BIDPA feels that the programme should target poor households as opposed to being universal to drive the social objectives of food security and poverty reduction. Further, the report suggests the commercialisation aspect be pursued only in geographical areas where there is proven potential for viability and where the use of seasonal inputs may be sustained beyond the programme. The policy think tank’s report, which came out last week, focussed on the impact of ISPAAD input subsidy programme on the subsistence economy in Botswana.
Since 2008, government has spent upwards of P600 million each year on ISPAAD in the interests of increasing grain production, promoting food security at the household and national level and supporting the rural economy. Despite the positive impacts, ISPAAD has not been cost-effective, since public expenditure on the programme has exceeded the value of crops produced. By all indicators, the programme has not reaped any dividends for the investment. The value of crop output was equivalent to 51% of total expenditure on the programme. Additionally, the value of additional output produced due to the programme was recorded only at 26% of public expenditure on the programme.
