2.1 Introduction
Sub-Saharan Africa includes countries that are south of the Sahara Desert. The African Transition Zone cuts across the southern and edge of the Sahara Desert at the widespread position of the continent (Sub-Saharan Africa 2012).
Some of the regions below the desert can be divided into regional components: Central Africa, East Africa, Southern Africa and West Africa (Sub-Saharan Africa 2012).
Sub-Saharan Africa has a total population of 926,000,000. The population is based on the de factor definition of population which counts all residents regardless of legal status or citizenship (Trading Economics 2015)
2.2Analysis of the Social, Political and Economic Condition of Sub-Saharan Africa
With an average per capita income of roughly US $1 a day, sub-Saharan Africa remains the poorest region in the world (Moyo 2009). With half of the population living on less than a dollar per day. The region has the highest number of poor people in the world (Moyo 2009). Between 1981 and 2007, the number of people in the continent living in poverty doubled, leaving the average African poorer today than two decades ago(Moyo 2009).
The life expectancy has stagnated meaning that Africa is the only continent where life expectancy is less than 60years. However, currently the life expectancy is around 50years (Moyo 2009). The decrease in life expectancy is mainly attributed to HIV/AID pandemic. One in seven children across the African continent die before the age of five. This shows that roughly 50% of Africa`s population is young, below the age of 15 years (Moyo 2009).
On the political side, 50% of the continent remains under non-democratic rule (Moyo 2009).According to the Polity IV database, Africa is still home to at least eleven fully
Autocratic regimes, for example Congo-Brazzaville, Equatorial Guinea, Eritrea, Gabon, The Gambia, Mauritania, Swaziland, Uganda and Zambia (Moyo 2009)
2.3. Causes of Hunger in Sub-Saharan Africa
2.3.1. Drought and Extreme Weather Events.
The comparison of the severest food crises in the later history reveals that all were preceded by drought or other extreme weather events. This resulted to poor or failed harvests which in turn led to food scarcity and high prices of the available food (Harvest Help 2012).
2.3.2. Pests, Livestock Diseases and Agricultural Problems.
In addition to extreme weather events, many failed harvests in the sub-Saharan countries were also caused by pests such as desert locusts. Cattle diseases and other agricultural problems such as erosion, soil infertility, have played a major role in food the increase level of hunger (Harvest Help 2012).
2.3.3. Climate change.
The drought and extreme weather in regions affected by food crises in the recent decades could be a result of climate change, especially in the West and East Africa which have problems with recurrent extreme droughts (Harvest Help 2012).
2.3.4. Military Conflicts.
Wars and military conflicts worsen food insecurity in the sub-Saharan countries. They may not be directly responsible for food crises but they exacerbate scarcity of food and often prevent the aid workers from reaching the most affected people (Harvest Help 2012). A good example would be the Democratic Republic of Congo (DRC), where most of the government funds are used to purchase arms and ammunitions for war instead of improving the agricultural policies for increased food supply even to sustain the military soldiers.
2.3.5. Corruption and Political Instability.
The international community has always send help in the form of food supplies and other means which saved millions of lives in the affected regions. However, the international aid often did not reach the most vulnerable populations due to a high level of corruption and political instability in many African countries (Harvest Help 2012). The aid that comes in form of money is highly fungible.
2.3.6. Cash Crop dependence.
Many African governments encourage production of the so-called cash crops, the income from which is used to import food. As a result, countries which depend on cash crops are at high risk of food crisis because they do not produce enough food to feed the population (Harvest Help 2012).
2.2.7. AIDS.
The disease which is a serious public health concern in the sub-Saharan Africa worsens food insecurity in two ways. Firstly, it reduces the available workforce in agriculture and secondly, it puts an additional burden on poor households (Harvest Help 2012).
2.3.8. Rapid Population Growth.
Poor African countries have the highest growth rate in the world which puts them at increased risk of food crises. For example, the population of Niger increased from 2.5 million to 15 million from 1950 to 2010. According to some estimations, Africa will produce enough food for only about a quarter population by 2025 if the current growth rate will continue (Harvest Help 2012).
2.3.9 Facilitating Market Access
There is need to remove the barriers to trade. The focus by most African governments has been to open up markets in the hope that their people will benefit. Study shows that the projected gains of world trade liberalization tend to be minimal in Sub-Saharan Africa and that the income gains from trade liberalization will go to countries with a competitive advantage in the markets concerned (Mwaniki 2015).
2.3.1.0. Lack of Cooperation and Limited Intra-African Trade in Food Staples
African leaders do not work together to address the challenges. Each country is responsible for its own problems (Nkuepo 2012).The lack of an active and constructive cooperation is an obstacle to the trade between African countries and their development (Nkuepo 2012).
There are about 30 Regional Trade agreements in Africa and their objectives are to foster trade and investment relations among member countries ( Nkuepo 2012). Another objective is to remove the tariffs and other impediments to intra-regional trade flows (Nkuepo 2012). However, governments continue to restrict cross border policies, high transport cost and price instability (Nkuepo 2012).
2.4. Definition of Foreign Aid
Foreign aid consists of all resources which can be physical goods, skills and technical know-how, financial grants or loans transferred by donors to recipients (Riddell 2007). There are three types of aid:
1) Humanitarian aid or emergency aid which is mobilized and dispensed in response to catastrophes and calamities for example during the 2004 Asian Tsunami w targeted the cyclone ‘hit Myanmar in 2008(Moyo 2009).
2) Charity based aid is given to organizations or institutions or people on ground (Moyo 2009).
3) Systematic aid is the payment made directly to the government either through government to government transfer (bilateral) or transferred through institutions such as World Bank (Multilateral) (Moyo 2009).
2.5. Dimensions of Food Aid in the Sub-Saharan Africa
Food aid has been viewed as an important resources for development and for emergencies in the sub-Saharan Africa. However m there are several risks attached to the reliance of food aid (Shaw 2011).
Out of the 46 countries designated by the United Nations(UN) as least-developed ,32 countries come from the sub-Saharan Africa(Shaw 2011).It is the only part of the world currently facing widespread chronic food insecurity, as well as threat of famine(Shaw 2011).About 200 million people in the sub-Saharan Africa ,28% of the population are now chronically hungry (Shaw 2011).
Hunger is both a cause and effects of extreme poverty and prevents the poor from taking advantage of the development opportunities (Shaw 2011). Therefore the eradication of hunger in ensuring that the victims have access to food is a vital step in alleviating poverty and inequality (Shaw 2011).According to a report given by the United Nations Children`s Funds (UNICEF), that child malnutrition is projected to rise in the sub-Saharan countries (Shawn 2011) The region has only10% of the world`s population but 90% of has over 13 million children aid orphans (Shawn 2011).
The population growth has exceeded the growth rate in food production in the sub-Saharan since the early 1970`s(Shaw 2011).There are projections made by organizations such as the Food and Agriculture Organization (FAO) ,indicate that the sub-Saharan countries will need to import more food in the new millennium(Shaw 2011). However, the region lacks the foreign exchange to import their food requirements on commercial terms. Therefore, food aid or aid for food will therefore be needed to bridge the gap (Shaw 2011).
Food aid is divided into three categories which include: Emergency relief during natural and man-made disasters, Project aid in support of specific development projects, Program aid for balance of payments and budget support .The emergency food aid represents a much higher proportion of the cereal food aid to the sub-Saharan Africa than to other developing countries (Shaw 2011).
2.5.1. Recipients and Donors
About 48 countries in the sub-Saharan region receive food aid (Shaw 2011). However, many of these countries have only small amounts of emergency relief. The four main food aid recipient countries are Angola, Mozambique, Malawi, Ethiopia and Sudan (Shaw 2011). This has mainly due to the severe drought and man-made disasters (Shaw 2011).
2.6. Does Foreign Aid Work?
Aid has become part of the entertainment industry in the media, film stars rock legends and political figures. The former prime minister of UK Tony Blair made a remark that, ‘The state of Africa is a scar on the Conscience of the world, and the western countries should provide more aid because the continent has received inadequate’. This shows how aid has become a cultural commodity (Moyo 2009).
According to the western countries, food aid has been viewed as an important but undervalued resource for development in the sub-Saharan Africa (Shaw 2011). The continuous reliance on this aid has risks attached to it (Shaw 2011).
2.7. Reasons Why Aid is failing in Sub-Saharan Africa
In the past 40 years, at least 12 developing countries have experienced a phenomenal economic growth (Moyo 2009). Most of them are Asian countries which have grown 10% of GDP per year, surpassing the economic growth rates of leading industrialized economies and reducing poverty (Moyo 2009). On the other hand most developing countries mainly aid ‘dependent in sub-Saharan Africa have failed to generate consistent economic growth (Moyo 2009).
There are several reasons that have accounted for why foreign aid has not worked in the sub-Saharan countries.
2.7.1. Geographical location
Jared diamond argues that a country`s wealth and success depends on its geographical environment and topography (Moyo 2009). It affects the ability of people to provide food for consumption and for export which in turn has an impact on the country`s economic growth (Moyo 2009). In sub-Saharan Africa, natural resource dependency has proved to be a development curse rather than a blessing. Most of these countries squander much of their natural resources in questionable investment in outright theft, for example countries rich in oil Nigeria, Angola and Democratic Republic of Congo (DRC) (Moyo 2009).
2.7.2. Historical
Historical factors such as colonialism have been one of Africa`s underachievement. This is due to the fact that colonial powers delineated nations, established political structures and fashioned bureaucracies. These structures were fundamentally incompatible with the way of life of indigenous populations (Moyo 2009). This forced traditionally rival and ethnic groups to live together under the same flag would not make it easier for nation’building (Moyo 2009). The arbitrarily drawn borders would always make it difficult for the sub-Saharan countries to stand on their feet economically and politically (Moyo 2009).
2.7.3. Cultural
Cultural norms, social or religious beliefs have been cited as the reasons for the differences in development between people (Moyo 2009). Africa is viewed as a child who is unable to develop on its own. The trouble with the aid -model is that Africa is fundamentally kept in the perpetual child-like state (Moyo 2009).
2.7.4. Institutional
The absence of a strong, transparent and credible public institutions are the reasons as to why aid is failing in Africa. David Lands argues that the ideal growth and development model is one guaranteed by political institutions (Moyo 2009).
CHAPTER THREE
A CASE STUDY OF ETHIOPIA
3.1 Background
The chapter will give an over view of the geography, population, government structure and the economy of Ethiopia .Food insecurity and the impact which foreign aid has brought towards Ethiopia.
Ethiopia is located in the Horn of Africa. Its proximity to the Middle East and Europe,
Together with its easy access to the major ports of the region, enhances its international trade
( Anthro 2008). Covering an area of approximately 1.14 million square kilometers (444,000 square miles), Ethiopia is boarded by the Sudan on the west, Somalia and Djibouti on the east, Eritrea on the North and Kenya on the South (Anthro 2008).
Ethiopia is home to more than 80 ethnic groups and similar number of languages, the
Dominant religions being Christian and Islam. (Anthro 2008). However, one thing that united all Ethiopians is their shared national independence having never truly been colonized, although occupied by Mussolini’s Fascists from 1935-1941. Consequently, Ethiopia has maintained what many refer to as it’s Ethiopianness (Anthro 2008).
Ethiopia adopted a new constitution that established the Federal Democratic Republic of
Ethiopia (FDRE) in 1995 (Anthro 2008). The Federal Government is responsible for national defense, foreign relations and general policy of common interest and benefits ( Anthro 2008). The Federal States comprise nine autonomous states vested with powers for self-administration. The Federal Democratic Republic of Ethiopia (FDRE) is structured along the lines of bicameral parliament, with the Council of People’s Representatives being the highest authority of the Federal Government while the Federal Council represents the common interests of the nations, nationalities and peoples of the states (Anthro 2008). Members of both councils are democratically elected by universal suffrage for a five-year term (Anthro 2008).
Ethiopia is one of the poorest countries in the world, with a per capita Gross Domestic Product (GDP) of US $ 160 (Braun and Olofimbunyi 2007). A majority of the people live in the rural areas and rely on agriculture as their primary source of livelihood. This sector accounts for almost 47% of the Gross Domestic Product,60% of the exports and 80% of the employment( Braun and Olofimbunyi 2007).The main agricultural products are cereals, potatoes, oilseeds,coffee,sugarcane ,cut flower( Braun and Olofimbunyi 2007). Coffee is the main export commodity with a total export of about US $ 350 million (Braun and Olofimbunyi 2007).
3.2. The Causes of Hunger in Ethiopia
3.2.1 Climate Change
Ethiopia which located at the Horn of Africa, has one of the most vulnerable to climatic change and because of the multiple stresses and the low adaptive capacity (Glopolis 2010). The climate variability is not new in Ethiopia given its diverse agr0- ecological zones with variety of micro-climates and weather patterns (Glopolis 2010).
Ethiopia was expected to suffer severely from increasing unpredictable weather that will likely bring drought and flood erratically and in higher frequencies ,further degrade natural resources and compromise agricultural production( Glopolis 2010).With 80% of the population reliant on weather dependent agriculture , most of them are small-scale farmers or pastoralists. Therefore the effects of climate change are a threat to the farmers.
The extreme climate variation is likely to worsen as well as many existing environmental problems including soil erosion, deforestation, drought, over- grazing and deforestation (Glopolis 2010)
3.2.2. Land Grabs
Over the past few years, there has been a surge of interest in foreign investments in agriculture in many African countries (Glopolis 2010). The increases pressure and competition over land, including water and other natural resources in rural areas may hinder opportunity of the poor and hungry people from accessing these natural resources ( Glopolis 2010).Land is not only an essential commodity for food production ,but an economic asset and it represents historical ,cultural and spiritual issue to local population( Glopolis 2010).
3.2.3 Population Pressure.
Population growth is often considered a major cause of food shortage in the globe. Population pressure has become a factor in accelerating food insecurity in situations where all accessible land is fully under cultivation and failure to improve upon the old methods of cultivation and lastly, the opportunity for alternative employment are absent (Balcha 2001). In Ethiopia, the population growth is to the point where its demand has begun to exceed the sustainable yields of local forests, grasslands or crop land it directly or indirectly consumes the resource base itself (Balcha 2001). This reduces food production and incomes, triggering a downward spiral in a process of demographic trap (Balcha 2001).
3.2.4 Instability and Armed Conflict
Food insecurity and famine are evident in the area where war and armed conflicts are prevalent (Balcha 2001). The impact of war, a good example would be the border conflict between Ethiopia and Eritrea in 1998-2000, has majorly affected the rural economy and the rural environment (Balcha 2001).Some of the negative impacts include: disruption of production, loss of local genetic resource stocks, and erosion of natural resources (Balcha 2001) It also affects by distracting infrastructures such as roads, bridges and houses. Forced conscription of young men into the army disrupts the productive capacities of rural households( Balcha 2001).It has been also observed that soldiers tend to loot and plunder the resource of the rural population in order to maintain themselves( Balcha 2001).
3.3. Analysis of Food aid in Ethiopia
Ethiopia has been receiving a large amount of food aid for the last few decades (Gelan 2006). The most common ways of receiving food aid to famine- stricken areas has been through imports and distributing it freely to the needy population( Gelan 2006). This method has saved quite a number of people in regions where drought has often escalated into catastrophic famines (Gelan 2006). However, according to Moyo (2009), aid is slowly retrogressing the economic growth of developing countries.
The volume of food aid donated to Ethiopia is about 760,000 tons of cereals per year (Gelan 2006). According to the World Food Program (WFP), the directs transfer of transfer or shipment of this kind of food aid accounted for the largest proportion of about 76% (Gelan 2006). The World Food Program ( WFP), reports indicate that food aid used for emergency relief purposes represented 90% of the total ,while the remaining 10%was projected food aid for other purposes for example public works such as schools and hospitals( Gelan 2006).
There has been two major areas of concern in the area of food aid in Ethiopia over the differences between the composition of food aid and that domestic production (Gelan 2006). To begin with, large proportions of food aid to Ethiopia has been cereals. The total national production has been used interchangeably with ‘food production’ (Gelan 2006). Grains constitute 80% of the average Ethiopian diet, It is with great concern how the policy-makers researchers and donors have focused on food production and little attention to give the issues that are likely to provide an explanation of the Ethiopia`s food security challenges( Gelan 2006).
3.4. Impact of Food Aid
3.4.1 Domestic Production
Disincentive effects may result from targeted food aid for various reasons( PANE 2006).The poor may receive more food aid than they need and sell the excess on to the local market(PANE 2006).Alternatively, targeted food aid, although intended only for the poor, may be distributed to the non-poor who would have purchased or grown food(PANE 2006).These ‘un-needy’ recipients who accept free food will decrease their purchase of food from local markets, resulting in a decrease in food demand and loss of sales for local producers. The disincentive to the staple food producer is very real and may cause local farmers to move to other activities other than food production as the market shrinks (PANE 2006). The end result is decreased local production and, unless the country experiences economic growth, which allows it to import food, it will become dependent on food aid (PANE 2006).
3.4.2. Imports
(Barrett et al 1999) found that food aid displaces food imports but has little effect on food production. Evidence from the study shows a negative correlation between US programme food aid and contemporaneous imports by recipient countries (PANE 2006). The study also indicates that programme food aid from the US displaces imports by recipient countries in the short term, leading to short-term dependence on programme food aid (PANE 2006).Programme food aid has been found to increase imports to recipient countries in the long run (PANE 2006).
3.4.1. Economic Impact
The economic impact of food aid is based on the fact that introduction of more grain into the market decreases the price of grain( PANE 2006).If food aid is sold in the open market at a market-clearing price, the price of cereals will fall. This means lower prices for local producers and cheaper food for local consumers Decreasing prices mean that producers’ profits will diminish which will lead to decreased production (PANE 2006). Some literature argues that the other possible economic impact of food aid depends on the marketing policy and production structure of the recipient country. The economic impact of food aid can be affected by government actions (PANE 2006).
The government tends to regard food markets as having such strategic importance as to call for different kinds of control mechanisms (PANE 2006).The Ethiopian government has several policy tools at their disposal for influencing the effects of food aid, including segmenting of markets; stabilization of prices; using counterpart funds to establish a floor price or to subsidize input prices; and using food aid as balance of payments support (PANE 2006).Each of these may decrease the disincentive effect(PANE 2006).
CHAPTER FOUR
A CASE STUDY OF MALAWI.
4.1. Background
Malawi is a landlocked country in southern Africa sharing common borders with Zambia,
Tanzania and Mozambique (ICEIDA 2012).Lake Malawi, the third largest lake in Africa, covers about one-fifth of the country’s total area. Malawi is a small country about the size of Iceland (ICEIDA 2012).Estimated population in 2012 is 15.4 million people, making it one of the most densely populated countries in Africa (ICEIDA 2012). The majority of the population (80%) live in rural areas and depend on subsistence farming for their livelihoods (ICEIDA 2012).
Average life expectancy is 54 years. Malawi is amongst the poorest countries in the world ranking number 171 out of 187 on the Human Development Index (HDI) in 2011(ICEIDA 2012).
Malawi faces various challenges, including lack of resources, which make it dependent on
International Development Assistance (ICEIDA 2012).Political, economic and environmental adversities combine to make Malawi struggle with many aspects of basic human needs, such as
health, education and food security (ICEIDA 2012).
4.2. Analysis of Food Aid and Food Insecurity in Malawi
Malawi`s greatest development challenges over the past years have been its high levels of poverty, recurring food insecurity and widespread malnutrition (Jere 2007). These social phenomena are linked because poorer households cannot buy sufficient food for their needs and cannot get suitable income from their own agricultural production and suffer from malnutrition in the long run (Jere 2007). In response to the crises, the level of global food aid to Malawi has increased.
4.2.1. Causes of Food Shortage in Malawi
In the context of food insecurity, food supplies are seldom in Malawi due to various reasons.
4.2.2. Natural and Human-made Disasters
Food stability and availability in Malawi has been affected by disasters in terms of both production and income( Jere 2007).Malawi has experienced a number of natural and human ‘made disasters such as floods, drought, crop pests, economic crises and market failure( Jere 2007).However, floods and drought are the most frequent disasters which have cause several consequences: loss of lives and property ,malnutrition and complete loss of the ability to earn a livelihood( Jere 2007).
4.2.3. Insufficient Strategic Grain Reserve (SGR)
Maize has been the main staple food in Malawi. Therefore the government has to take an active role to protect the crop (Jere 2007). For example by participating in maize marketing by establishing food programs.
The Strategic Grain Reserve (SGR) can store up to 18,000 tons of maize which covers the country`s consumption for three months (Jere 2007). This grain reserve was formed mainly due to the fact that maize production was highly variable and relied on one growing season per year. This made it vulnerable to problems such as drought, floods, macro-economic hardships, high transport costs for importing maize and insufficient private sector involvement in the maize market (Jere 2007).
4.3. Impact of Food Aid on Key Food Security Components in Malawi
According to the World Food Program (WFP), food aid has had a positive impact on agricultural production (Jere 2007). However, during the previous food aid intervention in Malawi showed that due to large flows of food aid, maize prices fell thus it had a negative impact on the local production (Jere 2007).
4.3.1. Food Markets
Food aid has created food disincentives for local food producers by flooding the market and depressing prices (Jere 2007).According to Rates (2003), the main factor that hinders maize trade in Malawi is the market distortion rising from increasing food aid. The government must ensure that the approach to food aid does not lower maize production( Jere 2007).The availability of free humanitarian food aid supplies reduces the demand for commercial maize, resulting in unintended excess stocks of commercial maize ( Jere 2007).
4.3.2. Procurement of Food Aid from Local and Regional Markets
When the food is available in some parts of the country, local purchases of food aid do not increase overall supply in the country. Price and production disincentives and import displacement effects are removed (Jere 2007).
4.3.3. Dietary Habits and Food Preferences
Maize being the staple food, most of the food aid is in form of maize. The rest of the food aid is form of Sorghum, millet, beans and vegetable cooking oil (Jere 2007). The vegetables are normally in short supply during floods or drought. Unfortunately, the food aid packages are short of other kinds of food thus does not suite the needs of the population appropriately.
CHAPTER FIVE
5.1. Recommendation
If sub-Saharan Africa is to overcome its poverty, food insecurity and malnutrition in a sustainable manner, the national government has to make the overriding goal of development. Designing and implementing a strategy for broad-based sustainable growth development requires national capacities that are beyond those available in most countries of the region.
The donors play a major role in national decision ‘making by specifying conditionalities which may have justified to correct a number of economic factors that were not in the best interest of the poor people. They are not adequate substitutes for sound development strategies and policies implemented by African countries themselves.
The African countries need to facilitate effective and efficient private sector activities including agricultural input and output markets and ensure investment in the production of public goods. This is essential for broadly based development in most sub-Saharan countries and for sustainable alleviation of poverty, food insecurity and malnutrition.
5.2. Conclusion
The research set out to investigate the impact of foreign aid in eradicating hunger in the sub-Saharan Africa with a concentration on Malawi and Ethiopia. In this particular research, the main interest was on how foreign aid has affecting the level of hunger in the Malawi and Ethiopia.
It is clear from the study that there is a history behind foreign aid. Aid has been and will continue to be part of our culture. It will however take time and patience for the various African leaders to understand that aid has brought about more harm than good. It is quite unfortunate that the aid packages come to the sub-Saharan countries with the motive of ‘helping’, however the is an extent of self-interest. This means that the western countries are dishing out aid with conditions so as to control the economies of the under-developed countries of the sub-Saharan countries.
The African continent has the potential to become a leading economy globally due to its immense resources. The most frequently asked question about Africa is whether the natural resources have brought more curses than blessings. This is owing to the fact that the continent is not benefiting from them 100%. Instead, the leaders have come up with strategies of manipulating the population and hence grab all that they can to enrich themselves. This has led to the power struggle by African leader whereby each one of them wants power and wealth.
In as much as aid has been viewed by most scholars as a ‘curse’, there can be alternatives in utilizing it. The sub-Saharan countries need to establish organized structures to ensure that the funds are well utilized for their intended purpose. These structures should implement regulations whereby the government elite do not walk away after pocketing the money for their personal benefit but they should face the law.
The study in a nutshell has finds a strong relationship between the endemic that is hunger and the constant aid flows. It further describes how these aid flows have been of positive and negative effect on some countries. The study has also given some solution which sub-Saharan countries can opt for instead of relying on the constant aid flows.
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