World Bank2012-03-192012-03-192010-06-09https://hdl.handle.net/10986/2878This research report examines the technical efficiency and impact of the Zambia Fertilizer Support Program (FSP). The FSP was launched by the Government of the Republic of Zambia (GRZ) in 2002 as a temporary measure to provide subsidized hybrid maize seed and fertilizer packages to smallholder farmers and to promote the participation of private traders in supply. When the FSP was announced, the Government indicated that farmers would be eligible to receive support for two consecutive seasons only and that the subsidy level would be reduced by 25 percent per year. The program was meant to run for three years to the end of the 2004/05 farm season. Contrary to these initial plans, the scale of FSP operations has grown significantly since the program was launched with large additions to the numbers of farmers targeted in some years, a change in the subsidy level from 50 percent to 60 percent, little attention to the intended two-year "graduation" requirements, and a significant escalation of total costs and cost per beneficiary. The budgeted amount for 2007/08 was ZMK 150 billion. This assessment was prepared to help answer these questions and provide an improved basis for discussing the current and future role of agriculture input subsidies in Zambia. The request for this attests to the Zambian Government's commitment to transparent decision making. The analysis focuses specifically on the 2007/08 agriculture season.CC BY 3.0 IGOAFFORDABLE ACCESSAGENCIESAGRIBUSINESSAGRICULTURALAGRICULTURAL ACTIVITIESAGRICULTURAL CREDITAGRICULTURAL DEVELOPMENTAGRICULTURAL GROWTHAGRICULTURAL INPUTSAGRICULTURAL MARKETINGAGRICULTURAL PRODUCTIVITYAGRICULTURAL SECTORAGRICULTUREAGRICULTURE SECTORAPPLICATION PROCESSAPPROVAL PROCESSAVERAGE YIELDSBANKBANK ACCOUNTBANK ACCOUNTSBENCHMARKBENCHMARKSCASSAVACLIMATECOMMERCIAL BANKSCOMMODITYCOMPETITIVENESSCONSERVATION FARMINGCONSUMERSCONTRACTUAL OBLIGATIONSCOOPCOOPERATIVECOOPERATIVE BANKCOOPERATIVESCOOPSCORRUPTIONCOST EFFECTIVENESSCOST ESTIMATESCOST SHARINGCOST-SHARINGCOSTSCREDIT FACILITYCREDIT MANAGEMENTCREDIT PROGRAMCREDIT PROVISIONCRITERIACROPCULTIVATIONDATESDEBTSDECISION MAKINGDEFAULTERDEPOSITDEPOSITSDISTRIBUTIONDIVERSIFICATIONECONOMIC COOPERATIONECONOMIC REFORMSECONOMIC SECTOR WORKEDUCATIONEQUITYEXCHANGE RATEEXPECTATIONSEXPENDITUREEXPENDITURESEXTENSIONFAMILYFARMFARM INCOMEFARMERFARMER GROUPSFARMER ORGANIZATIONSFARMERSFEESFERTILIZERFERTILIZER USEFERTILIZERSFINANCEFINANCIAL CRISISFINANCIAL MANAGEMENTFINANCIAL RESOURCEFINANCIAL SUPPORTFISCAL DEFICITSFISHERIESFLOW OF FUNDSFOOD CROPSFOOD INSECURITYFOOD PRODUCTIONFOOD SELF-SUFFICIENCYGDPGOVERNMENT FUNDINGGRAINGRAIN MARKETGROWTH RATEGUARANTEEHEALTHHISTORYHOUSEHOLDHOUSEHOLD FOODHOUSEHOLD FOOD SECURITYHOUSEHOLDSIMPACT ON YIELDSINCENTIVESINCOMESINDICATORSINFORMATIONINPUT PRICEINPUT PRICESINTERESTINVESTMENTINVESTMENTSKNOWLEDGELANDLAND DEVELOPMENTLEGAL REQUIREMENTLIVESTOCKLOANMAIZEMAIZE PRODUCTIONMAIZE YIELDSMALNUTRITIONMARKET DEVELOPMENTMEDIUM TERM EXPENDITURE FRAMEWORKMONEYMONOPOLIESNEW MARKETNGOSOUTCOMESOUTSTANDING LOANSPAYMENTPAYMENTSPEOPLEPLANNINGPLANSPLANTINGPOLICY ENVIRONMENTPOOR CREDITPOPULATION GROWTHPRICE CONTROLSPRIVATE SECTORPRODUCEPRODUCTION INCREASESPROFITABILITYPURCHASING POWERRECEIPTRECEIPTSREPORTSRESEARCHRESEARCH & DEVELOPMENTREVENUEREVOLVING FUNDRURAL DEVELOPMENTSECURITYSEEDSEED COMPANIESSEEDSSMALL-SCALE FARMERSSMALLHOLDERSMALLHOLDER FARMERSMALLHOLDER FARMERSSMALLHOLDERSSUBSIDIESSUBSIDYSUPPLYTOTAL COSTSTRENDSUNIONVALUEVARIABLESVILLAGEVOUCHERWAREHOUSEWAREHOUSE OPERATORSWAREHOUSESWEALTHYIELDSWorld Bank10.1596/2878