Agricultural Economics and Development

Agricultural Economics and Development

Optimizing the Environmental Policies of Iran's Agricultural Cropping Based on Multi-Objective Bi-Level Optimisation Model Approach

Document Type : Original Article

Authors
M. Jafari 1
J. Shahraki 2
A. Akbari 3
1 Ph. D. Student in Agricultural Economics, University of Sistan and Baluchestan, Zahedan, Iran
2 Associate Professor, Department of Agricultural Economics, University of Sistan and Baluchestan, Zahedan, Iran
3 Professor, Department of Agricultural Economics, University of Sistan and Baluchestan, Zahedan, Iran
10.30490/aead.2020.257431.1001
Abstract
Over the past three decades, due to population growth, economic growth and energy consumption, environmental hazards have increased. Iran is a growing country and one of the examples of growth patterns with pressure on natural resources. Therefore, it is very important to study the environmental impacts of natural resources consumption and development in Iran. This study aimed at optimizing the agricultural policies with the orientation of environment conservation and improved economic productivity through building a two-level multi-objective optimization model as well as evaluating the optimal set of solutions obtained from two policy tools of 'increase in price of inputs' and 'introduction of taxes on fertilizer consumption'. This research was conducted as a case study in agricultural sector of Khomein Plain in Iran and during the 2015-2016 cropping year. The 'Pareto-optimal' set of answers obtained from the evaluation of the concerned policies showed that cultivars including beans and onions resulted in higher yields and lower fertilizer consumption than the other optimal cultivar patterns. Also, changing the cropping pattern to the proposed products would lead to an increase in water use productivity by 162 percent and a 29 percent reduction in the average consumed fertilizer while reducing the soil erosion by 33 percent. Given the study results, the bean and onion products are recommended to be used in the composition of farmers' cultivation pattern.
Keywords
: Multi-Objective Bi-Level Optimization
Environmental Policy
Crop Production
Khomein (Plain)
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