Malawi has experienced a forward shift in its demand for Irish potato (Solanum tuberosum) consumption. Given limited resources at farmers' disposal, meeting the growing demand will require farmers to follow the efficient path of the farm production resources. This paper, therefore, is an attempt to measure the cost efficiency of smallholder Irish potato farmers in Dedza district of Malawi using a translog cost function, inefficiency effect model and input elasticities derived from a system of cost share equations estimated by Iterated Seeming Unrelated Regression method.

This introductory section covers the period since the submission of the last Mid-Term

Plan until present, and concentrates on the following areas:

> Principal areas of progress.

> Developments in 2005 and early 2006.

> Changes to the CPMT strategic plan.

> Research achievement highlights.

> Program progress.

At this point – just under half way (two years and six months) in the implementation

of the first CPWF phase (and three-and-a-half years since inception began)