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Competition and Trade Policy: The case of Botswana poultry industry
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This paper (BIDPA Working Paper No. 31) describes the value chain in the industry and shows how, given the small size of the market, a high degree of market concentration exists.

Research Group
 International Trade and Finance

Date
  21th May 2012

Author
 Roman Grynberg and Masedi Motswapong

Keywords
  Competition policy; Poultry industry; Trade Policy;

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statement

The poultry sector is the most successful example of import substitution in Botswana with the country having achieved national self sufficiency.This paper (BIDPA Working Paper No. 31) describes the value chain in the industry and shows how, given the small size of the market, a high degree of market concentration exists. There is an estimate of the loss consumer surplus from the current trade regime. The paper raises issues regarding the fundamental tension between competition and industrial policy in a small developing couintry. As the larger firms in the poultry industry nove towards export readiness after 32 years of protection, the question of a new trade and industry regime is considered. The paper makes some policy reccommendadtions on consolidating the poultry industry in Botswana. 

 

 


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