Dates Palm Replanting Sustainable Strategies and Risk Aversion in Oman

  •  Kheiry Hassan M. Ishag    


Date Palm (ploenix dactylifera) is the most important cultivar and economic fruit in Middle East and Oman and occupies 35% of total cultivated area and 78% of the total fruit trees area in Oman. The Ministry of Agriculture and Fisheries attempted to improve Date Production but due to environmental constrains and climate change agricultural production has shown instability in production and resources degradation. The Government announced Date Palm replanting and replacement of 800 thousand date palm trees up to 2020. The study applied a stochastic modeling approach to evaluate Date Palm varieties in Batinah Region of Oman and identify the most sustainable and risk efficient varieties. Stochastic Efficiency with Respect to a Function (SERF) performed and found that Naghal variety is the most risk efficient variety followed by Shahil and Khussab variety. Certainly Equivalent CE values over a range of risk aversion coefficients are calculated by using (SERF) analysis. The study reveals that optimal replanting age is 55 years for Khussab variety at Batinah Region. Date Palm Replanting and replacement program in Oman should consider farming system and economic sustainability. Adaptable Date Palm variety in term of drought and salt tolerance varieties, Date quality and price parameters need to be addressed. The market absorption of Date variety and consumer preference is important factor and needs to be considered by policy maker in Date Replacement Program. Risk premium of RO 533 per one hectare can be given to Farmer as economic incentives to keep Um Saila Date Palm variety in their land and encourage replanting low yield sustainable varieties in marginal area and improve crop diversification for each region.

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