<p>The main focus of this paper is to analyze government’s policy regarding property rights. Public expenditure allocation is also examined to infer how policy and institutional interventions have affected the performance of the agriculture sector. Data analysis shows that improvement on agricultural incentives happens at the expense of efficiencies of resource allocation. In addition, price distortion reduces the comparative advantage of exportable agricultural products in the world market. Inefficiencies in public expenditure allocation emanating from bureaucracy regarding organisational structure, instability in leadership, incentive problems and transitional difficulties with devolution are also traced. These, together with the detected weaknesses in property rights can guide future policy formulation.</p>