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Domestic price formation of sorghum under export policies in Sudan

Author

Listed:
  • MAHMOUD ALI AMASSAIB

    (University of Kordofan)

  • SALAH MOHAMED ELAWAD

    (University of Khartoum)

  • ELRASHIED ELIMAM ELKHIDIR

    (University of Khartoum)

Abstract

This paper was prepared to investigate the integration between the domestic and world prices of sorghum and measure the rate of transmission from world price to domestic price of sorghum. The study utilized secondary data covering the period 1970-2007.The data analyzed using dynamic linear regression model. The most important results revealed from the study were that the sorghum domestic price was inelastic in respond to both sorghum production cost and adjusted world prices in short run (0.2668 and 0.39543) and in long run (0.3982 and 0.5901). The effects of adjusted world price implied that devaluation and decrease of tariff rate would lead to increase of sorghum domestic price.

Suggested Citation

  • Mahmoud Ali Amassaib & Salah Mohamed Elawad & Elrashied Elimam Elkhidir, 2015. "Domestic price formation of sorghum under export policies in Sudan," Russian Journal of Agricultural and Socio-Economic Sciences, CyberLeninka;Редакция журнала Russian Journal of Agricultural and Socio-Economic Sciences, vol. 43(7), pages 16-21.
    • Handle: RePEc:scn:031261:16082041
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