Importance of the Agricultural Sector Benefiting from the Experience of Countries
Member of Iran`s Chamber of Agriculture committee explains about the importance of the agricultural sector benefiting from the experience of countries that have succeeded in this regard.
Chairman of Iran Feed Industry Association In an interview with online news agency said: In the past two decades, agricultural production capacity of Iran increased from 52 million tons to 109 million tons; however, Iran is still among the countries importing goods and agricultural inputs.
Movafegh Ghadirly stating that in 2050, according to forecasts, developed countries will have the largest exports of coarse grains and grains will be the most imports of underdeveloped countries, emphasized: Between 1999 and 2001, developing countries had the trade balance of 112 million tons in grains. The figure will receive to 23 million tons in 2030 and in 2050 to 297 million tons, while this level for the developed countries will follow exactly the reverse process and their exports will increase.
This economic active said that the rate of developed countries` self-sufficiency in grain in 2000 was 121 per cent and in 2050 will reach to 137 percent.
"The share of Iran`s agriculture in GDP was about 9 percent in 2012, this share has decreased in recent years and this was a factor to neglect toward the agricultural sector, while the figure for a country like America is one percent; however, for recognizing a sector should not be focused on just one index," He added.
Member of delegation of Iran`s Chamber of Commerce added that agricultural business in America is 13% of its GDP; That is, this number plus one percent of agricultural raw materials, forms a total of about 14 percent of America's great economy which is dependent on agriculture sector. This number is about 38% in a country like Brazil
Movafrgh Ghadirly believes that industrial developed countries have taught us that although the share of agriculture in GDP has declined with economic growth and development, but it does not mean the insignificant of agriculture section. Iran's share of business in the agricultural sector will not be less than 18 percent.
Member of Iran`s Chamber of Agriculture committee said: "It is interesting that although industrialized countries have abundant water and resources; however they support the agricultural sector.
Chairman of the Working Group of livestock, poultry and aquaculture of ICC stating that from 2007 to 2011, despite the high severity of the WTO, the amount of state aid to agriculture has increased, "European farmers receives a subsidy of 300 Euros for per hectare of land that be plowed by their tractors", he added.
Movafegh Ghadirly asserted: "European countries in 2011, paid 407 billion dollars for supporting of agricultural sector. Europe Union in 2010 paid 40 billion Euros to subsidize grain producers.
Over 40% of the annual budget of the Union of Europe is used for the granting direct subsidies to agricultural producers, he added.
Iran Feed Industry Association`s Chairman added:" Studies have shown that member countries of OECD pays daily over a billion dollars to subsidize their own agricultural sector. United States recently published a document in relation to support the agricultural sector that shows in 2013, agricultural budget has passed nearly a thousand billion dollars for a 10-year period which this figure has increased more than 50% compared to 2008.
The economic active continued: Interestingly the US is one of the best in the world in terms of access to suitable soil and water as well as production technology in the agricultural sector; however, it has such support from their local agricultural production.
Movafegh Ghadirly said that China's agricultural self-sufficiency program in 2008-2020 is seriously following up; in this way that China holds million hectares of fertile land regions such as Asia or Africa's and then imports the products to China. Ironically, these products are generally those products that have not a vital role in the food basket of people, but the products such as cotton which is used in industry.
"The average import of our agricultural products have been rising during the five-year programs; our trade balance in agriculture in 2012 was about 9.7 billion dollars; despite all these problems, Iranian producers are always the most resistant to these difficult conditions and the average productivity of agriculture sector in Iran has always been more than the other parts", said Chairman of Iran Feed Industry Association.
Source: Public relations of Iran Veterinary Organization