Factors affecting the types of sales contracts of agricultural products (Case Study: Cotton product in the city of Gonbad-e Kavus)

Subject Areas : Agricultural Economics Research

F. Sakhi ¹ (Ph.D. Student, Department of Agricultural Economics, Faculty of Agriculture and Natural Resources, Tehran University. Tehran, Iran.)
H. Mohammadi ² (Associate Professor, Department of Agricultural Economics, Faculty of Agriculture, University of Ferdowsi Mashhad.)
A. Fatahi Ardakani ³ (Associate Professor, Department of Agricultural Economics, Faculty of Agriculture, University of Ardakan, Yazd)

Received: 2016-12-22 Accepted : 2020-05-11 Published : 2020-04-20

Keywords: Factor Analysis, Cotton product, Moltinominal logit Model,

Abstract :

The aim of study was to investigate the factors influencing the choice of the type of contract of sale of cotton by farmers in the city of Gonbad-e Kavus in Golestan province. The sample of 200 farmers was randomly selected for the study and cross-sectional data were collected using the questionnaires and interviews. To achieve the above-mentioned purposes, the multinomial logistic regression is used. The results of this study showed that in the cross-sectional 2014-2015, common contracts for sales of the cotton product were including Cash, Amani, and Forward contracts. Also, 42%, 36% and 22% of cotton farmers sold their cotton by Cash, Amani, and Forward contracts respectively. Also the results of the multinomial logistic regression showed that marketing agents, the risk perception cotton market index, and risk aversion index variables have a significant positive effect on the choice of the type of Amani and Forward contracts than cash contract and on the other hand education level, work experience in agriculture, farm ownership, cotton acreage, non-farm income, and precautionary savings variables have a significant negative.

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