PROFITABILITY AND COMPETITIVENESS ESTIMATES OF SORGHUM PRODUCTION SYSTEMS

Authors

  • Agustín Rodríguez-Contreras
  • Roberto García-Mata
  • Félix R. Carvallo-Garnica
  • Gustavo García-Delgado

Keywords:

Sorghum bicolor L. Moench, economic profitability, competitiveness, production costs, prices, agricultural economics

Abstract

Recent changes in domestic policies and international trade have had important effects on the agricultural sector, and these changes have modified profitability and technological adoption rates by Mexican farmers. Hence, the main objective of this study is an analysis of the economic and technological structure of sorghum (Sorghum bicolor L. Moench) production in México, in order to determine profitability and competitiveness levels of domestic sorghum farmers with respect to imports, for the agricultural year 1992/1993. The analysis was made by comparing sorghum domestic farm average prices and its domestic production costs obtained from 118 interviews in the states of Guanajuato, Jalisco, Michoacán, and Tamaulipas, to its import parity prices. Results showed that under a free trade scheme, only 11 % of the farmers would be competitive to sorghum imports from the United States.

Published

30-06-1998