Competitiveness of cotton production in cukurova region and Turkey: Policy analysis matrix (PAM) approach

ABSTRACTM. Sc. THESISCOMPETITIVENESS OF COTTON PRODUCTION IN CUKUROVA REGIONAND TURKEY: POLICY ANALYSIS MATRIX (PAM) APPROACHBetül BAHADIRÇUKUROVA UNIVERSITYINSTITUTE OF NATURAL AND APPLIED SCIENCESDEPARTMENT OF AGRICULTURAL ECONOMICSSupervisor: Prof. Dr. M. Necat ÖRENYear: 2006, Pages:86Jury : Prof. Dr. M. Necat ÖRENAssoc. Prof. Dr. Fuat BUDAKAssist. Prof. Dr. Tuna ALEMDARThis study assesses the competitiveness of cotton production with its majoralternative, wheat + second crop maize farming in Çukurova Region, with a PolicyAnalysis Matrix based on 2004 data. Private and social profitability of the crops werecalculated from the PAM model. Despite its negative private profitability, cotton hasa very high social profitability when compared with wheat plus second crop maize.Furthermore, some efficiency indicators computed from matrix model indicates thatcotton farming, which is a profitable enterprise, has lost its attractiveness in theregion as a result of the policies adopted.Export competitiveness of the cotton production was also investigated on anational basis. Results indicate that despite its quality and yield advantages, cost andproducer price disadvantages adversely affect international competitiveness ofTurkish cotton.Keywords: Policy Analysis matrix (PAM), Cotton, Çukurova Region,Competitiveness, Social Costs.