Options for reducing fertilizer prices for smallholder farmers in Tanzania
This technical report reviews issues related to fertilizers access in Tanzania and identify policy options that would enable smallholder farmers to continue to access fertilizer at reasonable prices, also in the absence of subsidies. Where possible, the options have been assessed against their potential impact on input cost reduction; the implications for the government budget, mostly in qualitative terms; and the time and coordination required for their implementation. The report recommends to consider a balanced package of options to address the aspects currently undermining the effectiveness and efficiency of the fertilizer sector with a view to increase access to and reduce the retail price of fertilizer for smallholder farmers. In particular, a gradual phasing out of farm-level fertilizer subsidies is recommended alongside the aggressive adoption of efficiency-enhancing measures in the supply chain
