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Improving Agricultural Market Performance:

Developing Agricultural Market Information Systems

27

Table 1: Typologies of Second Generation (2GMIS) Models

Type of provider

Product

coverage

Area covered

Institutional

home

Data collection

Technology

used

Type of information Users of the

information

Funding

Public

Strategic

dependent on

country e.g.

food security

related/ foreign

exchange

related

Regional/National/

to match geography

of trade

Public

institutions

Interviews,

observation by

reporters

Radio, email,

website,

bulletins,

notice board,

Prices, availability,

product

flow/quantities

transport costs,

farmers,

traders,

government

Government

donors

Private

Cereals, fish,

fruits, poultry

products and

pulses.

Fertilisers.

Regional/

national

Private

enterprises

Survey staff/

operators

(including market

players)

Market

information

point and

centres,

website, SMS,

Interactive

video response

(IVR), notice

boards and

email

Price and

availability,

quality/quantities,

inputs, weather

forecasts,

data/record

management.

Farmers,

market

players/

traders

Donors and

user fees,

shareholders

Professional

organisations/

NGOs

Cereals

vegetables and

livestock

National/

Sub-National/

regional

NGO/farmers’

organisations/

private

organisations

Interviews,

observation by

reporters,

Telephone

interviews

SMS, website,

radio,

magazine,

notice board,

billboards.

Prices, quantities

exchange,

quality/quantity,

market trends.

farmers/

market players

e.g. traders

Government

donors/

users’

subscription/

members’

contribution

Commodity

exchange

Traded

commodities

e.g. maize,

wheat, pulses,

coffee/ staple

foods

National/

sub-national/

regional

Private

enterprise

By product

transactions on

the exchange.

TV, electronic

ticker board,

print media,

SMS, toll-free

phone

exchange rate,

CIF/FOB prices,

grade, date/time,

volume traded

traders/buyers

and

smallholder

farmers/

farmer groups

e.g. cooperatives.

member

contribution

(e.g. ECX in

Ethiopia) and

government

funding

Source: Adapted from Galtier et al. (2014); David-Benz et al. (2015); Chitoah and Gyau (2016); Zhang et al. (2016);

and Staatz et al. (2014)

A more mixed range of funding has emerged for agricultural MIS. The public agencies continue

to rely primarily on government funding. The exchanges also tend to fund MIS as part of overall

corporate recurrent expenditure since the service is seen as important in maintaining

participation by market players. Most of the professional organisations and NGOs involved in

providing market information depend on donors or specific project-tied support. Even with

private providers, donor funding is usually critical in sustaining the activity even where internal

cross-subsidisation is pursued.

Impact and Lessons from 2GMIS

A review of selected cases of 2GMIS in non-OIC countries, some of which are reported in Chapter

3, shows that though it is difficult to ascertain whether MIS impacts on specific policies, it is

possible to link MIS to improved decision making with respect to certain issues (Galtier et al.,

2014). In Madagascar, for example, MIS data helped public policymakers to take actions which

moderated the impact of soaring market prices during the food price crisis in 2008 (ibid). In

particular, MIS helped to trigger an emergency response in times of crisis (ibid).

Staatz et al. (2014) have argued though that there are numerous difficulties in trying to measure

the impact of MIS due in part to the wide variety of dissemination techniques used. With respect

to reducing information asymmetries, however, most studies have explored the use of ICT

technology (rather than the MIS as a whole) in understanding whether these tools have been