Inorganic fertilizer use by smallholder farmers is one way to boost soil fertility and associated crop-yields and farm incomes. Yet fertilizer use remains the lowest where yield increase is needed the most. Per the World Development Indicator database , inorganic fertilizer use averages 154 kgs/hectare in middle-income countries, while in low-income countries it is less than one-tenth this level at 13 kgs/hectare. What is driving this situation? And are at times fiscally expensive programs, such as government subsidies, commonly used in low income countries, the right solution?