Agricultural Economics
M. Ghasabi; M. Haji-Rahimi; H. Ghaderzadeh; R. Shankayi
Abstract
Abstract
Risk is an undeniable factor in agricultural activities, and its neglect can lead to inefficient resource allocation in the sector. Various theories and mathematical programming models have been developed to assist decision-making in cropping pattern management under risk conditions. This study ...
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Abstract
Risk is an undeniable factor in agricultural activities, and its neglect can lead to inefficient resource allocation in the sector. Various theories and mathematical programming models have been developed to assist decision-making in cropping pattern management under risk conditions. This study aimed to determine the optimal cropping pattern for Dehgolan Plain, Iran, using data from 2014 to 2023. A linear programming model was employed to maximize farmers' gross income, and the results were compared with those from a Quadratic Programming Model and the Minimization of Total Absolute Deviation (MOTAD) model, both incorporating risk minimization. The findings revealed that risk factors can significantly influence cropping patterns. Under the highest level of risk, the profit-maximizing cropping pattern included only cucumber, alfalfa, and canola, indicating a preference for higher gross-income crops despite their greater water requirements. However, when risk was incorporated into the model, the cultivated area of wheat and barley increased compared to the risk-neutral scenario. This shift reflects a tendency toward lower water-requirement crops, even at the cost of reduced gross income. These results highlight the necessity of balancing income maximization and risk management for more sustainable cropping pattern.
Agricultural Economics
M. Haji-Rahimi; P. Alizadeh; F. Sharifi
Abstract
The broiler chicken industry is a vital agricultural subsector in Kurdistan Province, Iran, with 716 production units in the province and a 5% growth from 2019 to 2024. However, there is no study to evaluate the comparative advantage indices or competitive capacity of broiler chicken production in Kurdistan ...
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The broiler chicken industry is a vital agricultural subsector in Kurdistan Province, Iran, with 716 production units in the province and a 5% growth from 2019 to 2024. However, there is no study to evaluate the comparative advantage indices or competitive capacity of broiler chicken production in Kurdistan Province. This study aims to assess these factors using the Policy Analysis Matrix (PAM) for 2023. Findings indicate that Kurdistan Province has a comparative advantage in broiler chicken production, as shown by the Domestic Resource Cost (DRC) ratio and Social Benefit-Cost Ratio (SBCR), across all production capacities. The Nominal Protection Coefficient (NPC) for the product reveals that the market price of live broiler chicken is lower than its shadow price, effectively imposing indirect taxation on producers. Conversely, the NPC for inputs shows that input shadow prices exceed market prices, suggesting indirect subsidies for poultry inputs. The Effective Protection Coefficient (EPC), which combines these effects, indicates effective government support for the industry. Competitiveness indices suggest that broiler chicken production in Kurdistan Province is viable both domestically and internationally. The findings suggest that the broiler chicken industry of Kurdistan could compete in regional markets, particularly Iraq market, even without supportive policies in form of input subsidies, provided price suppression is eliminated and market-based pricing is implemented. Thereby, this study suggested transitioning from interventionist policies to establishing a transparent and competitive market infrastructure to ensure sustainable growth in broiler chicken production.
M. Haji Rahimi; M. Fahimzadeh; M. Nemati; R. Meshkat
Abstract
Demand for consumption of protein, as a result of improvement in the income and nutrition levels, has a rapid growth in developing countries. Broiler industry has a crucial role in providing protein. To design an optimal plan and to use the potential resources, analyzing cost structure of this industry ...
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Demand for consumption of protein, as a result of improvement in the income and nutrition levels, has a rapid growth in developing countries. Broiler industry has a crucial role in providing protein. To design an optimal plan and to use the potential resources, analyzing cost structure of this industry is required. In this study, cost structure and economies of scale of broiler industry were analyzed using cost function. The data were collected from 68 broiler farms in Kurdistan province, in a simple stochastic random sampling method. Results showed that the cost of broiler feed had the largest proportion of product expenditure. Demand for all inputs was inelastic. Estimation of the economies of scale measure, showed increasing returns to scale; supporting development of the larger size of broiler farms for future in Kurdistan province. As a large proportion of the expenditure was to import products, to develop the industrial sector a priority should be given for producing food in the province.