Estimation of the Supply Response Function for Sesame Crop in Qena Governorate | ||
| Alexandria Science Exchange Journal | ||
| Article 22, Volume 44, Issue 4, December 2023, Pages 769-781 PDF (355.14 K) | ||
| Document Type: Original Article | ||
| DOI: 10.21608/asejaiqjsae.2023.332109 | ||
| Authors | ||
| Somia Jadallah Hassan* ; Salwa M. A. Abdel Moneim* ; Mohamed S. S. Mohamed* | ||
| Department of Agricultural Economics, Faculty of Agriculture, Ain Shams University | ||
| Abstract | ||
| Agriculture is one of the most important pillars of the national economic structure, as it is responsible for providing the food needs of society members, in addition to its contribution to economic development by increasing agricultural GDP, reducing imports and increasing exports. The area cultivated with sesame in Egypt reached about 90.39 thousand feddans in 2021 and about 527 feddans in Qena governorate, and it produces about 578 tons/feddan in Egypt and about 603 ton/ feddans in Qena, representing 104.3% of the average of Egypt. The production in Egypt governorate reached about 52.25 thousand ton and about 318 ton in gena, representing 0.61% of the average of Egypt in 2021. The results showed the farmer's response to the per-feddan productivity of sesame in the previous year. The adjusted coefficient of determination also shows that about 75% of the changes affecting the area of sesame in the current year in Qena governorate are due to per-feddan productivity, while the remaining changes are due to other factors not measured by the function. The results of the study showed that an increase in the farm price of sesame in the previous year by one pound leads to an increase in the area cultivated with sesame in the previous year by 139 feddans, assuming that the other factors remain constant at a certain level. The elasticity of supply response of sesame crop was also about 0.17, indicating that an increase in the farm price of sesame in the previous year by 1% leads to an increase in the area cultivated with sesame in the current year by 0.17%. The study also found that an increase in the net per-feddan yield of sesame in the previous year by one pound leads to an increase in the area cultivated with sesame in the previous year by 108 feddans, assuming that the other factors remain constant at a certain level. The study also showed that there is a positive economically and statistically significant relationship between the area cultivated with sesame in the current year in thousand feddans and the farm price of peanuts and peppers in the previous year in thousand pounds. The elasticity of response was about 2.29 and 0.451 for peanuts and peppers, respectively. This indicates that an increase in the farm price of the two crops in the previous year by 1% leads to an increase in the area cultivated with sesame in the current year by 2.29% and 0.451%, respectively. The study also showed that there is a negative relationship between the area cultivated with sesame in the current year and the farm price of tomatoes. The elasticity of response was about (-2.39). This indicates that an increase in the farm price of tomatoes in the previous year by 1% leads to a decrease in the area cultivated with sesame in the current year by 2.39%. This does not agree with economic logic, despite its significance. The value of the coefficient of determination showed that about 94% of the changes affecting the area cultivated with sesame are attributed to the variables in the response model. The overall significance of the model has been established. The study also showed that there is a positive and statistically significant relationship between the area cultivated with sesame in the current year in thousand feddans and the per-feddan production costs of cucumbers in the previous year. The elasticity of response was about 0.641. This indicates that an increase in the per-feddan production costs of cucumbers in the previous year by 1% leads to an increase in the area cultivated with sesame in the current year by 0.641%. The value of the coefficient of determination showed that about 53% of the changes affecting the area cultivated with sesame are attributed to the variables in the response model. The overall significance of the model has been established. | ||
| Keywords | ||
| Sesame crop; Supply Response; Costs; Net revenue | ||
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