Abstract:
This paper estimates the impact of trypanosomiasis on crop-livestock production, economic loss and poverty in Ethiopia. We use unique panel data to estimate how the disease affects livestock deaths, production costs and crop production. We then use these estimates to evaluate the disease's total economic loss and its implications on poverty in the study districts and the country. Estimates of the fixed effect regression models indicate that trypanosomiasis increases the value of livestock deaths by 33% and production costs by 63%. Crop production decreases by 14% when trypanosomiasis and oxen death coexist. We estimate that the direct economic loss is about US$58,300 per annum in the study districts. The estimated countrywide economic loss is about US$94 million per annum. Had the government prevented this economic loss and invested it in social protection programmes, it could have lifted about 9000 people in the study districts and about 200,000 people in the country above the national poverty line per annum. These findings indicate that trypanosomiasis remains a major production constraint. Controlling the disease appears to be pro-poor, calling for more policy attention.