Organization and Performance of Cotton Sectors in Africa ... - infoDev

price that farmers might receive for their seed cotton) requires more attentionthan it has received so far. Internationally, these markets are changing fast as aresult of the increased demand for edible oil and animal feed related to competitivepressures on alternative uses of cereals and raw materials for biofuelproduction. Meanwhile, intra-Africa and international comparisons indicatethat some WCA sectors, in particular, receive very low prices for their seed,although others do much better. Improving the valorization of cotton seed hasa number of important policy implications and can take different forms:■■Movement toward open and transparent oil markets may bring about betterprices for the seeds and better outcomes through increased competition(such as improved investment climate, selection of professionalinvestors, stronger enforcement of the rules and regulations on importedoil, and so forth).Focused efforts to develop strategies with stakeholders for cottonseed oiland cake are also important. Despite the economic weight and strategicimportance of these activities, few countries have developed a strategy forcotton seed industries; this is an area donors might want to consider supportingat the domestic, subregional, and international market levels.Improving the Productivity and Competitiveness of CottonProduction in AfricaBridging productivity and competitiveness gaps is also critical for strengtheningAfrican cotton sectors. The main areas of focus for these efforts areproductivity at the farm level and efficiency of ginning industries.Productivity of Cotton Cultivation at Farm LevelIncreasing productivity at farm level is necessary to improve a sector’s overallcompetitiveness and to make the cotton crop more profitable for farmers. Asshown in chapter 10, average yields in WCA sectors are about at the world rainfedaverage but have stagnated since the mid-1980s, while rainfed cotton yieldsin other parts of the world have risen rapidly. Average yields in ESA countrieshave shown some improvement over time, 88 but they remain much lower andindeed have risen more slowly than the world rainfed average. Delivery ofhigh-quality input packages to producers is clearly one requirement if productivityat farm level is to be increased. The analysis in this book has shown thatsome sector types (monopolies and concentrated sectors) are much better atinput delivery than others. However, there are also several areas where Africansectors exhibit more general weaknesses. These areas, often linked to the provisionof public goods within a sector, are points of possible external technicalor financial intervention.168 LABASTE, POULTON, AND TSCHIRLEY