423755

Measuring the Impact of Price Policy on the Onion Market in Egypt: Partial Equilibrium (PEM) Model

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Last updated: 27 Apr 2025

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Abstract

This paper examines the current situation of onion production and the marketing margin in Egypt during the period (2000-2020). The analysis highlights the distribution of marketing margins among different market participants, indicating that wholesalers and retailers obtain a larger share compared to producers. Furthermore, the study seeks to assess price distortions and the extent of subsidies received by consumers or taxes imposed on onion producers in Egypt. Additionally, it examines the impact of government intervention policies on production, consumption, government
revenue, and overall societal welfare using a partial equilibrium model. Under the partial equilibrium model, the study period is divided into two phases: The pre-exchange rate liberalization period (2000-2015) and the post-exchange rate liberalization period (2016-2020). The study's findings revealed that average nominal protection coefficient (NPC) for onion was 0.34 during the first period, declining to 0.30 in the second period, this suggests that onion producers received only 34% and 30% of their products value over the two periods, respectively. implying that the government policies during the study period has been imposing taxes on onion producers to subsidize domestic consumers.

DOI

10.21608/sjas.2025.423755

Keywords

Onion, Marketing margin, Partial equilibrium model, Egypt

Authors

First Name

Ehab

Last Name

Ibrahim

MiddleName

Abdelaziz

Affiliation

Department of Agricultural Economics, Faculty of Agriculture, Cairo University.

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Volume

7

Article Issue

1

Related Issue

54153

Issue Date

2025-03-01

Receive Date

2025-03-02

Publish Date

2025-03-01

Print ISSN

2535-1796

Online ISSN

2535-180X

Link

https://sjas.journals.ekb.eg/article_423755.html

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http://journals.ekb.eg?_action=service&article_code=423755

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423,755

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Original Article

Type Code

916

Publication Type

Journal

Publication Title

Scientific Journal of Agricultural Sciences

Publication Link

https://sjas.journals.ekb.eg/

MainTitle

Measuring the Impact of Price Policy on the Onion Market in Egypt: Partial Equilibrium (PEM) Model

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Article

Created At

27 Apr 2025