Estimating the relationship between sugar import and sugar beet production in Iran, during 2001-21

Document Type : Scientific - Research

Authors

1 Assistant Professor of Department of Agricultural Economics, Faculty of Agricultural Economics and Development, University of Tehran, Karaj, Iran.

2 M.Sc. Student, Department of Agricultural Economics, Faculty of Agricultural Economics and Development, University of Tehran, Karaj, Iran.

Abstract

Sugar as a strategic commodity has always been of interest to governments. This product is obtained from sugarcane and sugar-beet. Therefore, the relationship between sugar beet production and sugar import is considered significant. This study aimed to estimate the relationship between sugar import and sugar beet production in Iran during 2001-21 using a vector autoregressive model. The statistics required for sugar beet production and sugar import were extracted from the information baser of the Ministry of Jihad-e-Agricultural and the Iranian Sugar Factories Association. Results showed that changes in sugar imports are the cause of changes in sugar beet production. Results of vector autoregressive model showed that in short time, one percent increase in sugar import reduced sugar beet production by 0.30%, and in long-term model, one percent increase in sugar import reduced sugar-beet production by 0.19%. Based on the results, it is suggested that the capacity assessment of imports should be done based on the supply and demand gap in the country. The appropriate capacity of the country in sugar beet production and support of processing industries and development of contract agriculture should be considered by policy makers.

Keywords

References

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Journal of Sugar Beet
Volume 36, Issue 2
October 2021
Pages 203-211

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