Agricultural Economics and Development

Agricultural Economics and Development

Optimization of Import and Production of Iranian Red Meat with Emphasis on Sustainability of Water Resources

Document Type : Original Article

Authors
F. Fathi 1
A. Sheikhzeionddin 2
Z. Farajzadeh 3
1 Assistant Professor, Department of Agricultural Economics, Shiraz University, Shiraz, Iran
2 Corresponding Author and Assistant Professor, Department of Agricultural Economics, Shiraz University, Shiraz, Iran
3 Associate Professor, Department of Agricultural Economics, Shiraz University, Shiraz, Iran.
10.30490/aead.2022.353102.1294
Abstract
Red meat plays an important role in providing animal protein of Iranian households. However, its supply has experienced some challenges stemming from exchange rate fluctuations, smuggling livestock to the neighboring countries, and importing frozen meat financed by subsidized currency. In addition, there has been significant emphasis on self-sufficiency and providing the red meat domestically. On the other hand, based on Falcon Mark index, Iran has encountered water tension, the situation that may be getting worse as self-sufficiency is more focused. Regarding the problem, this study aimed at investigating different scenarios of domestically-produced and import of red meat with due consideration of simultaneously minimizing the costs of red meat and water use. For this purpose, multiobjective programing was applied using data for 2000-2018 in which minimization of spending for domestic consumption and water footprint embodied in domestic production was included. The selected scenarios were different combinations of the weights for minimization objectives. The results showed that depending on the weights assigned to the objectives, providing 30-40 percent of domestic need from domestically produced red meat was recommended while the remaining need might be provided via imports. The findings revealed that recommended combination for domestically-produced and imported red meat could reduce the spending on domestic need and water footprint significantly, resulting in 63 percent and 42 percent reduction in water use and cost spending, respectively; in addition, greenhouse gas emissions would be reduced. These results are the result of importing sheep meat from Australia or cattle meat with bones from Brazil. In spite of a significant reduction in the objectives’ values, the selected countries for import revealed a low diversity.
Keywords
Import
Water Footprint
Red Meat
Multi-objective Planning
Iran
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