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This report provides an overview of past, current, and projected future trends in agricultural productivity growth. It is difficult to measure productivity and while there are many robust empirical studies contributing to the productivity literature, there is no methodological consensus and each methodology used carries its own set of biases. This review looks at recent assessments of total factor productivity (TFP) and partial factor productivity (PFP) growth measures of land and labor productivity and crop and livestock yields, which offer multiple indicators with mixed evidence for global trends in agricultural productivity growth. We find that TFP and PFP measures of agricultural productivity lend different strengths to an analysis of trends over time. While TFP is theoretically a better measure of an economy’s overall efficiency, methodological debates yield a wide range of estimates. PFP measures are simpler to estimate, however since they fail to account for all inputs, partial measures are more limited in their ability to explain productivity changes over time.
This report provides a summary of Tanzania’s agriculture sector, crop production, agricultural productivity and yield levels, risks, and policies and reforms. This review uses resources found on the University of Washington Libraries system and Google Scholar, as well as the websites of the Government of Tanzania, FAO, and World Bank. We find that Tanzanian agriculture workers comprise 80% of the population and farm a wide variety of crops, ranging from staple crops such as maize, cassava, and rice, to export crops such as coffee, cotton, tobacco, tea, and sugar. Smallholder farmers face increasing risks from climate change, pests, diseases, and land degradation, among others. While they have some resources available, such as farmer groups and limited access to ICTs, they lack important resources such as credit and inputs. We find that Tanzania’s land tenure and agriculture policies may further complicate the lives of smallholders through increased taxes and administrative processes. Through the Agricultural Sector Development Programme (ASDP) reform, however, the Government of Tanzania hopes to empower farmers and improve service delivery.
The purpose of this literature review is to identify the linkages between increases in agricultural productivity and poverty reduction. The relevant literature includes economic theory and evidence from applied growth and multiplier models as well as micro-level studies evaluating the impact of specific productivity increases on local poverty outcomes. We find that cross-country and micro-level empirical studies provide general support for the theories of a positive relationship between growth in agricultural productivity and poverty alleviation, regardless of the measures of productivity and poverty that are used. The evidence also suggests multiple pathways through which increases in agricultural productivity can reduce poverty, including real income changes, employment generation, rural non-farm multiplier effects, and food prices effects. However, we find that barriers to technology adoption, initial asset endowments, and constraints to market access may all inhibit the ability of the poorest to participate in the gains from agricultural productivity growth.