Wheat and rice are important strategic crops in Egypt, and have strong relations, with food
security. The aim of this study is estimate to the rates of inflation in prices of the two crops in each
of the demand and costs using price indices. The results indicated that the price index of farm price
for wheat and rice was increasing during the study period, The maximum rate was reported in 2014
with about 311%, and 442.2%, respectively.The maximum value of price index of retail price for
wheat flour and rice were 400% and 492%, respectively in 2014. and shows that the index of farm
price for wheat, rice was increasing annually by an estimated 9.1%, 11.4% of the annual average
index number for the price of farm crops during the study period. And shows that the index of
consumer price for each of flour, rice is increasing annually by an estimated 7.72%, 11.7% of the
annual average index number to the retail price of flour and rice.
As for the study of cost of production for wheat and rice, which included human labor costs,
production requirements, and rent. Land rent was ranked first production costs about 40.4%, 39.7%
of the total cost value per fedan amounting 2627, 3139 pounds/fedan for wheat and rice respectively
for the period 2000/2014.
The demand pull inflation was estimated by consumer demand and shows that, the demand
for agricultural commodities (wheat, and rice), was increased about 3.7%, 1.3% respectively during
period 2000/2014, The rates of change in per capita consumption for the period 2000/2014 for
wheat and rice amounted about -1.3%, -0.66%, respectively.
the consumer price index was increased by 10% for wheat and rice led to an increase in
national consumption about 3.8%, 5.6% annually, Also the increase in the index of consumer prices
by 10% for wheat and rice, led to decrease in per capita consumption for wheat and rice about
1.5%, 3.7% per annually |
