At the end of its fourth year, the Fertilizer Sub-Sector Reform Program (FSSRP) in Cameroon continues to operate successfully under very difficult economic conditions. Extremely tight bank credit limits importers’ access to subsidies to those with substantial assets. The purchasing power of coffee farmers, the principal users of subsidized fertilizer, has been greatly curtailed by low coffee prices. However, a general decline in subsidized fertilizer consumption over the past 3 years seems to have been arrested. Indications are that farmers have increased fertilizer use on food crops, which produces a better return on fertilizer expenditures than does coffee. Importers have also increased sales to banana and green bean growers, further diversifying the market. Increased participation in the FSSRP by importers, banks, and distributors has opened up the market, making it more transparent and responsive to demand than early in the program when large coffee cooperatives dominated distribution. (Author abstract)
