An Analysis of the Value Chain of the Chicken Industry based on the Porter Model (Case Study: East Azerbaijan Province)
Journal Title: Journal of Agricultural Economics & Development - Year 2023, Vol 37, Issue 1
Abstract
Introduction One of the basic needs of the people is to meet food security. Reports indicate that global demand for agricultural goods will increase over the next decade, with a large share of this demand occurring in developing countries. The importance of poultry products in the human diet is significant because the supply of animal protein in the diet is a key criterion in ensuring food security in society. In fact, poultry is considered one of the most widely consumed protein-rich foods in our country today due to its high production rate, its availability throughout the year and its importance as a white meat. Therefore, considering that East Azerbaijan province, as one of the main center of the poultry industry, has the third place in the closure of broiler chickens compared to the total among the provinces of the country, so this study examines the situation of the poultry industry using chain theory Porter Value aims to analyze the value chain activities of poultry products in order to identify challenges and inadequacies in creating a competitive advantage in East Azerbaijan Province. The value chain of poultry products was based on five components of poultry feed production: mother poultry farms, incubators, laying hens and broiler farms.Material and Methods The statistical population of this study was 63 experts, specialists and poultry industry experts. Due to the limited number of the statistical population, the census method was used to collect data. Data were collected through a questionnaire in 2021, validity was confirmed through a panel of professors and experts in the poultry industry in the province and the reliability of the instrument was assessed through a pilot test. Cronbach's alpha coefficient was obtained from 0.701 to 0.833, which indicates acceptable reliability. SPSS22 and SmartPLS3 software were used for data analysis. Also, in order to level the descriptive findings in terms of low, medium and high levels, ISDM index was used.Result and DiscussionThe average level of activities within the entire chicken value chain in East Azerbaijan province, excluding poultry feed production, was found to be predominantly low and moderate. Specifically, in mother hen farms, the highest frequency (39.7%) was at the low level, followed by the moderate level (38.1%). In the hatchery unit, the highest frequency (41.3%) was at the moderate level, while the poor level accounted for only 7.31%. For broiler farms, the highest frequency (41.3%) was at the moderate level, with 33.3% at the poor level. Similarly, in laying hen farms, the highest frequency (44.4%) was at the moderate level, and the poor level accounted for 31.7%. Only in poultry feed production was the level estimated to be good (36.5%) or moderate (33.3%).Furthermore, significant relationships were observed between certain components of the chicken value chain. Specifically, there was a direct, positive, and significant relationship between poultry feed production factories and laying hen farms. Similarly, the hatchery unit component showed a direct, positive, and significant relationship with laying breeding farms. However, the component of broiler farms did not demonstrate meaningful and effective integration within the provincial-level broiler chicken production. This was due to the lack of significant relationships with the poultry feed production factories and hatchery unit components. Experts in mother poultry farms highlighted weaknesses in government protection policies, inadequate knowledge in feed control, and a lack of research focused on creating favorable conditions for consistent chicken production. These challenges indicated significant obstacles in terms of manpower training, effective research, government support, and optimal production within these units. The analysis of the chicken value chain revealed that only two out of six defined paths showed significant positive relationships: the path between poultry feed production units and laying hen farms, as well as the path between incubation units and laying hen farms. However, the other paths within the chicken value chain, which are expected to play significant roles, did not demonstrate significant positive relationships due to their low and moderate levels. This indicates the existence of challenges within the chicken value chain in East Azerbaijan province.Conclusion The results showed that the components of the chicken value chain in order to create a competitive advantage face serious challenges in the implementation of the main activities and support; So that the level of main activities and support of most of the components involved in this chain was medium and low, and this situation cannot create a competitive advantage for the industry. Considering the key role of support activities on the main activities of each component in the chicken value chain, it is suggested that the necessary measures be taken to strengthen and improve staff training, especially in hen farms, as well as applied research programs. Focus on the research policies of the poultry sector of East Azerbaijan province to respond to the changes in the technologies required by the broiler industry and the pathology of the causes of weakness in the use of technology.
Authors and Affiliations
P. Rezaie,A. Mahmoudi,T. Sharghi,
Keywords
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- EP ID EP725977
- DOI 10.22067/jead.2022.76957.1136
- Views 44
- Downloads 0
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