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Abstract SUMMARY The economic importance of the horticultura! crops in the Egyptian agriculture has increased during the last years. Promoting the production of these crops is considered one of the rna st important pillars 0 f the Egyptian contemporary agricultural policy .Therefore, the intensification of agriculture, which depends mainly on the protected cultivation ,is an inevitable solution due to the limited resources of land and water and also the continuous increase of the local food demand as a result of rapid growth of population. The modern trends of the Egyptian policy go for expanding the protected cUlt~vation either through the greenhouses or the tunnels in both the new reclaimed lands or the old ones on the expense of the traditional cultivgtion • especially when applying the economic reform programs in the agricultural sector and setting free the agricultural price policy. This research aims at studying the economies of the horticultural crops production in the greenhouses and the tunnels compared with the traditional cultivation. This is through a study of the economic efficiency of the agricultural resources used for the three kinds of cultivations. This stUdy aims also at estimating the production functions and studying the optimal size which minimizes the average costs for each produced unit and theoptimal size which maximizes the producers’s profits. It helps to estimate the elasticity of production to determine the economic optimal mixtures of the production elements and the elasticity of costs. This research determines also the value functions of the output, the capacity revenue and finally the possiblity of eKpanding the yield capacity • ~s will lead to upgrade the production efficiency and the economies 0 f such crops • Theretore, digital indicators and economic criteria can be estimated to support ’the decision-makers in planning for a successful and advanced policy for agriculture. (2) The research depends mainly on deduction and inductio~ to draw up conclusions • It used the descriptive and quantitive analysis for the statistical data and expressing the relations among all variables • It used many analytical tools clnd many mathematical methods in estimating and measuring • It included tests for the significance of the slope coefficients and iOrms used in measuring • The statistical data necessary for the research were obtained in the form of time series for the economic variables during the period from 1979 to 1993 and also ia the form, of sectional data for the agricultural season 1993 / 1994 • This has been attained through the field study q~stionaire6 that were designed especially for this purpose and filled out during the personal interviews for the subjects of a ttandom sample of the growers of horticultural crops being studied 1n the protected and traditional cultivations ( tomatoes, cucmbers, pepper, cantaloups and ornamental plants ) distributed among the governorates of the sample dliring’th~ B’llDumr 0 f 1994 • These governorates were Ismalia, Behira, Giza and Qual10bia • The research icludes 5 main chapters and an into duction which includes the problem 0 f the research, the olljec:tives0 f the research, the tools and methods and the information sources. mere is a summary of these chapters and the results of the analytical processes. THE FIRSlf CBAP’IER This chapter deals with the situation of the prot.8cl;tc:l cultivation in the Egyptian agricultural system .It contains 3 sections • The first section deals with the protected cu1t1Tation technology • It explains fully the concept 0 f the prlotected cultivation , the greenhouses, t~e kinds of the protected houses and their geometrical shapes eit’er individually or collectively • This section deals with the general specifications that should be observed in constructing the greenhouses, selecting their positions and the suitable direction and preparing the location cd hp I2’rpenhmlses and the material. used in their construction • This section also shows the concept 0 f the tunnels ,their kinds, usages and the shapes of the arches used in constructiflJ the tunnels and the way to cover them • The second section explains the relative importance of the protected cultivation for the natlional agricultural production. It shows the development of the national agricUltural production in the traditional fields of the horticultural crops ’being studied at the republic level and the most important producing governorates from 1979 to 1993 • It also shows that the greenhouses came into use in Egypt since 1977 for r’esearch purposes. In 19’79, the protected cultivation has been initiated at Quaha ,Qualyobia supported by the International Bank on an area of 1 feddan. This program has been expanded to cover an area of 5 fd in 1980. Then, the protected cultivation has spxeedand reached 4879 greenhouses in 1987 and then t~ 8731 in 1993 • 1he total area of the greenhouses was 4422 ,”1 and total production reached 40000 tons of crops and 5759 seedlings in 1993 .Regarding the relative importance of the tunnels for the agrlcul tural pro due tion, it has been shown that its total area was 163.7 fd in 1988 and then reached 32498 fd in 1993 at, the republic level • Most. of the tunnels have been. concentrated in,Isma1.ia,(73.03% of the total area in the whole Egypt in the same fear). The third section reviews the most important studies related to the subject of the protected cu), t1.vatioJIi:n. the E.,.ptian agricultural system. f)fuesestudies showed that vegetable production is seasonal and th1.sleads to a shortage i.n the supply for local consumption in certain seasons • The production of cucumber and pepper in the traditional fields decreases in thElperiod from Jan. to Apr. Such pe-iods in which the trad1 tional production decline is the most suitable periods for the protected cUltivation. Similarly. these studies shows that the best months for exportulg thecucumber ar the months of Dec., Feb ••and Apr.,for !bmatoes,Dec. ~~d Jan. and for pepper the months of Dec.and~ar,.These are the most suitable period~ for the protected cultivart:1oll• Therefore, we can de]~end on the protected cultivation not only in filling the gap in the local production in the decline periods of the traditional cultivation,but al~ in increasing tltB exports to the Arab countries during winter months of Dec.,Jan.,Feb. and March. (4) THE SEOOND CliAPTER This chapter deals With the field research e:am.ple• It displays the main steps to select the research sample in both the protected and traditional cultivations. Also, it shows the methods of collecting the data from the sample individuals • On selecting the research sample, certain imprtant bases were put into consideration to represent the community well • The most important basis waS to specify the framework of the research area at the republic level. The greenhouses were 8731 with total area 0 f 4421594 1112. in 1993 and t:tl~ total area cultivated with the crops in question (toaatoes, cucumber, pepper and cantaloup) in the traditional cultivation was 350923, 44623, 43954 and 29129 fd,respectively in the same year at the republic leve1 • The governorates of Egy:pt have been divided. into 2 groups: the Upper Egypt group and the Lower Egypt group in order to reflect the differentiatio~ of the production factors like temperature ,soil and moisture. The production units in both the protected and traditional cultivations were diYided aceording to their management teams whether public or private sector to study the effect of the manage.ent on the economies of both protected and traditional cUl1t;iTations. Then, the governorates were selected to be Ismalia, Bebira, and Qualyobia for the Lower Egypt and Giza for Upper Egypt. The’ sample included 247 landowners , of which 91 possess 658 green houses of which 287 are public sector and 371 privatE~ sector • The tunnel sample,owned wholly by the private sector. included 60 landowners cultivating an area of 33.21 fdS. The sample of the traditional cultivation included 96 landowners ( private sector) cultivating an area of 116.2 fdS,and 10 landowner (public sector ) cultivating ornamental plants on an area of 19.20 res , THETBID CIlAP’lER • The study of the p$duction costs is the corneze tene in determining the production efficiency • Therefore, this chapter deals with estimating the production costs functions for the crops in question an4 this makes us aware it the resources employed in producing the sample crops during the season. 1993 /1994 were used to obtain the optimal production of such crops or not • The functional relations were calculated between the total production costs ,including ren~ , as a subordinate variable and the feddan yield as a main variable accordinl to, the data collected from the sample units • The average and minimal functions were derived and the production costs elasticity were estimated for each crop in the three kinds elf cultivations : the greenhouses , the tunnels and the traditiond cuf••·•. tivation either for the pUblic or the pr1va~e sector. 1he results shows that all the growers of the crops in question,except the tunnel cucumber growers and the private sector pepper greenhouses, haven’ t reached yet the most efficient production and ·themost economically-feasible production • In other words. tne haven’t entered the economic .production stage ye~ • This indicates that the production functions for these crops either in the protected or traditional cultivations are still passing the non-economic stage. This gives the opportunity for the growers to expand their investments to increase their production and double their profits through rechannelling their agricul~ural resources to upgrade their economic and production. efficiency • This section concerns with estimating the pn»duction functions for the horticultural crops of the E~search sample for the agricultural seaSon 1993/1994 to measure the relation between the inputs and outputs which contributed in this,Function.. It deals with the factors affecting production which means the ecOnomic efficiency of using resources and the relation between revenue and capacity. The well-known statistical technique called the multiple slope was used to represent these relations. The study deals with estimating two mathematical figures for production functions and tlley are the l~ear model and the doubl.e logarithmic model which can be tr,.sferred to Cup-Douglas fUBct10n that. is known in the econonc usafliS • (6) The step-wise analysis results showed that so•• inputs have positive effect on product1oD while others have a negative one and this indicates that thier minimal productivity exceeded the stage of the economic.production as a result of overusing it • Undoubtedly, determining the optimal economic mixtures of the production. elements under the conditions of the protected cultivation and the trad1 tional one to produce the crops in quest:1.onby the public and private sectors necess1 tates refering to the production. functions for each case and balanc1ag the production elements • THEFInJl ClIAP’BR.•. This chapter deals with the economies of produc:S:.ngthe horticul tural crops in the research sample • It contains 2 .ain sections .The first section concerns with the economic efficiency for using the land for producing the horticultural crops in the selected sample in both protected and traditional cultivations • Increasing the production efficiency is a main factor in the economic development plan. Five criteria were used for aeasuring the efficiency and they are as follows : The average productivity, the Average production costs, the Average total revenue” the Average net revenue and the Proportion ..of the average net revenue to the total costs for the most important. crops of tme research sample and this is call.ed. the investment coefficient or the profitability of the Egyptian Pound • The productiVity per feddan in the greenhouses 1s four to five times the quantity of its counterpart in the tradit1.onal cultivation and 2 to 2.25 times of that of the tunnels • ~s indicates that the pro duct10n; of the tunnels is 2 t1meEIof that of the traditional cultivat1on( open 1and ). Also, it 1s cl.ear now that the revenue of the t1lJll’lels crops exce.ed its counterpart in both the greenhouses and th. open land by aore than twice • ’llhis indicates that investaentJ.D the tunnels is auch better from the inv.estor’s or the ordinary jSrOwer’s point 0 f view • The second aeetlon concerns with the feasibility study of investment in the projects of the protected cul’tivation of the horticul tural crops in the research sample • ~1s aims at contri- to rechannelling using resources towards the best use • The green houses and the tunnels represent integerated production units that are characterized by rapid capital turnover. The study shows that the tunnelS’ exceecfthe greenhouses concerning their feaaibili t.y study for the investor • HOwever, from a nationalistic point of view , there is a bad need for the greenhouses for the little space they occupy and their ample production which means saving a plenty of lands for growing many other crops in the traditional cultivation. REOOMMENDA’l:IOHS In the light of the conclusiaos reached by the research, the study ~ecommends the following :- l-Encouraging the private sector and supporting it in the processes of using and CUltivating the greenhouses and the tunnels in the reclaimed lands as it has proven its efficiency in managing such kinds of production units. 2-Depending on the protected cultivation in increasing the exports of cucumbers, tomatoes, and pepper to the Arab countries in winter as the production of the open fields decreases • 3-.A.doptingthe protected cul tivatisB for the-exports which Means it aims essentially at exporting most of production • This will be possible through establishing a special association for this purpose • 4-Upgrading the economic efficiency for the protected cultivation through decreasing the costs and increasin.g production. 5-Encouraging the pr.1vate investment in the protected cultivation as it excels the Slvernmental 1nvestaent • 6-Making use of the ,rotected cul,tivation for a longer period allover the ye~ • |