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  • Author: Fred Muhumuza, Anne Mette Kjær, Tom Mwebaze
  • Publication Date: 02-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The dairy sector is one of the only agricultural sectors in Uganda that has enjoyed sustained high growth since the late 1980s. Milk and the cold dairy chain developed especially in the south-western part of the country. This paper explains why this is so by the sector's relation to the ruling coalition. We argue that the dairy sector was relatively successful because the south-western based ruling elite wanted to build a support base in its home area. In addition, the elite had a special interest in dairy since key elite members owned dairy cattle themselves. As milk production grew, the ruling elite wanted to regulate the sector as this would help the big processor, the state owned and later privatized Dairy Corporation. Regulation was relatively successful and a pocket of bureaucratic efficiency was established in an agency called the Dairy Development Authority. The reason why regulation was enforced to a considerable extent was the organization of dairy farmers and traders and the bargaining and compromise with the Dairy Development Authority this organization of industry actors enabled.
  • Topic: Agriculture, Development, Economics, Government, Infrastructure
  • Political Geography: Uganda, Africa
  • Author: Lindsay Whitfield, Niels Fold
  • Publication Date: 02-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper explores what can be learned about the development of a productive sector and the factors that affect the process of upgrading and innovation, through a comparative assessment of the experiences of Malaysia and Ghana in the palm oil sector. The purpose is not to carry out a direct comparison of the trajectories of the sectors in the two countries, which would serve only to emphasize the failures in the 'construction' of the palm industry in Ghana. Rather, the role of context must be acknowledged, such that learning starts with understanding key points in the industries' trajectories that either break or accelerate path dependency. Thus, the paper focuses on the differing contextual factors and initial conditions, and how they shaped early divergent paths and industry structures, as well as the presence or absence of factors supporting expansion and diversification within each country's trajectory.
  • Topic: Agriculture, Development, Economics, Industrial Policy
  • Political Geography: Africa, Malaysia
  • Author: Anne Mette Kjær, Mesharch Katusiimeh
  • Publication Date: 03-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: When the National Resistance Movement (NRM) and its leader, Yoweri Museveni, came to power, they had an explicit agenda of industrializing the economy (Kjær and Muhumuza, 2009). Improved infrastructure and increased production and productivity were the focus. Indeed, Uganda enjoyed a period of sustained economic growth of about 7 percent annually between 1990 and 2006 (Piron and Norton, 2004; Kjær and Muhumuza, 2009), made possible by a stable ruling coalition, macro-economic stability, low inflation (until recently), and relative peace. Poverty declined from 56 percent in 1991 to 25 percent in 20101 However, there has been limited structural transformation in terms of a shift from agriculture to industry. A number of explanations for this could be put forward, whether institutional, policy-oriented or geographical (Selassie, 2008; van de Walle, 2001). None of them, however, explains fully how Uganda, in spite of an initially highly dedicated ruling elite, did not succeed in transforming its economy. For example, Uganda is a landlocked country, but so is Zimbabwe, which is far more industrialized. Similarly, while Uganda certainly has weak institutions, so did other countries that have succeeded in industrializing (Selassie, 2008).
  • Topic: Agriculture, Development, Economics, Industrial Policy, Post Colonialism
  • Political Geography: Uganda, Africa, Zimbabwe
  • Author: José Jaime Macuane
  • Publication Date: 09-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Discussion of development strategies in Mozambique reveals three main perspectives on the role of elites in the policy process: donor dominance, political dominance over technocracy, and the emergence of non-state (economic and civil society) actors as players in the policy process, although still with a marginal role. These analyses tend to see the identity of these actors as monolithic and clearly identifiable. The identities condition the involvement of these actors in a set of dichotomous relations, such as politicians versus technocrats, donors versus internal actors, and state versus non-state actors. Based on this understanding, this paper analyses the role of elites in policy processes, focusing on elite formation and power relations in Mozambique in a context of an economically dependent country undergoing democratization. The paper shows that the dominant analyses of the role of the elites in the policy process in Mozambique overlook the process of elite formation, which contributes to the existence of multiple and overlapping elite identities in the policy process. In this regard, the paper concludes that, despite the emergence of new elites (economic, societal and bureaucratic) resulting from economic and political liberalization and as an aspect of pro-poor policies, the differentiation between these elitesis more apparent than real because of the strategies they have adopted to maintain their dominance in a context of the increasing importance of electoral politics. Further, the paper concludes that the political elite still dominates the process, even with donor dependence, but that nonetheless this dominance is being challenged by an erosion of legitimacy caused by the low effectiveness of the development strategies, reflected in increasing public contestation over government policies, which opens up a space for changes in the current pattern of elite relations.
  • Topic: Civil Society, Development, Economics, Politics
  • Political Geography: Africa
  • Author: Michael Kidoido, Rasmus Hundsbæk Pedersen, Rachel Spichiger, Sarah Alobo
  • Publication Date: 11-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Land is an important asset for people's livelihoods and for economic development in Uganda, where the majority of people live in rural areas. This working paper reviews the literature on Uganda's tenure systems and their relationship with economic activities, focusing primarily on rural agricultural land. The review illustrates that these relationships are complex and context-dependent.
  • Topic: Development, Economics, Gender Issues, Poverty, Law
  • Political Geography: Uganda, Africa
  • Publication Date: 02-2012
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: OECD donors, international organisations and non-governmental organisations are increasingly cooperating with China in Africa. This policy brief offers recommendations for policy-makers on how to lay the groundwork for such cooperation. It also stresses that the involvement of African partners is critical in fully realizing the benefits such cooperation can provide for sustainable development.
  • Topic: Foreign Policy, Development, Diplomacy, Economics, Foreign Aid, Foreign Direct Investment
  • Political Geography: Africa, China
  • Author: Lars Buur, Lindsay Whitfield
  • Publication Date: 10-2011
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Through a comparison of sector cases in Mozambique and Ghana, the paper analyzes why and how African states engage in developing productive sectors and with what success. It argues that successful state interventions depend on four factors: (1) sustained political support by the government leadership; (2) the existence of an embedded and mediating bureaucracy; (3) changing the 'rules of the game' which govern the distribution of economic benefits and resources; and (4) the organisation of industry actors and institutionalised interaction between industry actors and state actors.
  • Topic: Economics, Industrial Policy
  • Political Geography: Africa, Ghana
  • Author: Jose Brambila-Macias, Isabella Massa, Matthew J. Salois
  • Publication Date: 11-2011
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: In this paper, we use a mixed-effects trade gravity model on a sample of 83 developing countries over the period 1990-2007 to assess the impact of trade finance and foreign aid on bilateral export flows. In addition to traditional variables, we also include a banking crises variable and a global economic downturns variable among the regressors. Differences across developing regions are taken into account. Our results suggest that: (i) trade finance has a positive and significant impact on bilateral export flows in all developing regions except Latin America; (ii) foreign aid matters in all regions; (iii) global economic downturns exert a negative and significant impact on export flows in all developing countries, and especially in Latin American and Sub-Saharan African economies; (iv) banking crises appear to have no significant impact in most developing regions.
  • Topic: Economics, Globalization, International Trade and Finance, Foreign Aid, Financial Crisis
  • Political Geography: Africa, Latin America
  • Author: Ole Therkildsen
  • Publication Date: 11-2011
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Tanzania's 2005 push to increase rice production by ambitious rural investments in irrigation and by tariff protection of its rice industry from cheap imported subsidised rice has apparently highlevel political support. Yet, the implementation has run into problems: non-compliance with the tariff, substantial smuggling of cheap rice through Zanzibar, and low sustainability of irrigation schemes due to poor local-level operation and maintenance.
  • Topic: Agriculture, Economics, Food
  • Political Geography: Africa, Tanzania
  • Author: Peter Gibbon, Henrik Nielsen
  • Publication Date: 12-2011
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This report reviews international experiences with pro-poor development assistance to export sectors. Such support has become more common in the last decade and a half, following the emergence of widespread consensus amongst policymakers that export growth can be a key poverty reduction mechanism – since it should increase both national income and formal employment. This contributes to poverty reduction directly through increased employment and indirectly through creating additional resources for governments to pursue pro-poor policies. Nevertheless, policymakers normally also agree that some types of export growth are more (potentially) pro-poor than others, especially but not only in their employment effects. It is initiatives to respond to this challenge that will be treated in this report.
  • Topic: Economics, Gender Issues, Poverty, Labor Issues
  • Political Geography: Africa