TITLE:
Evaluating the effect of price and non-price policy intervention on rice cultivation in Sierra Leone: A supply response model approach
AUTHORS:
Alhaji Mohamed Hamza Conteh, Xiangbin Yan
KEYWORDS:
Rice; Imports; Cultivation; Cultivators; Price; Policy Interventions; Supply Response Model
JOURNAL NAME:
Agricultural Sciences,
Vol.5 No.1,
January
13,
2014
ABSTRACT:
Rice is the main food
for over 95 percent of the Sierra Leonean populace. It accounts for the largest
portion of the agricultural GDP of the country. On the contrary, its
cultivation has been shrinking over the past decades. Consequently, importation
now becomes the main source of supplying the grain for local needs since its
cultivation or production could no longer meet domestic request. The
deterioration in the local cultivation of rice has had severe socio-economic
implications such as higher consumer prices and balance of payment burden.
Therefore, the main objective of this study is to evaluate the effect of price
and other related nonprice policy intervention on rice cultivation in the country.
The tools utilized for analyzing the problem comprise, a coefficient of
protection analysis as well as a supply response analysis by means of a time
series regression (for the period 1980-2011). Major limitations established
negatively affecting rice output are price disincentives to cultivators, public
expenditure and fertilizer consumption. From the above findings, rice cultivators
should be accorded the necessary incentives to keep them more effective in the
rice cultivation career. The food policy approach that had over the years
depended on huge importation of rice should be reviewed in favor of domestic
cultivation. Increasing local cultivation through a meaningful protection of
cultivators can independently reduce the price of rice to the advantage of the
final consumers. This study also recommends that public funds should be
redirected away from rice import toward investments in its domestic
cultivation.