The Economic Impacts of Changing the Production Factors on Producing the Dry Bean and Lentil in Arab Republic of Egypt

Document Type : Original Article

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Abstract

This research mainly aims at studying the impacts of changing the production factors on the economics of the two crops the dry beans and lentil.And the findings show that:
1-    Production costs for both the dry bean and lentils have taken a significantly increasing trend at a significant level 0.01by 109.2, 107, pounds /feddan with an average growth rate of annual increase of about 7.9%, 7.5% over the Period (1996-2014), respectively.
2-    Average of the farm labor cost for the dry bean crop attained about 288 pounds / feddan in 1996 rose to about 973 pounds / acre in 2014 in growth rate represents 238.8% from its counterpart in 1996, and represents about 71.4%, 48.3% from the total variable costs in 1996, 2014 respectively, distributed to workers, animals and machines. As average cost of the farm labor for lentil crop attained about 228.5pounds / feddan in 1996, it increased to about 995 pounds / acre in 2014, up represent approximately 335.4% during the study period, and represent about 58.7%, 51.4% from the total variable costs in 1996, 2014 respectively.
3-    That wages of workers and machines are the most influential factors in the farm labor cost, and that both of chemical fertilizer and seed are the most influential factor in the cost of production requirements during the study period for the dry bean and lentil.
 
4-    Farm price for the two crops of the study has taken a significant growing trend at a significant level
0.01 by 16.6 pounds / ton, 24.8 pounds / ton, with an annual growth rate of about 7.2% 0.7%, respectively, during the study period. As it turns out that both the wholesale and retail price for the two crops of study has taken an increasingly significant trend at a significant  level of 0.01.
5-    By studying the relationship between the production cost per feddan from the crop of dry beanas an independent variable and the farm price farm of tone as a dependent variable show that the relative change rate between the production cost per ton and the price farm attained about 0.796. This means that when the production   cost of ton changes in 10% leads to changing in the farm price by 7.9 % as this was proven at a significant level of 0.01 during the study period. As it turns out that in studying the relationship between the production cost for ton of lentil and the average farm price The relative change rate attained   about 0.691 and this means that when the production cost for changes in 10% leads to a farm price change by 6.9%, as it was proven significantly.
6-    The study recommends preparing an integrated study in the field of legume crops to find out appropriate methods that help to reduce the cost of local resources to rise the comparative advantage of the two crops of study, specially they are from the important food commodities, which depends which the consumer relies on them daily.

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