The effects of policy changes towards direct payments on crop profitability and farm in comes in Çukurova region, Turkey

ABSTRACTM.Sc. THESISTHE EFFECTS OF POLICY CHANGES TOWARDS DIRECT PAYMENTS ONCROP PROFITABILITY AND FARM IN COMES IN ÇUKUROVA REIGON,TURKEY.Ayd n YORGUNÇUKUROVA UNIVERSITYINSTITUTE OF NATURAL AND APPLIED SCIENCESDEPARTMENT OF AGRICULTURAL ECONOMICSSpervisor: Prof. Dr. M. Necat ÖRENYear: 2006, Pages: 47Jury: Prof. Dr. M. Necat ÖRENAsst. Prof. Dr. Seda ENGÜLAsst. Prof. Dr. Tuna ALEMDARTurkey made fundamental revisions in its agricultural policies in order tostrengthen agricultural markets. Traditional agricultural support policies based onproducer price supports and input subsidies were replaced with new policies basedon direct payments. This study investigates effects of those policy changes onagricultural structure and income in Lower Seyhan Plain.Findings of the study reveal that policy changes have different effects ondifferent farms and crops. Giving up input subsidy policies has adversely affectedprofitability of widely grown crops such as cotton and corn. Income loss is greater insmall farms since crops with high input demand are mostly grown in those farms.Keywords: Agricultural supports, direct income support, direct payments, inputsubsidies, production costs.II