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Boosting the Fertilizer Production in Kenya: a CGE analysis

Pierre Boulanger, Hasan Dudu (), Emanuele Ferrari (), Alfredo Mainar and Ilaria Proietti ()
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Ilaria Proietti: European Commission – JRC, https://ec.europa.eu/jrc/en

No JRC104685, JRC Working Papers from Joint Research Centre (Seville site)

Abstract: Food security remains a key challenge in many Sub-Saharan African countries and in Kenya in particular. Kenya addresses this concern with a noteworthy policy mix, aiming at giving to the agricultural sector a leading task in improving food security. In this paper, through a Computable General Equilibrium (CGE) model specifically modified for the context of developing country analyses, we address the impacts of the construction of a new fertilizer plant on the agricultural sector and the rest of the economy. For the purpose of the study, a desegregated version of a 2014 Social Accounting Matrix (SAM) has been developed. Results suggests that increasing domestic production of fertilizers do not fully achieve the objectives of reducing rural poverty and increasing agricultural production without complementary policies that help small-holder farmers to overcome the backward technology trap and give them better access to input and output markets.

Keywords: Kenya; CGE; Food; security (search for similar items in EconPapers)
JEL-codes: C68 Q18 N57 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr and nep-cmp
Date: 2017-08
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