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Commodity investment needs in the eyes of Ugandan farmers and experts











FAO. 2023. Commodity investment needs in the eyes of Ugandan farmers and experts. FAO Agricultural Development Economics Policy Brief, No. 62. Rome



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    Building on the previous work by the Food and Agriculture Organization of the United Nations (FAO) supporting the identification of priority agricultural sectors and possible locations with high agricultural transformation potential in Uganda, this technical study provides more granular information from Ugandan farmers and district agriculture officers on which investments are needed the most to increase productivity. It identifies and ranks the areas for investments in terms of seeds/breeds, fertilizers/veterinary drugs, mechanization, irrigation, extension, research and development (R&D), roads and electrification for five commodity-district pairs (millet in Soroti, maize in Serere, cassava in Lira, goats in Kibaale and coffee in Masaka). The study found that improved seeds/breeds, extension and fertilizers were identified as critical investments across the board. Specifically, a lack of access to improved seeds/breeds, inadequate extension services and suboptimal use of fertilizer (owing to costs, lack of information, or fertilizer quality) were perceived as major constraints. Other important findings highlight a low level of mechanization throughout the value chains, poor R&D and extension linkages, and the high cost of irrigation. On other hand, access to roads and electrification were not considered as major areas needing investment. The study concludes with nine key recommendations for improving commodity-specific investments in selected locations.
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    Policy brief
    Geographically prioritizing commodity investments in Uganda
    Policy Brief
    2022
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    This policy brief highlights the main findings of a new methodology to identify geographical areas where, in theory, investments are likely to have big impacts in terms of both agricultural growth and poverty reduction. By highlighting districts within Uganda that have as-yet untapped agricultural potential for key commodities and that suffer high-levels of poverty, policymakers can use this tool to help pinpoint where commodity-specific investments should go, making these investments more cost-effective and with the biggest payback in terms of food security and poverty reduction. After running the analysis, the economic model found that priority districts are highly context and commodity specific. For millet and sugar cane, the results show that a cluster of districts in eastern Uganda display both the highest unrealized potential and poverty rates, with selected areas for millet located more to the north owing to more arid climates. Whereas, for the other commodities, the districts are more spread out in the country. For example, for maize the model selected districts in northern and eastern Uganda. For bananas, cassava and coffee, the most suitable districts are in the western and central regions. For goats, there was no clear spatial concentration and identified districts are spread out across the territory.
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    Diversification by smallholder farmers - Viet Nam Robusta coffee 2007
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    The paper focuses on the key factors that have influenced the growth of the industry with a particular focus on farm risks.

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