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Export Competitiveness of Sugarcane in Southern India

S. Kanaka, M . Chinnadurai

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DOI: http://dx.doi.org/10.15520/jbme.2017.vol5.iss3.245.pp01-04

Abstract


This paper combines policy analysis matrix techniques to model the analysis of profitability from sugarcane cultivation. Policy analysis matrices are computed for a sample of sugarcane growers located in the wet land of the Tamil Nadu under observed conventional and profit-efficient farming conditions. The EPC estimates showed that it was less than one in all the period under consideration indicating that the state had not protected the sugarcane crop during the period under consideration. The EPC ranged between 0.006 in 2010-11 and 0.038 in 2008-09 and it’s implied less import substitute. Thus the unfavorable EPC, ERP and DRC along with NPC of more than unity should be viewed in its proper perspective.  The main conclusion is that the usefulness of the policy analysis matrix might be substantially enhanced by simulating profitability after efficiency-improving managerial decisions have been adopted.

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