Competitiveness of Main Crops in Mazandaran Province: Application of Mathematical Programming Model

Authors

Abstract

The role of agriculture sector is important in earning foreign exchange. To sell products in international market, they must be competitive. This study investigates comparative advantage in Mazandaran province, by using common indices and linear programming method in 2006-2007. In the process, dollar and euro were used. The results of linear programming showed that among crops which had comparative advantage, rice, irrigated yam, irrigated and rain fed barley, rain fed soy been, irrigated tomato and rain fed lentil were in optimum model. Most limited factor of production was land. The results indicated that adding one hectare to irrigate and rain fed land, would increase, net social profit by 25 and 18.5 million Rials, respectively. Sensitivity analysis for outputs and inputs was done individually. Estimation of model by using dollar showed similar results with euro. Finally, based on the results, development of rice and oilseeds was recommended. JEL Classification : C61,E23, N50
 

Keywords


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