An analytical of the agricultural policy analysis matrix for Egyptian cotton crop

Abstract

In the recent years, the Egyptian agricultural policy has led to some structural changes that aimed to maximizing economic returns under the technical potential and economic determinants of the local and global economies. The total financial income achieved for the Egyptian cotton crop is estimated at about 9710.8 pounds per acre, as an average for the period of study (2000-2018). Such income was less than the economic value of those revenues at the border prices by about 5.7%, with the economic value of that revenue amounting to about 10261,6 pounds to the ears. The value of the nominal protective coefficient for cotton production was about 0.94 during the study period, which illustrates the absence of a fair production policy during that period due to the depreciation of this coefficient from the correct coefficient. It turns out that the nominal protection factor for production requirements is about 0.91 for this crop, which illustrates the apparent decrease in the amount of support provided by the state for the production requirements as the value of this coefficient approached the correct one. It turns out that the value of the effective protection coefficient is less than the correct one, which amounted to about 0.94 which shows that the value added of the cotton crop is reduced in domestic prices from world prices. The value of the local resource cost factor was about 0.41 during the period 2000-2018.