Closing the Potential-Performance Divide in Ugandan Agriculture
Agriculture accounts for 70 percent of employment, overwhelmingly on small farms; occupies half of all land area, and provides half of all exports and one-quarter of GDP in Uganda. It is considered a leading sector for future economic growth and ec...
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| Format: | Report |
| Language: | English |
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World Bank, Washington, DC
2018
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| Online Access: | http://documents.worldbank.org/curated/en/996921529090717586/Closing-the-potential-performance-divide-in-Ugandan-agriculture http://hdl.handle.net/10986/30012 |
| Summary: | Agriculture accounts for 70 percent of
employment, overwhelmingly on small farms; occupies half of
all land area, and provides half of all exports and
one-quarter of GDP in Uganda. It is considered a leading
sector for future economic growth and economic inclusion in
the current National Development Plan. Yet despite having
very favorable natural resource and climate conditions for
production of a wide variety of crops and livestock, average
Total Factor Productivity (TFP) growth--the difference
between aggregate output growth and the growth of all inputs
and factors of production that produced it--in Ugandan
agriculture has been negative for the last two decades. This
suggests that on balance the country is now getting less for
equal or greater effort. While drought and pest issues
likely have played a harmful role, other plausible
explanations are a combination of the following: weakening
over time of the public institutional base for promoting
agricultural productivity at the level of small farms,
inefficiencies in agricultural public expenditures,
inadequate agricultural regulation and policies, and a lack
of collateralizable farm assets. National agricultural
output has grown at only 2 percent per annum over the last
five years, compared to agricultural output growth of 3 to 5
percent in other EAC members and 3.3 percent per annum
growth in Uganda's population over the same period. |
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