DISTRIBUTIONAL EFFECTS OF MAIZE SELF-SUFFICIENCY IN ZIMBABWE - IMPLICATIONS FOR PRICING AND TRADE-POLICY

Maize self-sufficiency has normally been an explicit policy goal throu ghout Eastern and Southern Africa because of the perception that it co uld be achieved at prices below import parity and that it contributes to rural income growth. However, this analysis, based on household sur vey data from Zimbabwe and the results of an econometrically based sim ulation model, indicates that a pricing policy geared towards maize se lf-sufficiency would mainly benefit a small set of well-off farmers an d require either greater subsidies or higher prices to consumers, many of whom are low-income rural farmers in low-rainfall areas. The broad er implications of this analysis are that, even if the producer price needed for self-sufficiency is below import parity, the pursuit of foo d self-sufficiency may inflate food costs and exacerbate rural and urb an food insecurity compared to a self-reliance policy involving import s.