THE IMPACT OF EXCHANGE RATE LIBERALIZATION ON THE ECONOMIC IMPORTANCE OF SOME FODDER CROPS (YELLOW CORN, SOYBEANS) IN EGYPT

Abstract

This research investigates the economic importance of yellow corn and soybeans as key inputs in Egypt's poultry industry. Utilizing index number analysis, the study empirically examines the factors driving the economic value of these crops over the period 2011-2022.The findings reveal a substantial increase in the economic importance of both crops, primarily driven by expanded cultivated areas. However, the study also highlights the contrasting performance of the two commodities. While yellow corn exhibited consistent growth across all components, soybeans experienced a decline in average yield, partially offset by increases in cultivated area and farm-gate prices.The research underscores the intricate relationship between cultivated area, yield, and farm-gate price in determining the overall economic value of these crops. It emphasizes the need for policies aimed at increasing cultivated areas while simultaneously improving average yields and stabilizing farm-gate prices. By adopting a holistic approach that considers the interplay of these factors, policymakers can optimize the economic benefits derived from yellow corn and soybeans for Egypt's agricultural sector and broader economy.The study contributes to the existing literature by providing empirical evidence on the economic dynamics of these crucial crops and offering insights for policy formulation to enhance agricultural productivity and food security.