Economics of Organic Olive Production in Syria (The Case Study of the Western Area of Homs Governorate)

Abstract

This research was mainly conducted to study economics of organic olive production in Syria through the case study of the western area of Homs governorate, therefore, both secondary and primary data were used. The primary data were gathered by a survey of 135 farmers randomly selected from the study area.

The results showed that total production costs accounted for 42128 SP/dunum, where the production positively affected these costs (1 Kg. increase in the production results in 173 SP increase in the production costs). Furthermore, farm income indicators revealed that investment in organic olive production is economically justified, where net income was 15088 SP/dunum, while profitability coefficient in relation to costs and overall economic efficiency were 36 and 1.36 respectively. This in turn indicated that each 100 SP invested in producing organic olive created 136 SP as gross output. The results also pointed out that break-even price and break-even value were 282.74 SP and 109.71 Kg/dunum respectively, while the use of multiple linear regression showed that land rent, harvesting cost, pruning cost, organic fertilizer value, ploughing cost, containers value, organic fertilizer cost, and transportation, loading, and unloading cost affected the profit.