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The supply response of basmati rice growers in Punjab, Pakistan: price and non-price determinants

Author

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  • Umar Farooq

    (Agricultural Economics Research Unit, AARI, Faisalabad, Pakistan)

  • Trevor Young

    (School of Economic Studies, University of Manchester, Manchester, UK)

  • Noel Russell

    (School of Economic Studies, University of Manchester, Manchester, UK)

  • Muhammad Iqbal

    (Agricultural Economics Research Unit, AARI, Faisalabad, Pakistan)

Abstract

Pakistan's stated policy is to increase basmati rice production through price support measures and liberalization of input markets. The present study assesses the scope for price support policy to achieve growth targets and whether additional assistance is needed from non-price policy measures. The econometric analysis is based on a profit function using farm household survey data from the Punjab. Pakistan for 1995-1996. The results reveal that to achieve production targets, very high support prices are required. Since these price levels may not be feasible, a more appropriate option may involve some inducements to expand paddy area and the area allocated to modern varieties. Copyright © 2001 John Wiley & Sons, Ltd.

Suggested Citation

  • Umar Farooq & Trevor Young & Noel Russell & Muhammad Iqbal, 2001. "The supply response of basmati rice growers in Punjab, Pakistan: price and non-price determinants," Journal of International Development, John Wiley & Sons, Ltd., vol. 13(2), pages 227-237.
    • Handle: RePEc:wly:jintdv:v:13:y:2001:i:2:p:227-237
    DOI: 10.1002/jid.728
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    References listed on IDEAS

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    3. Munir Ahmad & Azkar Ahmad, 1998. "An Analysis of the Sources of Wheat Output Growth in the Barani Area of the Punjab," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 37(3), pages 231-249.
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    6. Pervez Hasan, 1998. "Pakistan at the Threshold of the 21st Century: How to Shape a Better Economic Future?," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 37(4), pages 85-122.
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    Cited by:

    1. Rahman, Sanzidur, 2003. "Profit efficiency among Bangladeshi rice farmers," Food Policy, Elsevier, vol. 28(5-6), pages 487-503.
    2. Elahi, Ehsan & Khalid, Zainab & Weijun, Cui & Zhang, Huiming, 2020. "The public policy of agricultural land allotment to agrarians and its impact on crop productivity in Punjab province of Pakistan," Land Use Policy, Elsevier, vol. 90(C).
    3. Kaimba, George K. & Mithöfer, Dagmar & Muendo, Kavoi M., 2021. "Commercialization of underutilized fruits: Baobab pulp supply response to price and non-price incentives in Kenya," Food Policy, Elsevier, vol. 99(C).
    4. Kavoi, Mutuku Muendo & Hoag, Dana L. & Pritchett, James G., 2010. "Economic performance of exotic dairy cattle under smallholder conditions in the marginal zones of Kenya using three analytical approaches," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 49(1), pages 1-24, March.
    5. Suleiman Abrar & Oliver Morrissey & Tony Rayner, 2004. "Aggregate agricultural supply response in Ethiopia: a farm-level analysis," Journal of International Development, John Wiley & Sons, Ltd., vol. 16(4), pages 605-620.
    6. Donato, Romano & Carraro, Alessandro, 2015. "Modelling Acreage, Production and Yield Supply Response to Domestic Price Volatility," 2015 Fourth Congress, June 11-12, 2015, Ancona, Italy 207278, Italian Association of Agricultural and Applied Economics (AIEAA).
    7. Mushtaq, Khalid & Dawson, P. J., 2002. "Acreage response in Pakistan: a co-integration approach," Agricultural Economics, Blackwell, vol. 27(2), pages 111-121, August.
    8. Mbugua, Mercy Wanjiru & Irungu, Patrick & Nzuma, Jonathan, 2014. "Analysis Of Demand For Antibiotics In Poultry Production In Kiambu County, Kenya," Dissertations and Theses 269532, University of Nairobi, Department of Agricultural Economics.
    9. Rahman, Sanzidur & Parkinson, R.J., 2007. "Productivity and soil fertility relationships in rice production systems, Bangladesh," Agricultural Systems, Elsevier, vol. 92(1-3), pages 318-333, January.
    10. World Bank, 2010. "Food Price Increases in South Asia : National Responses and Regional Dimensions," World Bank Publications - Reports 2885, The World Bank Group.
    11. Sanzidur Rahman & Mohammad Mizanul Haque Kazal & Ismat Ara Begum & Mohammad Jahangir Alam, 2016. "Competitiveness, Profitability, Input Demand and Output Supply of Maize Production in Bangladesh," Agriculture, MDPI, vol. 6(2), pages 1-14, May.

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