Investigating the sensitivity of agricultural products' profitability to fluctuation of climate variables (Case study: Khuzestan Province)

Document Type : Research Paper

Authors

1 Ph.D. Student, Department of Agricultural Economics, Extension and Education, Faculty of Agricultural Sciences and Food Industries, Science and Research Branch, Islamic Azad University, Tehran, Iran

2 Associate Professor, Department of Agricultural Economics, Extension and Education, Faculty of Agricultural Sciences and Food Industries, Science and Research Branch, Islamic Azad University, Tehran, Iran

3 Professor, Department of Agricultural Economics, University of Tehran, Karaj, Iran

4 Assistant Professor, Department of Agricultural Economics, Extension and Education, Faculty of Agricultural Sciences and Food Industries, Science and Research Branch, Islamic Azad University, Tehran, Iran

Abstract

Earth warming and climate change are one of the most important environmental issues in the world. In Iran, unsustainability of climatic conditions, the lack of uniform distribution of spatial temporal and rainfall changes, and the use of drought management are necessary. In recent years, decreasing precipitation and increasing the temperature of air has caused problems in the agricultural sector and the profitability of crops. In this study, the sensitivity of agricultural products' profitability to fluctuation of climatic variables in Khuzestan province based on combined data was investigated during the period of 1992-2012. The results showed that the fluctuation of climate variables led to decrease in economic profit by 58154.01 thousand Rials per hectare, and contribution of climatic growth to yield of products indicates the high contribution of rainfall. According to the results of the research, it is recommended that farmers' education should be used to counteract the decrease in the profitability of products, given the country's vulnerability to climate change. Creating an agricultural insurance system can also help to stabilize yields from product performance.

Keywords

References

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Iranian Journal of Agricultural Economics and Development Research
Volume 51, Issue 3
August 2020
Pages 377-392

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