Ethiopia Strategy Support Program-II Presentation (ESSP-II)


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Ethiopia Strategy Support Program-II (ESSP-II) Presentation, USAID, Addis Ababa, April 14, 2009

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Ethiopia Strategy Support Program-II Presentation (ESSP-II)

  1. 1. Ethiopia Strategy Support Program ESSP-2 Paul Dorosh Program Leader ESSP-2 Senior Research Fellow IFPRI USAID Addis April 14, 2009
  2. 2. Ethiopia Strategy Support Program (ESSP) Bridging Knowledge and Policy • Research and outreach to address knowledge gaps, capacity building and policy dialogues to support country’s development strategy • Provide analytical support for setting up the first commodity exchange in Ethiopia • Draw lessons that can be shared with other countries in a similar context
  3. 3. IFPRI in Ethiopia: ESSP and ESSP-2  ESSP: Ethiopian Strategy Support Program 2004-07  Ethiopian Commodity Exchange (ECX)  Research  Agricultural market analysis  Atlas of Ethiopian Agriculture / GIS Database  Agricultural growth strategy / Efficiency of public expenditures  Rural poverty dynamics (Ethiopian Rural Household Survey)  Safety nets (PSNP)  ESSP-2: 2008-2012 (Capacity Strengthening; Policy-Oriented Research)
  4. 4. The Ethiopian Commodity Exchange (ECX)  ESSP research investigated the need for and feasibility of a commodity exchange  The ECX was successfully launched in April 2008  As of June 2008, ECX activities were no longer financially linked to IFPRI-ESSP.  The ECX involves three related market institutions  A commodity exchange linking buyers and sellers  A warehouse receipts system (commodities sold on the exchange are physically stored in ECX warehouses throughout Ethiopia)  A payments settlement system enabling almost immediate transfer of funds from the buyer to seller  In late 2008, the ECX began trading coffee, greatly adding to ECX transactions and revenues.
  5. 5. Ethiopia Strategy Support Program (ESSP-2) Work Plan 2008-9  Determinants of agricultural productivity  Analysis of farm-level data from Central Statistical Agency (CSA) annual surveys  Extension of Ethiopian Rural Household Survey (ERHS) panel data in 18 localities  Will include analysis of agricultural input use, gender issues, household response to high food prices  Government agricultural spending efficiency  Review of past government projects  Institutional analysis at local level (public service delivery/governance)  Rural non-farm clusters (hand-looms)
  6. 6. Ethiopia Strategy Support Program (ESSP-2) Work Plan 2008-9 (cont.)  Land tenure and watershed management  Determinants of market prices of cereals  Operational multi-market model for analysis and training  Book on Ethiopian food and agricultural policy  Rural-urban transformation  Rural-urban migration  Structural changes in the economy  Implications of infrastructure investments
  7. 7. Ethiopia Strategy Support Program (ESSP-2) Capacity Building  Ethiopian Development Research Institute (EDRI)  Joint research on rural non-farm clusters  Support to EDRI SAM/CGE Analysis  Support to short-term policy analysis on cereal markets, inflation and economic growth  Joint seminar series  International PhD (5) training (planned)
  8. 8. Ethiopia Strategy Support Program (ESSP-2) Capacity Building (2)  Central Statistics Agency (CSA)  Support to GIS analysis (population census…)  Creation of operational GIS data base with initial basic maps and analysis  Federal and regional GIS training  Strengthening of dissemination of data through REKSS
  9. 9. Current Road Conditions Increasing access to cities of 50,000 population in Ethiopia Regional, primary road upgrades equivalent to 80km/hour does not create major improvements to rural access Less than 1% of the population of any region would improve their access to less than 1 hour An extra 530,000 people (3.7% of regional population) in SNNP would be Regional Road Improvements within 3 hours travel time of a city after regional road improvement. Other regions (outside of the four main regions – Amhara, Tigray, Oromia, and SNNP) would experience a 4.9% increase in access within 3 hours of a city of 50,000 population. Given regional road upgrades, the largest improvement in access is in the North and Southwest of the country.
  10. 10. Ethiopia Strategy Support Program (ESSP-2) Capacity Building (3)  Ministry of Agriculture  Support to agricultural and food security policy analysis  Creation of operational agricultural policy data base  Training on agricultural policy analysis  Strengthening of dissemination of data through REKSS