Structural Damage The Causes And Consequences Of Malawi’s Food Crisis

Author: Kwesi Owusu and Francis Ng’ambi

Year: 2002

Category: Corporate Reports

Abstract

There is a common perception that the food crisis in Malawi has been caused by the floods that ruined the planting season in 2001, or by widespread government corruption and mismanagement. These undoubtedly have contributed to the crisis. But there is another cause, which has been even more significant – inappropriate policies of donor agencies, led by the International Monetary Fund (IMF). Hunger and food shortage has always been a problem in Malawi, hence the poor nutrition levels of 32 per cent of the population. In the past, food shortages have been addressed through food aid from donors and government subsidies for basic food channelled through the grain board, the Agricultural Development and Marketing Corporation (ADMARC). This system has allowed the people of Malawi to survive the seasons of adverse weather, and the government corruption and mismanagement which has persisted through years of good harvest and bad. However, over the past twenty years the agriculture sector has been restructured by the IMF and World Bank, under their structural adjustment policies. In agriculture, these policies are supposedly aimed at improving efficiency and productivity. But, as in other countries such as Zambia and Mozambique, the donors have ignored the reality of farming systems in Malawi and have assumed that markets will be able to meet social aims; to supply food at affordable prices throughout the country, and to ensure that smallholder farmers can feed their families. Instead, Malawi now faces chronic food insecurity. The IMF/World Bank policies in Malawi’s agricultural sector, supported by the bilateral aid donors, have failed. Prior to these reform programs, the Malawi Government could ensure food availability even in the remotest areas of the country. Through subsidies and controlled prices, farmers were assured of affordable farm inputs and grain stores were maintained in remote areas.

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