EVALUATION OF THE PROGRAM FOR WHEAT CULTIVATION DEVELOPMENT IN IRAQ FOR THE PERIOD OF 2011/2012-2015/2016

Abstract

The "National Program for Wheat Cultivation development in Iraq"began in the agricultural season2011/2012 on an area of 113 thousand dunumsdistributed to(101)farmers before the implementation date of theprogram in theagricultural season 2012/2013. The application of the program expanded on anarea of 643 thousand dunums instead of 500 Thousand dunums planned with theend of the agricultural season 2012/2013 and the number of farmers reached7828.The area increases 500 thousand dunums annually to reach the total areacovered by the program in the tenth year to (5) million dunums. The aim of thisprogram is to achieve an increase of 10.450 million tons of wheat production and10.450 million tons of hay production for the period of implementation of theprogram. At the time of preparing this paper, the cost of importing wheat fromoutside to Iraq reached 404 USD/ ton. According to this the cost of 10.450 milliontons of wheat will be 4221.8 million USD, or 5066.16 billion dinars. The effects ofthe program will continue after its completion of the program as minimum,especially the annual increases achieved on the total area of 5 million dunumswith the amount of 1.900 million tons of wheat and 1.900 million tons of hay, thusthe cost of importing 1.900 million tons of wheat will be 767,600 million USD (=921.120 billion Iraqi dinars).The value of the total additional annual output ofthe program after its completion (the non-net return of wheat production, inaddition to the value of the hay product of 285 billion dinars at the price of 150thousand dinars /ton), will be 1206.120 billion Iraqi dinars. The estimated netcost of the project during the period of its implementation of 10 years is 22,900billion dinars, and the net return of the project is: The total non-net return - thecost of the project = 5066.160- 22.9 = 5043.260 billion Iraqi dinars. This amountrepresents the added value of GPD