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The Impact of Forced Deliveries on Egyptian Agriculture

Alain de Janvry (), Gamal Siam and Osman Gad

American Journal of Agricultural Economics, 1983, vol. 65, issue 3, 493-501

Abstract: The consequences of terminating the current system of forced deliveries of rice for domestic subsidized consumption in Egypt are analyzed with farm-level data. Under the conditions prevailing in 1979–81, impact on the marketed surplus would have been negligible due to the existence of free sales beyond quota. Producers would benefit marginally from liberalization, and part of the cost of consumer subsidies would be shifted to the government. The key source of financing consumer subsidies is the defense of rice exports and the continued price wedge between domestic and world prices, not the enforcement of deliveries for domestic consumption.

Date: 1983
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