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TitleIncreasing World Food Prices: Blessing or Curse?
AuthorMatovu, John M.; Twimukye, Evarist P.
SubjectFood Security
Date of Publication2009
PublisherEconomic Policy Research Centre (EPRC)
Number of Pages52 pages
Geographical CoverageUganda
KeywordsAgricultural Prouction, Food Pricing
AbstractThis study evaluates the potential impact of the recent rise in world food prices on the Ugandan economy and possible policy options to respond to it. Uganda is largely a net exporter of some cereals whose prices increased considerably especially maize. Using a recursive dynamic CGE model, we attempt to answer questions on who are the beneficiaries and losers after the surge in food prices. The rural producers of maize tend to benefit considerably with their poverty levels reducing. On the other hand, the urban purchasers of cereals are affected owing to the higher prices of food. This therefore suggests that the Ugandan government should take advantage of the increasing food prices by stimulating and undertaking policies that would enhance productivity especially for crops where the country has a comparative advantage. To circumvent the negative effects on the urban population, the government could design targeted programs for the urban poor.
Copyright HolderEconomic Policy Research Centre (EPRC)
Copyright URL
Filesize324507 MB
File FormatPDF
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