The Elimination of Madagascar’s Vanilla Marketing Board, Ten Years On

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dc.creatorCadot, Olivier
dc.creatorDutoit, Laure
dc.creatorde Melo, Jaime
dc.date2012-06-18T21:48:35Z
dc.date2012-06-18T21:48:35Z
dc.date2006-08
dc.date.accessioned2026-07-01T01:14:11Z
dc.descriptionThis paper explores how the elimination of Madagascar's Marketing Board in 1995 affected prices paid to farmers, incentives, and regional indicators of poverty and inequality. After steadily losing market share, Madagascar has been able to regain some of the lost ground since the mid-1990s. Margins between freight on board (FOB) and farmgate prices have spectacularly narrowed down, but this effect is dwarfed by that of world-price volatility. A counterfactual analysis based on a model of Cournot competition between vanilla traders suggests that whatever limited competition there is among them has contributed to raise purchase prices and the cash income of vanilla farmers. But the effect on farmers' consumption remains small because a large part of it is self-consumed. The effect on aggregate measures of poverty and inequality is even smaller, even at the regional level. After taking into account the reduction in Madagascar's monopoly power on the world vanilla market implied by the elimination of the Marketing Board, the induced rise in producer prices is estimated to have lifted about 20,000 individuals out of poverty.
dc.formatapplication/pdf
dc.formattext/plain
dc.identifierhttp://documents.worldbank.org/curated/en/2006/08/6962156/elimination-madagascars-vanilla-marketing-board-ten-years
dc.identifierhttps://hdl.handle.net/10986/8374
dc.identifierhttps://doi.org/10.1596/1813-9450-3979
dc.identifier.urihttp://hdl.handle.net/123456789/416359
dc.languageEnglish
dc.publisherWorld Bank, Washington, DC
dc.relationPolicy Research Working Paper; No. 3979
dc.rightsCC BY 3.0 IGO
dc.rightshttp://creativecommons.org/licenses/by/3.0/igo/
dc.rightsWorld Bank
dc.subjectAGRICULTURAL ACTIVITIES
dc.subjectAGRICULTURAL HOUSEHOLDS
dc.subjectAGRICULTURE
dc.subjectASYMMETRIC INFORMATION
dc.subjectBEANS
dc.subjectCAPITAL MARKETS
dc.subjectCARTEL
dc.subjectCASH CROPS
dc.subjectCASHEW NUTS
dc.subjectCLIMATIC CONDITIONS
dc.subjectCLOVES
dc.subjectCOCOA
dc.subjectCOFFEE
dc.subjectCOFFEE PRICES
dc.subjectCOLLUSION
dc.subjectCOMMODITY
dc.subjectCONTESTABILITY
dc.subjectCOTTON
dc.subjectCOURNOT COMPETITION
dc.subjectCROP
dc.subjectCROP HUSBANDRY
dc.subjectCROPLAND
dc.subjectCULTIVATION
dc.subjectCURING
dc.subjectDATES
dc.subjectDEVELOPMENT STRATEGY
dc.subjectDISCOUNT RATE
dc.subjectEXPENDITURE
dc.subjectEXPORT CROPS
dc.subjectEXPORTS
dc.subjectEXTERNALITIES
dc.subjectEXTREME POVERTY
dc.subjectFAO
dc.subjectFARM
dc.subjectFARMER
dc.subjectFARMER INCOMES
dc.subjectFARMERS
dc.subjectFARMING
dc.subjectFARMS
dc.subjectFERMENTATION
dc.subjectFIXED PRICES
dc.subjectFOOD CROPS
dc.subjectFOOD INDUSTRY
dc.subjectFREE MARKET
dc.subjectGDP
dc.subjectGOVERNMENT REGULATION
dc.subjectHARVESTING
dc.subjectHARVESTS
dc.subjectINCOME
dc.subjectINEFFICIENCY
dc.subjectINVENTORIES
dc.subjectLIQUIDITY
dc.subjectMARGINAL PRODUCT
dc.subjectMARKET CONDITIONS
dc.subjectMARKET FAILURE
dc.subjectMARKET FAILURES
dc.subjectMARKET INCENTIVES
dc.subjectMARKET POWER
dc.subjectMARKET PRICE
dc.subjectMARKET REFORMS
dc.subjectMARKET SHARE
dc.subjectMARKET STRUCTURE
dc.subjectMARKETING
dc.subjectMARKETING BOARD
dc.subjectMARKETING BOARDS
dc.subjectMOLD
dc.subjectMONOPOLY
dc.subjectMONOPOLY RENTS
dc.subjectNATIONAL INCOME
dc.subjectNATURAL RESOURCES
dc.subjectOVERVALUATION
dc.subjectPEANUTS
dc.subjectPEPPER
dc.subjectPLANTATIONS
dc.subjectPRICE CHANGE
dc.subjectPRICE CHANGES
dc.subjectPRICE CONTROLS
dc.subjectPRICE INCENTIVES
dc.subjectPRICE INDEX
dc.subjectPRICE POLICY
dc.subjectPRICE VARIATION
dc.subjectPRICE VOLATILITY
dc.subjectPRODUCE
dc.subjectPRODUCER ORGANIZATION
dc.subjectPRODUCER PRICE
dc.subjectPRODUCER PRICES
dc.subjectPRUNING
dc.subjectSALES
dc.subjectSEEDS
dc.subjectSHARECROPPING
dc.subjectSTATISTICAL ANALYSIS
dc.subjectSTOCKS
dc.subjectSUB-SAHARAN AFRICA
dc.subjectSUBSTITUTE
dc.subjectSUBSTITUTES
dc.subjectSUBSTITUTION
dc.subjectSUBSTITUTION EFFECT
dc.subjectSUGAR
dc.subjectSUGAR CANE
dc.subjectSUPPLIER
dc.subjectSUPPLIERS
dc.subjectTAXATION
dc.subjectTILLING
dc.subjectTOBACCO
dc.subjectTRADE REFORMS
dc.subjectTREES
dc.subjectTROPICAL CROPS
dc.subjectTYING
dc.subjectVANILLA
dc.subjectWORLD MARKET
dc.subjectWTO
dc.subjectYIELDS
dc.titleThe Elimination of Madagascar’s Vanilla Marketing Board, Ten Years On

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