An Economic Study to Evaluate the Agreement Contract to Produce the Balady Bread 82% in 2013

Abstract: __________________________________________________________________________________________________
• The 21st Agricultural Economists Conference, The Egyptian Association for Agricultural Economics, Egypt, 30-31 October 2013.
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The current system of bread subsidy provides many benefits and advantages to the poorer categories, but it suffers from some shortcomings, and there is an agreement between the government and of different economists to improve the efficiency of the current system of bread subsidy to improve levels targeting of the poor, reduce dropout rates and reduce wastage consumer. So the government have seen that one of the optimize method is sign an agreement with the bakery owners to improve the bread quality to reduce wastage of it, and in spite of all efforts by the state, there are some gaps in the contract between the owners of the bakery and the Ministry of Supply and companies mills ration (public sector - special sector) reduce the achievement of the desired objectives. The research aims to study the production costs of bread in the Ismailia governorate through a questionnaire were collected through a random sample for the bakeries owners, which were divided into two categories. The research aims to compare cost of production through the questionnaire with the cost of production which is set by the ministry, represented by about 80 pounds per bag (weighing 100 kg).
The study showed that the average per capita loaf of bread in Ismailia governorate amounted to about 2.98 loaf / day, it was found that the city of Ismailia is the highest population, it represents about 30.8% of the total governorate population, but the average per capita of bread reached about 3.5 loaf / day, while the highest status in terms of per capita unite of bread is Eltal Elkabeer Center, it reached about 3.97 loaf / day and the number of population is about 5.6 % of the total population of the governorate, and that the lowest in terms of population estimated at 4.4% of the total center East Kantara and per capita reached about 3.21 loaf / day , .
Hence, it appears that there is inequity subsidy distribution.
The study also show that there are two categories of bakery in Ismailia governorate according to the flour share of the bakery , the first is less than 10 bag and the second is (11-20 ) bag , the manufacturing cost limited at LE 80 according to the agreement contract between the ministry and the owner of the bakeries , and thus the State paid about 2.27 piaster / loaf in the manufacturing process only, while the flour bag price determined by 282.6 pounds / 100 kg, then the state paid about 25.7 piaster / loaf , so the total production cost of one flour bag (weighing 100 kg) reached approximately 362.6 LE, e.i about 32.97 piaster / loaf. Also the study shows that the state subsidy reached about 307.6 pounds / bag or about 27.97 piaster / loaf (in the case of selling loaf of bread by five piaster).
The sample data show that the average operating cost for manufacture one flour bag (weighing 100 kg) amounted by about 86 and 100 pounds for the two categories (11 - 20),and less than ten bag respectively, and by comparing the average operating realism cost through the questionnaire by the average costs which set by the ministry shows that the owners of bakeries in the first and second categories are investigating a loss by about 6 pounds, and 20 pounds respectively , then the owners of bakeries in these two categories will not oblige to the contract conditions between the ministry and the owners of bakeries , which means that the current situation and goal The phenomenon of leakage and decreasing quality of flour bread will not change , and then must take other polices to solve this problem.
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URL
Publication year 2013
Pages 271 - 284
Availability location مكتبة معهد بحوث الاقتصاد الزراعى- الدقى- 7 شارع نادى اللصيد - مبنى الهيئات والشركات (الدور الرابع)
Availability number
Organization Name
City الجيزة
serial title االمؤتمر الحادي والعشرون للاقتصاديين الزراعيين
Author(s) from ARC
Publication Type Conference/Workshop