Agriculture Production and Transport Infrastructure in East Africa: An Application of Spatial Autoregression

43 Pages Posted: 20 Apr 2016

See all articles by Atsushi Iimi

Atsushi Iimi

International Monetary Fund (IMF); World Bank

Liangzhi You

International Food Policy Research Institute (IFPRI)

Ulrike Wood-Sichra

International Food Policy Research Institute (IFPRI)

Richard Martin Humphrey

World Bank - Sustainable Development Network

Date Written: June 1, 2015

Abstract

Africa is estimated to have great potential for agricultural production, but there are a number of constraints inhibiting the development of that potential. Spatial data are increasingly important in the realization of potential as well as the associated constraints. With crop production data generated at 5-minute spatial resolution, the paper applies the spatial tobit regression model to estimate the possible impacts of improvements in transport accessibility in East Africa. It is found that rural accessibility and access to markets are important to increase agricultural production. In particular for export crops, such as coffee, tea, tobacco, and cotton, access to ports is crucial. The elasticities are estimated at 0.3?4.6. In addition, the estimation results show that spatial autocorrelation matters to the estimation results. While a random shock in a particular locality would likely affect its neighboring places, the spatial autoregressive term can be positive or negative, depending on how fragmented the current production areas are.

Keywords: Economic Geography, Transport Economics Policy & Planning

Suggested Citation

Iimi, Atsushi and You, Liangzhi and Wood-Sichra, Ulrike and Humphrey, Richard Martin, Agriculture Production and Transport Infrastructure in East Africa: An Application of Spatial Autoregression (June 1, 2015). World Bank Policy Research Working Paper No. 7281. Available at SSRN: https://ssrn.com/abstract=2613210

Atsushi Iimi (Contact Author)

International Monetary Fund (IMF)

700 19th Street, N.W.
Washington, DC 20431
United States

World Bank ( email )

1818 H Street NW
Washington, DC 20433
United States

Liangzhi You

International Food Policy Research Institute (IFPRI) ( email )

1201 Eye St, NW,
Washington, DC 20005
United States

Ulrike Wood-Sichra

International Food Policy Research Institute (IFPRI) ( email )

1201 Eye St, NW,
Washington, DC 20005
United States

Richard Martin Humphrey

World Bank - Sustainable Development Network

United States

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