting up of Research and Development unit for the marketing of produce, provision of foreign market intelligence, etc. However, how best these suggestions are taken care of by the NHB and various other organizations will depend on their future strategies and policies relating to financing of PHI related facilities for horticultural crops.
    Keywords: Infrastructure Development for Horticultural Crops
    JEL: P Q Z
    Date: 2005–12–04
  3. By: Channing Arndt (Ministry of Planning and Development, Mozambique and Purdue University)
    Abstract: This paper considers the potential implications of the Doha Development Agenda, as well as other trade liberalization scenarios, for Mozambique. An applied general equilibrium model, which accounts for high marketing margins and home consumption in the Mozambique economy, is linked to results from the GTAP model of global trade. In addition, a microsimulation module is used to consider the subsequent implications of trade liberalization for poverty. The implications of trade liberalization, particularly the Doha scenarios, are found to be relatively small. Presuming that a more liberal trading regime will positively influence growth in Mozambique, an opportunity exists to put in place such a regime without imposing significant adjustment costs.
    Keywords: International economics
    Date: 2005–09–01
  4. By: Deepak Shah (Gokhale Institute of Politics & Economics, B.M.C.C. Road, Deccan Gymkhana, Pune 411004, Maharashtra, Pune)
    Abstract: Maharashtra has 720 km. of coastline with the continental shelf area of 111512 sq. km. There are as many as 32 inland varieties of fish produced in this state. Among these varieties, shrimps, prawns, harpodon neherias, ribbon fish, otalithes, pomfrets, anchoviella, mackeral and cattle fish put together account for over 70 per cent share in total inland fish production of Maharashtra. Brihan Mumbai and Thane are the only two major regions of the state accounting for bulk of the total inland fish production. Though Maharashtra accounts for a significant share in total marine fish production of India, her share in total fish production of India has declined over the past two decades mainly due to a sharp decline in her share in total marine fish production of India. The major problem faced by the marine fisheries of Maharashtra is relating to depletion of resources due to illegal presence of foreign vessels and vessels belonging to other states, which appeared to have created pressure on the coast line. As a result, the marine fish production of Maharashtra has grown at very low pace during the last two decades. In order to tackle this problem, there is need for the Government of India to introduce zonalisation of coast line in the National Fishing Policy. This will certainly help in checking the depletion of marine resources. In fact, the present fishing fleet of the state is not capable of exploiting the deep sea resources. It is to be further noted that there has been decline in inland water spread area and numerical strength of fish curing yards in the state. The number of fishery schools in the state has also stagnated over the last two decades. These are certainly disturbing features of the fisheries sector of Maharashtra. Although in order to develop fisheries sector, the department of fisheries in the state is conducting various training programme relating to carp fish seed production, fresh water prawn culture, integrated fish farming and management of aquarium, etc., there is also need to educate fishermen with respect to dissemination of information relating to modern fishing techniques and efficient marketing of fish catch. Equally important is the need for more innovative technologies in this sector, diffusion of developed technology by extension workers and adoption by the clients. Education of fishermen about modern fishing techniques has significant impact on adoption of recommended fish culture practices by the farmers. Further, extension and mass media participation have strong positive relationship with adoption of fish culture practices. Nonetheless, inadequate infrastructure and flow of information technology are the major barriers for better market integration in the existing marine fish markets of India.
    Keywords: Lessons From Fisheries Development
    JEL: P Q Z
    Date: 2005–12–04

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