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Fertilizer producer pricing in developing countries : issues and approaches

Author: Edilberto Segura; Y T Shetty; Mieko Nishimizu; World Bank.
Publisher: Washington, D.C., U.S.A. : World Bank, ©1986.
Series: Industry and finance series, v. 11.
Edition/Format:   Print book : Document : Conference publication   Computer File : EnglishView all editions and formats
Summary:
This paper focusses on the setting of ex-factory prices for the producers of fertilizers in the developing world. Regardless of whether prices are determined by the free market or by an official agency, to be economically optimal they should perform several objectives: (1) the provision of stimulus to mobilize and allocate adequate resources for fertilizer capacity expansion; (2) encouragement of the optimal choice  Read more...
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Genre/Form: Conference papers and proceedings
Congresses
Additional Physical Format: Online version:
Fertilizer producer pricing in developing countries.
Washington, D.C., U.S.A. : World Bank, ©1986
(OCoLC)655697431
Material Type: Conference publication, Document, Internet resource
Document Type: Book, Computer File, Internet Resource
All Authors / Contributors: Edilberto Segura; Y T Shetty; Mieko Nishimizu; World Bank.
ISBN: 0821306537 9780821306536
OCLC Number: 12665141
Notes: Proceedings of the International Seminar on Fertilizer Pricing Policies, sponsored by the Industry Department of the World Bank in March 1984.
Description: xiii, 250 pages : illustrations ; 28 cm.
Series Title: Industry and finance series, v. 11.
Responsibility: Edilberto L. Segura, Y.T. Shetty, and Mieko Nishimizu, editors.

Abstract:

This paper focusses on the setting of ex-factory prices for the producers of fertilizers in the developing world. Regardless of whether prices are determined by the free market or by an official agency, to be economically optimal they should perform several objectives: (1) the provision of stimulus to mobilize and allocate adequate resources for fertilizer capacity expansion; (2) encouragement of the optimal choice of process, effective control of feedstock and other operating costs; (3) satisfactory levels of capacity utilization; and (3) where necessary, closure of obsolete, high cost plants. Most developing countries set prices by: (1) reference to the estimated costs of domestic producers; or (2) reference to international market prices. The strengths and weaknesses of alternative approaches are evaluated and practical recommendations made on improving incentives for efficiency in the sector.

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