Input use and output price risks: the case of maize in Burkina Faso

Tristan Le Cotty, Elodie Maitre D'Hotel, M. Ndiaye and S. Thoyer

Working Papers MoISA from INRA, UMR Moïsa

Abstract: We investigate whether the fluctuations of agricultural output prices may explain the low level of input use in Sub-Saharan Africa. We combine data on local maize prices and data on farmers’ fertilizer use over the 2009-2011 period in Burkina-Faso to estimate a panel-tobit model of fertilizer use. We separate the predictable and unpredictable components of maize price fluctuations and find that fertilizer use decreases when maize price fluctuations increase, and more specifically when unpredictable price fluctuations increase. ....French Abstract: Nous analysons si les fluctuations des prix des produits agricoles peuvent expliquer le faible niveau d’utilisation des intrants en Afrique Sub Saharienne. Nous combinons des données sur les prix locaux du maïs et des données sur l’utilisation des engrais chimiques sur la période 2009-2011 au Burkina-Faso pour estimer un modèle tobit en panel d’utilisation d’intrants. Nous distinguons les composants prévisibles et imprévisibles des fluctuations des prix du mais et établissons que l’utilisation d’intrants diminue quand les fluctuations des prix du maïs augmentent, et que cet effet est lié à la composante imprévisible des fluctuations des prix.

Keywords: FERTILIZER USE; PRICE RISK; MAIZE; INTENSIFICATION; SUB-SAHARAN AFRICA; UTILISATION D'INTRANTS; RISQUES DE PRIX; MAIS; INTENSIFICATION; AFRIQUE SUB SAHARIENNE (search for similar items in EconPapers)
JEL-codes: Q12 Q13 (search for similar items in EconPapers)
Date: 2021
New Economics Papers: this item is included in nep-agr
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Related works:
Working Paper: Input use and output price risks: the case of maize in Burkina Faso (2021)
Working Paper: Input use and output price risks: the case of maize in Burkina Faso (2021)
Working Paper: Input use and output price risks: the case of maize in Burkina Faso (2021)
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