Economics and Marketing
somayeh shirzadi laskookalayeh; mohammad Bahadori; abbas jalali; Alijan Salariyan
Abstract
This study used the benefit-cost analysis and various financial indicators, such as Net Present Value, Benefit-Cost Ratio, Internal Rate of Return, and Payback Period, to determine the economic feasibility of saffron production under controlled conditions in Mazandaran province. Data for calculating ...
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This study used the benefit-cost analysis and various financial indicators, such as Net Present Value, Benefit-Cost Ratio, Internal Rate of Return, and Payback Period, to determine the economic feasibility of saffron production under controlled conditions in Mazandaran province. Data for calculating these financial indicators were collected through field surveys, questionnaires, interviews with experts and specialists from the Agriculture Jihad Organization of Mazandaran province, and by obtaining fixed and variable costs as well as income from the establishment of controlled environment spaces for saffron production (spaces with areas of 200 square meters, 1000 square meters, and 5000 square meters) from agricultural service centers. The collected data were analyzed and evaluated using COMFAR software version 3.3, and the results, including financial indicators and sensitivity analysis under different scenarios, were presented. The findings suggest that at a discount rate of 18% and an inflation rate of 35.06%, establishing a saffron production unit on a 200-square-meter plot is not financially viable within a seven-years. (one year for construction and six years for operation). However, for plots with areas of 1000 and 5000 square meters, the internal rate of return is 36.85% and 53.99%, respectively, making them financially viable. According to the project ranking test, increasing the plot area for saffron production under controlled conditions leads to higher financial profitability. Furthermore, based on the sensitivity analysis results, it was identified that increasing product sales income has a more significant impact on project profitability compared to reducing fixed and variable costs. Positive steps such as increasing production, effective marketing, and improving product quality can enhance profitability.
Economics and Marketing
somayeh shirzadi laskookalayeh; mahmoud sabuhi sabuni; Ahmad Ali Keikha; Kamran Davari
Abstract
The reduction in water resources, increased occurrence of droughts and heavy damages to the country make the more efficient use of this resource very important. The aim of this study is to evaluate the effects of various policies of reduction of water consumption and the effect of any increase in the ...
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The reduction in water resources, increased occurrence of droughts and heavy damages to the country make the more efficient use of this resource very important. The aim of this study is to evaluate the effects of various policies of reduction of water consumption and the effect of any increase in the price of each cubic meter of water on saffron cultivation pattern. The data for the research was obtained by interviews done with 100 farmers in agricultural areas of the Rokh and Naishabur plain in 2012. The sample farms were selected using random sampling, the study was conducted and the models were calculated for both areas. The results of positive mathematical programming model showed that by 20 percent savings in water consumption in the Rokh Plain and 30% in the Naishabur plain, we can achieve cultivating a pattern similar to those which have achieved the previous values at the farm level for saffron. Also, by reducing the amount of water, the economic value of water increased. Doubling the price per cubic meter of water used in crop cultivation and water consumption does not lead to lower profit. Therefore, it is recommended to save water resources. In addition, precise time detection irrigation and the right to saffron can have negative effects when excessive irrigation is done and reduce the performance of this product. Effective and optimal water management policies to reduce the amount of available water is also planned to be presented to the policy makers.
Economics and Marketing
Abbas Jalali; Reza Esfanjari Kenari; Somaye Shirzadi Laskookalayeh
Abstract
In this study, profit efficiency and its influence factors were analyzed using stochastic frontier production approach and simultaneously estimating the behavioral profit model of saffron farms. For this purpose, information from 81 farmers that were interviewed randomly in 2014 was used. The results ...
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In this study, profit efficiency and its influence factors were analyzed using stochastic frontier production approach and simultaneously estimating the behavioral profit model of saffron farms. For this purpose, information from 81 farmers that were interviewed randomly in 2014 was used. The results showed that the average profit efficiency of saffron farms was 61.4 percent and 51.3 percent of saffron farms have lower profit efficiency than 50 percent. Based on the results of the frontier profit function, pesticide costs have a negative effect on the profit of saffron farms and the cost of water, machine, labor cost, years of experience, farm size and participation in promoting class are positive and have a significant effect on profit efficiency. Based on the results of this study providing the necessary conditions along with easier and cheaper access to modern equipment and also encouraging farmers to use optimal allocation and reduce costs is an effective step to improve the profitability of saffron farms.
