Challenges of the food, fertilizer and fuel price crisis in West and Central Africa. Interagency Meeting 7 October 2008 Dakar. High Food Prices in West Africa.
Challenges of the food, fertilizer and fuel price crisis in West and Central Africa
7 October 2008
In West-Africa recent sharp increases in food, fertilizer and fuel prices pose a serious threat to an already fragile situation in terms of food and nutrition security.
Social implications of rising food prices have resulted in riots and demonstrations in Burkina Faso, Cameroon, Cote d’Ivoire, Mauritania, Senegal and Niger.
Budgetary impact of increased food and fuel subsidies, tax exemptions, etc (for 2008, IMF):
Benin: 1.5% of GDP
Burkina Faso: 1.3% of GDP
Guinea-Bissau: 10% of tax revenue
Mali: 1.8% of GDP
Reduction in growth, due to higher fuel prices and fiscal adjustment → increase in unemployment and underemployment?
Risk of reduction in public expenditure on basic social services
Impact on monetary poverty
Impact on household expenditure: substitution effects
Possible impacts on education, use of health services and child labour
Ex-ante simulation of the impact of rice prices on the poverty headcount in Liberia – World Bank, 2007. Based on CWIQ data
Liberia Greater Monrovia (Source: Liberia Joint Survey on the Impact of high prices)
Burkina Faso. In Ouaga and Bobo , for the very poor:
Reduction in protein consumption
Increased buying of street food as opposed to buying .
Substitution towards ‘filling’ foods.
In Burkina (Ouaga and Bobo) increase in drop out rates due to ‘manque de moyens’, drop in attendance.
Prevalence of Acute Malnutrition in children 6-59m in Mauritania
Strengthening the evidence base
Bridging current emergency activities with long-term development programmes.
Strengthening the agriculture supply response
Strengthening the social protection system
Improving coordination between:
Regional Economic Communities