49
Figure 6 confirms that the price of millet has been rising steadily in Niger over the last
decade, while Figure 23 shows that the overall trend in the price of millet is characterized by
a strong – and only slightly declining – seasonal price component as well as by a 2005 price
spike due to a famine. Interestingly, the 2010 famine price component is less pronounced
than those of 2001, 2003 and 2005. In turn, Figures 9 and 24 provide the same info for Malawi
which also exhibits a growing trend in maize prices over the decade, a strong seasonal price
component, and three food price spikes in 2002, 2006 and 2008-9 in correspondence to the
crises analyzed above.
Figure 24 - Malawi: seasonal and famine price components - monthly data
(2000-2010)
0.4
0.6
0.8
1
1.2
1.4
1.6
J
a
n
-0
0
J
a
n
-0
1
J
a
n
-0
2
J
a
n
-0
3
J
a
n
-0
4
J
a
n
-0
5
J
a
n
-0
6
J
a
n
-0
7
J
a
n
-0
8
J
a
n
-0
9
J
a
n
-1
0
in
d
e
x
n
.
Seasonal price component
Famine price component
Source: authors’ calculation on FEWSNet data.
We now plot these three price components against the number of admissions of
malnourished children to feeding centers (as done below for Malawi), conscious of the fact
that such data are incomplete (i.e. no data available for 2001-2 and 2010) and subject to an
unknown measurement error, and that changes in admission protocols may bias the
graphical analysis and the results of the subsequent regression. Figure 25 shows that
admissions of children to feeding centers move in line with the seasonal price component
and, less so, with the famine price component.
Finally, to disentangle quantitatively the importance of long term food prices (and the
related production policies), seasonal price variations, and price spikes observed on occasion
of famines and we carry out a log-log regression of the number of malnourished children
admitted to feeding centres on the three price components discussed above and on two key
control variables i.e. the number of feeding centres and the dummy ‘hunger season’. Given
the log-log approach followed, the parameters are the average ‘elasticities’ of child
admissions to feeding centres given a one percent variation in each one of the regressors
(with the obvious exception of the dummy hunger season).
50
Table 14 presents the results of such an analysis for the total number of child admissions to
feeding centres.
Figure 25 - Malawi: Number of children admitted to Nutrition and Rehabilitation Units and
famine price component (top figure) and seasonal price component (bottom) (2003–2009)
0
500
1000
1500
2000
2500
3000
Ja
n-
01
Ju
l-0
1
Ja
n-
02
Ju
l-0
2
Ja
n-
03
Ju
l-0
3
Ja
n-
04
Ju
l-0
4
Ja
n-
05
Ju
l-0
5
Ja
n-
06
Ju
l-0
6
Ja
n-
07
Ju
l-0
7
Ja
n-
08
Ju
l-0
8
Ja
n-
09
Ju
l-0
9
n
.
0
0.2
0.4
0.6
0.8
1
1.2
1.4
1.6
1.8
in
d
e
x
n
.
N. child admissions
Famine price component
0
500
1000
1500
2000
2500
3000
Ja
n-
01
Ju
l-0
1
Ja
n-
02
Ju
l-0
2
Ja
n-
03
Ju
l-0
3
Ja
n-
04
Ju
l-0
4
Ja
n-
05
Ju
l-0
5
Ja
n-
06
Ju
l-0
6
Ja
n-
07
Ju
l-0
7
Ja
n-
08
Ju
l-0
8
Ja
n-
09
Ju
l-0
9
n
.
0
0.2
0.4
0.6
0.8
1
1.2
1.4
in
d
e
x
n
.
N. child admissions
Seasonal price component
Source: authors’ calculations on data from FEWSNet, and Malawi’s Ministry of Health
The results clearly suggest that – for the time span indicated - the trend price component (of
maize) in Malawi has a negative and significant impact on child admissions to feeding
centres, possibly suggesting that, for many households, nominal incomes rose faster than
maize prices, while – though in a highly unstable way – food production per capita rose
during the last decade (see Table 9) including because of the policy attempt of intensifying
output through a more intensive use of fertilizers and other inputs. In contrast, the seasonal
maize price component consistently shows in both Model 1 and 2 the largest and most
significant impact on child admissions to feeding centres – highlighting in this way the
importance of this neglected aspect of child malnutrition. The seasonal price components
has on average over 2003-2009 a bigger effect than that of the trend price component and of
the large (but infrequent) food price spikes observed in 2006 and 2009. Confirmation of the
importance of seasonality on child malnutrition is confirmed by Model 3 in which the ‘hunger