Statutory Marketing Authorities in the Third World

Abstract

The roles of statutory marketing authorities (SMAs) in agricultural sectors of developing countries are increasingly coming under scrutiny. Some countries have even begun to dismantle such institutions, or at least restrict their operations and powers. It is timely, therefore, to review the background and performance of these authorities, as a prelude to an assessment of their possible future role in agricultural development. A wide sample of documentary evidence is assembled containing evidence on the performance of statutory marketing authorities in developing country agriculture. Activities of the various authorities have been examined in both the food and export cash crop markets. It is concluded that there is little evidence that SMAs have achieved significant improvement in most marketing functions, and a good deal of evidence that they have worsened marketing performance. These findings raise fundamental questions about their future status as vehicles for agricultural development.