This research report examines thetechnical efficiency and impact of the Zambia FertilizerSupport Program (FSP). The FSP was launched by theGovernment of the Republic of Zambia (GRZ) in 2002 as atemporary measure to provide subsidized hybrid maize seedand fertilizer packages to smallholder farmers and topromote the participation of private traders in supply. Whenthe FSP was announced, the Government indicated that farmerswould be eligible to receive support for two consecutiveseasons only and that the subsidy level would be reduced by25 percent per year. The program was meant to run for threeyears to the end of the 2004/05 farm season. Contrary tothese initial plans, the scale of FSP operations has grownsignificantly since the program was launched with largeadditions to the numbers of farmers targeted in some years,a change in the subsidy level from 50 percent to 60 percent,little attention to the intended two-year"graduation" requirements, and a significantescalation of total costs and cost per beneficiary. Thebudgeted amount for 2007/08 was ZMK 150 billion. Thisassessment was prepared to help answer these questions andprovide an improved basis for discussing the current andfuture role of agriculture input subsidies in Zambia. Therequest for this attests to the Zambian Government'scommitment to transparent decision making. The analysisfocuses specifically on the 2007/08 agriculture season.
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