scholarly journals Impact of Agricultural Price Policy on Major Crops in Egypt

Author(s):  
Moataz Eliw ◽  
Osman A. Ismail ◽  
Harb A. El-Bardisy

Agricultural production, like other economic activities, is affected by the success of agricultural economic policies pursued by government from leaving the farmer free to cultivate his land with the desired crops and to take his production and marketing decisions in light of the mechanisms of supply and demand and the movement of prices in the markets without any intervention by the government. Therefore, the government's intervention influences the farmers' desire to grow any of the crops through its agricultural policies by imposing taxes or subsidizing inputs. To achieve the research objectives, we applied the Policy analysis matrix, where is one of the essential modern methods used in policy analysis. Besides, it helps to examine the impacts of government intervention policies across different stages of the flow of goods. In addition, it helps to assess and measure such policies' efficiency in achieving the hoped-for objectives and examine their impacts on producers, consumers, and the macro-level economic conditions. The Policy Analysis Matrix (PAM) can be calculated by calculating nominal and effective protection coefficients and then identifying the policy adopted by the government, whether it is a protectionist policy or a policy of direct or indirect taxes on the producers of those crops. Also, the calculation of the cost of domestic resources to determine the relative advantage. Where wheat, maize, rice, and potatoes are among the most crucial strategic food and industrial crops in Egypt.

2019 ◽  
Vol 19 (1) ◽  
pp. 1-13
Author(s):  
Yoanes Krisostomos Nargy Justra Septaris ◽  
Tinjung Mary Prihtanti

Competitiveness requires a country to excel in competitive and comparative advantage. The commodities that need to be developed are rice. This commodity was chosen because it is a commodity that the government prioritizes and is full of agricultural policies. The purpose of this study is to determine profits, competitive and comparative advantages and the impact of government policies. This research was conducted in March 2018 in Susukan District, Semarang Regency. The sampling technique used purposive sampling technique with a total of 30 respondents. Data analysis using Policy Analysis Matrix (PAM). The results showed that farming has a competitive and comparative advantage seen from the value of PCR and DRCR less than 1 but the DRCR value of 0.935 means that farming is feared no longer has comparative advantage if there is no interference from government policy. For the government, the policy of subsidizing fertilizers and pesticides is continued so that the farming business remains competitive but the use of fertilizer by farmers should be reduced so that it is in accordance with recommendations from the Agriculture Service or researchers. Marketers should target the domestic market because the price of rice in the international market is lower than in the country.


Author(s):  
Mohamed A. ELsamie ◽  
Tarek Ali ◽  
Moataz Eliw

The Egyptian cotton sector is considered one of the most important export strategic sectors in Egypt, where the Egyptian government takes many agricultural policies that lead to an increase in exports of that crop to foreign markets, as these policies that the government takes have a major impact on the producers of that crop, and this study examined the impact of Agricultural policies on the Egyptian cotton crop, using the policy analysis matrix to know the effect of government policies on the producers of that crop and also the impact of those policies on Egyptian exports of the cotton crop, and the results showed that when comparing the financial and economic performance of the elements of cotton crop production, the financial performance was less than the economic performance on all cost items except workers' wages [1], indicating that the Government is subsidizing cost items, thereby supporting cotton producers. Comparing the average variable costs of cotton during the study period financially and economically shows that the financial valuation exceeds the economic valuation, with the average variable costs of $418.36 at market prices [2] , amounting to $368.84 at world prices, The results also showed that the Nominal Protection Coefficient for the output of the Egyptian cotton in the period under study (2000-2017) was 0.74, indicating the lack of a fair production policy during that period, perhaps due to the fact that the value of the Nominal Protection Coefficient  for the production of the Egyptian cotton crop was lower than the correct one. It also indicated that the value of the Nominal Protection Coefficient for production supplies was 0.92, which indicates a decrease in government support for that crop compared to the value of the effective protection factor of 0.72 during the period under study (2000-2017). This indicates that the factor of the cost of domestic resources for the Egyptian cotton crop is 0.47, and this indicates that the Egyptian cotton has a comparative advantage in foreign markets, the study recommended Maintaining the foreign markets of the Egyptian cotton crop, as it has a global comparative and competitive advantage, and provides the state with foreign exchange, which contributes significantly to the Egyptian national economy.


2017 ◽  
Vol 11 (1) ◽  
pp. 69-96
Author(s):  
Siti Yuliaty Chansa Arfah ◽  
Harianto . ◽  
Suharno .

Penelitian ini bertujuan untuk mengkaji daya saing komoditi kakao di Sulawesi Tengah dan melihat peran pemerintah dalam meningkatkan daya saing komoditi kakao. Data primer berasal dari observasi, wawancara dan kuesioner, sementara data sekunder berasal dari instansi terkait. Metode analisis menggunakan Policy Analysis Matrix (PAM) dan analisis sensitivitas. Penelitian ini menemukan bahwa nilai PCR Kabupaten Parigi Moutong 0,589 dan Kabupaten Sigi 0,396. Sedangkan nilai DRC Kabupaten Parigi Moutong 0,387 dan Kabupaten Sigi 0,319. Hal tersebut mengindikasikan bahwa usahatani komoditi kakao di Sulawesi Tengah memiliki daya saing, namun tidak menguntungkan secara ekonomi karena Sulawesi Tengah menghasilkan biji kakao yang tidak difermentasi akibatnya petani menerima harga rendah. Berdasarkan hasil analisis, pemerintah belum memberikan proteksi terhadap harga biji kakao dalam negeri melalui harga referensi biji kakao sehingga harga biji kakao didaerah penelitian masih tergolong rendah jika dibandingkan dengan harga di pasar internasional. Sementara terhadap input, pemerintah telah memberikan kebijakan subsidi kepada petani, namun implementasinya masih perlu perbaikan terutama terkait penyaluran dan pengelolaan bantuan agar merata. Kajian ini merekomendasikan masih diperlukan kebijakan pemerintah baik terhadap input maupun output untuk meningkatkan produktivitas, menurunkan biaya produksi dan menaikkan harga jual biji kakao, sehingga dapat meningkatkan daya saing biji kakao. The purpose of this study is to assess the competitiveness of cocoa in Central Sulawesi and to investigate the role of government in improving the competitiveness of cocoa. The primary data were generated through observation, interviews and some questionnaires. The secondary data were obtained from the agency or the institution related to the research. This study uses the Policy Analysis Matrix (PAM) and sensitivity analysis. The study found that the PCR value for Parigi Moutong district was 0.589 and Sigi district was 0.396. While, the DRC value for Parigi Moutong district was 0.387 and Sigi district was 0.319. This indicates that cocoa beans farming in Central Sulawesi has competitiveness, but not economically beneficial because Central Sulawesi produces unfermented cocoa beans consequently farmers receive low prices. Based on the results of the government's impact on output analysis, the government did not provide protection for domestic cocoa seed prices through the reference price of cocoa beans, consequently the price of domestic cocoa beans, particularly in the research area, was relatively low compared to the price of cocoa beans at the international market. Seen from the government policy on inputs, the government have provided subsidies to farmers but they need to improve the distribution and management of aid to be evenly distributed. It is necessary to set up good government policy on inputs and outputs in order to increase cocoa seed productivity, decrease production cost and increase the price which simultaneously can improve its competitiveness in the research location.


2017 ◽  
Vol 48 (3) ◽  
Author(s):  
Lateef & et al.

The objective of this research was to analyze the economic impact of government intervention in the essential cereal crops for (Rice Buhooth1, and Synthetic genotype Baghdad3) by comparing the social price and private prices through adopting policy analysis matrix approach PAM and the derived parameters from it .The research was divided into two chapters; the first chapter was about field counting for the policy analysis matrix PAM and measuring the implications of the government intervention on the Rice Buhooth1. The second chapter was about explaining the field counting for policy analysis matrix PAM and measuring the implications of the government intervention impact on the second synthetic genotype Baghdad3.The research found a set of results, the most important result showed that the value of profitability coefficient was about 3.69, this indicates that the rice crop production system for the Rice Buhooth 1  takes advantage of the adopted government policy in that year, which means that there is governmental support for the product. In addition, domestic resource cost coefficient value which was about 0.72 indicates that there is comparative advantage for the Rice Buhooth 1  for the year 2012. The values of the nominal and effective protection coefficient were about 1.74 and 1.59 respectively; the value of the first factor indicates that there is governmental support for the domestic producer for the above, while the second factor indicates that the domestic producer will obtain greater returns in the investment of its resources in the existence of the government intervention from its absence. Regarding the Synthetic genotype Baghdad3, the value of profitability coefficient was about  1.75  which means that there is governmental support for the product. The domestic resource cost coefficient value was about 0.24 which indicates that there was comparative advantage for the mentioned above for the year 2012. The values of the nominal and effective protection coefficient were about 1.48 and 1.56 respectively; the value of the first factor indicates that there is governmental support for the domestic producer for the above, while the second factor indicates that the domestic producer will obtain greater returns in the investment of its resources in the existence of the government intervention from its absence. Finally, it is highly recommended that support should be increased for the varieties that the country has greater comparative advantage in order to improve the utilization of available resources and reduce wasted resources. Moreover, similar studies should be done in the future by other researchers to major cereal crops varieties at the country level in order to do comparison between them to set a mechanism for the government intervention policy in the main crop prices in the country which help both the local producer and agricultural investor in directing its resources properly.


2019 ◽  
Vol 4 (1) ◽  
pp. 52
Author(s):  
Tri Haryanto

Soybean farming in Indonesia, as well as in other countries in the world, has an important role in providing food for the population, food ingredients for the food and beverage industry, and feed ingredients. Some policies have been implemented by the government to increase the profitability, efficiency and competitiveness of soybean farming. This study used the Policy Analysis Matrix (PAM) method to assess the competitiveness of soybean farming and evaluate the effectiveness of government policies in soybean farming. The results showed that soybean farming had a competitive advantage and comparative advantage. The results of the sensitivity analysis indicate that output price policy is an effective instrument to increase the profitability and competitiveness of soybean farming in Indonesia.


Author(s):  
Kaihula P. Bishagazi

The failure of macro-economic policies to deliver meaningful reductions in poverty and achieve basic needs in Tanzania has provoked a deep questioning of the relevance of economic growth center policies in Local Economic Development (LED). The government and development partners are increasingly shifting from the traditional top down approaches to the all-inclusive bottom up approaches for effective local development. The concept of sustainable Local Economic Development is thus examined in the context of economic activities and challenges using a case study of Shinyanga region in Tanzania. 


Author(s):  
Hồ Thanh Hà ◽  
Nguyễn Thị Thương

Acacia species is the main tree species grown in forest plantation in Thua ThienHue province. This study has used Policy Analysis Matrix (PAM) as the main researchframework to analyze the profitability and the effects of intervention policies on theprofitability of acacia production in order to provide information, which can be used toassist in planting and expanding of acacia forest, to policy-makers and farmers. The resultsshowed that the acacia plantation is profitable but higher-profit model of intensivecultivation was almost twice as profitable as the extensive one. Results in PAM showed thatAcacia production offers both private and social efficiency. No indication of market failurewas found. The policies intervention was a tariff of 6.5% on imported fertilizer. Acaciaproduction generally has the protection of the government and efficient use of domesticresources. However, it also bore the tax burden with respect to the input (fertilizer). Acaciaproducts are comparative products in the market. Policy-makers and other forestrydevelopment programs should support farmers in cultivating the intensive model andlowering the interest rate for planting and expanding acacia forest.Keywords: PAM, Acacia production, profitability, Thua Thien Hue.


Social Change ◽  
2021 ◽  
Vol 51 (4) ◽  
pp. 463-474
Author(s):  
Yoginder K. Alagh

Indian agriculture is at a crossroads. We can plan out the phasing of reforms or force the pace and mess up the process. The Supreme Court had taken a practical stand on the Farm Trade Laws—implement them after consultation and with a well-defined framework spelt out. They had also appointed an expert amicus curiae. But this was not acceptable to the agitating farmer organisations in view of the stated views the experts had. It is possible that experts can re-examine their position as the Court said, but not highly probable. So going back to direct negotiations led to the stand the government has taken of holding the laws in abeyance for a year or a year-and-a-half. This will provide time for discussion of the details of agricultural reform which was needed since the laws were passed in a hurry on a single day. To begin with, it has to be understood that in a continental country one-size-fits-all will not work. The policy bind India is in is therefore a difficult one, even if the arguments are not ideologically anti-trade or those that lack policy interest. If a feasible alternate transitional policy set exists, a sensible approach would be to try to establish a roadmap of economic policies for, say a few major crops, and see if feasible alternatives exist.


2016 ◽  
Vol 47 (2) ◽  
Author(s):  
MOHAMMED & MUDHI

The objectives of this study are to analyses the impact of price policy on wheat production in Iraq through its efficiency in resource allocation using Policy Analysis Matrix (PAM) technique. This study depends basically on primary data collected from a random sample consisted of 115 farms, The sample has been divided into three subclasses, the first one area was less than 50 donum consisted of 64 farms, the second one area was between 50 – 100 donum and consisted of 33 farm, the third one area was more than 100 donum and consisted of 18 farm. The objective of this study is to analyses the impact of price policy on wheat production in Iraq. By estimation of policy analysis matrix elements, revenue transfers, tradable input transfers, factors transfers, were calculated which were revenue (654,584,455,553) and (348, 357, 275, 339) thousand dinars/donum in private and social price to three classes and the sample total consecutively, tradable input  (100,107,112,104) and (76,86,87,79) thousand dinars/donum in private and social price to three classes and the sample total consecutively, factors (254,211,177,230) and (260, 214,179,234) thousand dinars/donum in private and social price to three classes and the sample total consecutively, Net transfer was about (197,209,158,193) thousand dinars/donum to three classes and the sample total consecutively. The results of this study showed that the price policy used by government was encouraging producers in short run and also showed that wheat production had large support from government while inputs were not subsidized, the study also showed that private profits were more than social profits. Results also showed that wheat production in Iraq has a comparative advantage and internationally competitive. Finally the study arrived at some conclusions and recommendations according to conclusion.


2020 ◽  
Vol 25 (3) ◽  
pp. 365-372
Author(s):  
Agung Budi Santoso ◽  
Maryam Nurdin ◽  
Ismatul Hidayah

Shallot is one of horticultural commodities with a high demand. Majority of shallots in Maluku are bought from Surabaya and Makasar. However, the government continuously does horticultural development in the center of shallot production. The objective of this study was to analize the competitiveness and comparativeness of farming between shallots which are cultivated by local farmer and shallots which are imported. There were three locations of research i.e., Maluku Tenggara, Seram Bagian Barat, and Maluku Tengah. Primary data were collected by quessioner and used purposive sampling method. Primary data were analyzed using policy analysis matrix. The results showed that shallot farming in Maluku has comparative and competitive advantages compared with imported shallots. Agricultural government policy effectively increases local farmer insentive. However, it shows a decreasing trend while increasing productivity of shallot. Shallot farming having production higher than 8 ton/ha need output subsidy to give price guarantee. Effort to increase shallot competitiveness is conducted by increasing productivity and developing a farmer institution to make a sustainable agricultural development.   Keywords: shallot, competitiveness, competitive and comparative


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