Impacts of Farmer Inputs Support Program on Beneficiaries in Gwembe District of Zambia
Keywords:
input subsidy, maize production, quantile regressionAbstract
Since 2002, the Government of Zambia has been funding a farmer input subsidy program that consumes a very large part of the resources allocated to the Ministry of Agriculture and Livestock. This survey examines if the program is producing commensurate impacts on maize production by the farmers who benefit from the program. Data for the study was collected through a structured questionnaire administered to a sample of 600 farmers in Gwembe District. Though 600 copies of questionnaire were administered, 570 copies were recovered for analysis. Analysis was done using quantile regression at the 5th, 10th, 50th and 90th percentiles of the maize production distribution in two phases - with and without control for endogeneity. The analysis reveals that the largest production impact is on the farmers at the 50th percentile. There is also significant dependence on the subsidies by households at the 5th and 10th percentiles. These results cast doubt on the efficacy of the program to reduce poverty and improve household food security. The Zambian Government should target the program more selectively at the more responsive households in the median percentile.
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