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Abstract
Like many other African countries in the 1980s, Burkina Faso was urged to engage in a far-reaching liberalization of
its state-led cotton sector. Yet unlike most of its neighbors, the Burkinabè government rejected both the status quo
and wholesale liberalization, and instead embarked on a more gradual and sequenced reform path characterized by
institutional innovations and partial privatization. Whether the reforms contained genuinely successful elements is
therefore an important question, but also a difficult one given the absence of a counterfactual, the confounding
influence of exogenous shocks and the recent financial troubles of the sector. To unravel this puzzle, this paper
reviews existing evidence linking the reforms to various outcomes, but also develops a novel counterfactual analysis
to more rigorously assess the impacts of these reforms. Our analysis shows that while many elements of the reform
process did achieve important economic objectives, return migration from Cote d’Ivoire explains a third of
production growth, financial elements of the reforms were not fully sustainable, and institutional arrangements
failed to fully empower cotton farmers. This provides both positive and negative lessons for other would-be cotton
reformers.