Subsidies On Feed as Drought Relief

The large-scale distribution of feed to livestock owners has been an important national-level drought mitigation measure, especially in several countries of West Asia and North Africa.

Feed distribution, subsidised or on easy credit, was originally undertaken in the worst drought years, but has tended to become institutionalised into a regular occurrence, and politically embarrassing to end. By discouraging farmers from selling or moving stock in bad years it has encouraged the build up of large and relatively sedentary herds, contributing to overgrazing.

As subsidies are generally untargetted benefits have tended to flow to larger herdowners, who are most able to increase livestock numbers to unsustainable levels, and most likely to form an effective lobby for the continuation of feed subsidies.

Research/Appraisal Methods

The most important questions to be asked about feed subsidies are

- whether they are in fact triggered by any objective measure of drought
- whether they are targetted on poorer herdowners
- whether they are tied to policies to reduce long-term drought vulnerability, e.g. through insurance or savings schemes, or through range management

Each of these questions needs to be answered by analysis of the policy itself, by analysis (quantitative, qualitative or both) of its outreach to and effect on farmers) and possibly by stakeholder analysis of the interests favouring the maintenance of particular policies and particular interpretations of them.

Options

Remove subsidies on feed, except under highly specific conditions.

Key References

Oram, P. 1998. The Influence of Government Policies on Livestock production and the Environment in West Asia and North Africa (WANA) in A.J.Nell (ed.) Livestock and the Environment: International Conference, IAC, Wageningen.

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