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Economic impact of aflatoxin contamination in SubSaharan Africa
Date
2008Author
Coulibaly, O.
Hell, K.
Bandyopadhyay, Ranajit
Hounkponou, S.
Leslie, John F.
Type
Metadata
Show full item recordAbstract/Description
Globalization, including new international tr
ade standards and regulations, has placed sig-
nificant constraints on competitiveness in a
nd access to international markets for develop-
ing countries, especially those in Sub-Sahara
n Africa. Agricultural commodities from these
regions must overcome problems ranging from
lower productivity and product quality to
higher per unit transportation costs, and lo
wer capacity to manage product flow from sup-
pliers to end-users (value chain management). The competitiveness of African commodities
also is impeded by poor policy and institutional en
vironments that result in high transaction
costs. One factor reducing African agricultu
ral commodity competitiveness for export is
aflatoxin contamination. Aflatoxin lowers
product quality and discounts export values,
which may lead to significant economic losses for the countries and the agents in commodi-
ty value chains. Losses from rejected export sh
ipments and lower prices due to poor quality
may exceed 100% if the product is destroyed a
nd the exporter is paying for the shipping.
Negative impacts on human health and househol
d include mortality, loss of productivity
and reduced income due to lower productive capacity, and related health costs. In this con-
text, the cost of complying with food safety
and agricultural health
standards has been a
major source of concern in the international development community and for African econ-
omies, but without increased food quality, ne
ither competitiveness nor more revenue from
exports will result. We address the problem of access of African commodities to interna-
tional markets by recommending an increase in
public awareness of the costs and ill effects
incurred due to mycotoxins, and the diffusion
of aflatoxin control technology and related
capacity building to improve food quality in Sub-Saharan Africa. We also recommend
strengthening the capacity for conducting im
pact assessments and collecting the data
needed to make optimal decisions amongst
possible aflatoxin control measures.