Value network of export products (Case Study of Export of Basmati Rice Value Networks of India)

Authors

1 Ph.D in Agricultural Business, University of Mysore, India

2 Professor, Department of Agricultural Business, University of Mysore, India

Abstract

Increasing employment and reducing unemployment are considered as one of the important indicators of the development of societies. One of the basic requirements to meet this demand is development of value networks in the export of agricultural products. The purpose of this study is to analyze the export of Basmati rice value network in India, as the largest producer and exporter of this type of rice in the world which can have valuable experiences for Iran. Results showed the export of Basmati rice value network has brought India a lot of business development and entrepreneurship and, consequently, very high exchange rate and income. Long experience of rice production and export along with the process of liberalization of world trade for Basmati rice has been able to considerably expand the network of export value of this product. This is strengthened by the appropriate environmental and climatic conditions and the proper knowledge of the Basmati rice brand around the world. On the other hand, changes in the price of export products and its disproportion in some cases with production prices have reduced the economic efficiency of rice cultivation. While the threats are more focused on changes in the domestic laws of destination countries, including Iran, which in some cases has led to the cancellation of import licenses and has caused losses to producers. In addition, the sensitivity of some countries, especially in the European Union, to the consumption of a healthy product has created many restrictions on the import of this product.

Keywords

References

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Journal of Studies in Entrepreneurship and Sustainable Agricultural Development
Volume 6, Issue 3 - Serial Number 18
December 2019
Pages 23-36

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