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Assessing the Competitiveness of Indian Cotton Production: A Policy Analysis Matrix Approach

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  • Samarendu Mohanty
  • Cheng Fang
  • Jagadanand Chaudhary

Abstract

This paper uses a modified policy analysis matrix (PAM) approach to assess the efficiency of cotton production in five major producing states in India. The results indicate that cotton is not efficiently produced in the second-largest cotton-producing state in the country. Without government interventions in this state, it is likely that acreage will move away from cotton to more profitable crops such as sugarcane and groundnut. In addition, we conclude that cotton is not the most efficiently produced crop in the other four states; however, there is at least one crop in each state that is less efficiently produced than cotton. These findings suggest that Indian policies directed at maintaining the availability of cheap cotton for the handloom and textile sectors have induced major inefficiencies in the cotton sector.

Suggested Citation

  • Samarendu Mohanty & Cheng Fang & Jagadanand Chaudhary, 2002. "Assessing the Competitiveness of Indian Cotton Production: A Policy Analysis Matrix Approach," Center for Agricultural and Rural Development (CARD) Publications 02-wp301, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    • Handle: RePEc:ias:cpaper:02-wp301
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    References listed on IDEAS

    as
    1. Cheng Fang & John C. Beghin, 2000. "Food Self-Sufficiency, Comparative Advantage, and Agricultural Trade: A Policy Analysis Matrix for Chinese Agriculture," Center for Agricultural and Rural Development (CARD) Publications 99-wp223, Center for Agricultural and Rural Development (CARD) at Iowa State University.
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    Cited by:

    1. Xiaoxiao Li & Bo Wang & Lingyan Sun & Honghui Zhu & Ning Lv & Jiaqi Zhang, 2023. "The Transmission Effect Test of China’s Rotation Mechanism on the Cotton Reserve Market," Sustainability, MDPI, vol. 15(5), pages 1-17, February.
    2. Meliko, Majory O. & Phinea, K. Chauke & Oni, Stephen A., 2010. "The Efficiency of Small-Scale Agriculture in Limpopo Province of South Africa," 2010 AAAE Third Conference/AEASA 48th Conference, September 19-23, 2010, Cape Town, South Africa 96801, African Association of Agricultural Economists (AAAE).
    3. Baha, Michael & Henningsen, Arne & Elleby, Christian & Mlay, Gilead, 2021. "Competitiveness of Currently Practiced and Alternative Cotton Production Methods in Meatu District, Tanzania," 2021 Conference, August 17-31, 2021, Virtual 315901, International Association of Agricultural Economists.
    4. Fazleen, Abdul & Stephan, Von Cramon, 2015. "The Policy Analysis Matrix of Profitability and Competitiveness of Rice Farming in Malaysia," 2015 Conference, August 9-14, 2015, Milan, Italy 210872, International Association of Agricultural Economists.
    5. Raga Moahmed ELZAKI & Eltighani MIRGHANI ELAMIN & Shams ELDEIN H. AHMED & Ali MUSA EISSA & Azharia ABDELBAGHI ELBUSHA & Ali ABDELAZIZ SALIH, 2010. "Comparative Advantage Analysis of the Crops Production in the Agricultural Farming Systems in Sudan," EcoMod2010 259600050, EcoMod.

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