July 8
The Nation (Malawi) published an article that IFPRI finds for every kwacha spent on fertilizer, less than eight tambalas worth of maize is produced. In its June 2022 policy note titled Are fertilizer subsidies in Malawi value for money, IFPRI said that it costs K3 236 to turn fertilizer into a kilogram (kg) of maize while that same kg of maize can be imported five times more cheaply at K600. If given the choice between receiving a fertilizer subsidy or a cash transfer, productive farmers will choose the former while the unproductive ones will choose the latter. By giving farmers this choice and ensuring that contracts to import the resulting shortfall of maize are in place, the government would spend less money on ensuring the country’s food security than by subsidizing inputs for everyone. However, IFPRI said the government would be better off securing future contracts for maize imports and giving people cash to buy imported maize to reduce the cost of ensuring a sufficient supply of maize in the country three to five-fold.