Strategic Planning Approach to the Development of Contract Farming in the Egyptian Sugar Industry

  • Hazem S. Kassem Professor
  • Bader Alhafi Alotaibi
  • Salim Bagadeem

Abstract

Contract farming is an inclusive business model for ensuring sustainability and profitability in the agricultural sector. The strategies required to develop contract farming in the Egyptian sugar industry were examined by applying the Strength-Weakness-Opportunities-Threats (SWOT) approach in combination with an analytic hierarchy process. The data were collected from sugar beet farmers, extension workers, experts, and employees of the Dakhalia Sugar and Refining Company in Egypt. The results reveal that reduced market risk has the highest overall priority score among the strengths. Non-commitment of farmers to harvest time received the highest overall priority score among the weaknesses, while valorization of sugar industry wastes had the highest overall priority score among the opportunities, and accumulation of large reserves of sugar at the factory was perceived as the most important threat to the sugar industry. These findings can be used to formulate strategies based on current situation analysis and create suitable conditions for successful contract farming in the sugar sector.

Author Biographies

Bader Alhafi Alotaibi
Department of Agricultural Extension and Rural Society, King Saud University, Riyadh, Kingdom of Saudi Arabia +966504240201
Salim Bagadeem
Department of Business Administration, Arab Open University, Riyadh, Kingdom of Saudi Arabia +966503360522
Published
2020-10-14
How to Cite
KASSEM, Hazem S.; ALOTAIBI, Bader Alhafi; BAGADEEM, Salim. Strategic Planning Approach to the Development of Contract Farming in the Egyptian Sugar Industry. Journal of Agricultural Extension, [S.l.], v. 24, n. 4, p. 171-183, oct. 2020. ISSN 2408-6851. Available at: <http://journal.aesonnigeria.org/index.php/jae/article/view/2640>. Date accessed: 28 oct. 2020.
Section
General Extension and Teaching Methods