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Abstract
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Article Information:
The Effect of Price Liberalization Policy on Agricultural Production Instability in Rahad Agricultural Corporation
M.E. Abd Ellatif Mahir and H. Abdelaziz
Corresponding Author: H. Abdelaziz
Submitted: 2010 May, 26
Accepted: 2010 September, 13
Published: 2011 January, 10 |
Abstract:
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The study was conducted to measure the extent of instability in the production of the main crops
grown in the Rahad scheme and determine the contribution of different components to agricultural production
instability before and after adoption of prices liberalization policy. The main crops included in the study w ere
cotton, sorghum and groundnuts. The instability of area, yield and production were measured, in addition to
the analysis of different components of the sources of change in the mean and variance of production. The
results of the study revealed that sorghum witnessed a continuous increase in instability during the periods
before and after adoption of prices liberalization policy. The instability in groundnuts and cotton production
was observed after the adoption of liberalization policy. The instability in area and productivity of the three
crops moved in the same direction and their increasing/decreasing trend resulted in increase/decrease in
instability. The decomposition analysis of sources of change in mean production indicated that the m ain
contribution in change of mean production of sorghum and groundnuts was due to change in mean yield and
due to change in mean area in case of cotton. The analysis of decomposition of variance showed that in case
of sorghum the changes in the variance of yield accounted for large shares of changes in variance of production
whereas in case of cotton and groundnuts the large shares w ere due to area. The changes in the residual term
were important in explaining the changes in the variance of production in groundnuts. Programs and policies
such as rehabilitation of irrigation canals, provision of inputs and strengthening the agricultural research and
extension can play a vital role in achieving stability in the agricultural production in Rahad Agricultural
Corporation.
Key words: Price liberalization, production instability, Rahad Agricultural Corporation, Sudan, , ,
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Cite this Reference:
M.E. Abd Ellatif Mahir and H. Abdelaziz, . The Effect of Price Liberalization Policy on Agricultural Production Instability in Rahad Agricultural Corporation. Asian Journal of Agricultural Sciences, (1): 5-10.
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ISSN (Online): 2041-3890
ISSN (Print): 2041-3882 |
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