Water Demand Management in Citrus Fruit Under Drought Conditions (South Sistan Baluchistan)

Authors
ali Sardar Shahraki 1
Ommolbanin Bazrafshan 2
1 Associate Professor of Agricultural Economics, University of Sistan and Baluchestan
2 Department of Natural Resources Engineering, Faculty of Agricultural and Natural Resources Engineering, University of Hormozgan
Abstract
The droughts of the last two decades have caused water shortages in the southeast of Iran, especially in the south of Sistan and Baluchistan province. Water supply is facing a high risk and one of the solutions to deal with it is water demand management. On the other hand, citrus fruits are one of the important agricultural products in the region, which play an essential role in the agricultural economy. Therefore, in the present research, the economic value and water demand function of these products have been estimated. The residual method, translog cost function and input cost share equations were used to estimate the demand function. The results showed that the real price of water is much higher than the price paid by farmers
Also, based on the results, the highest degree of water substitution among the inputs is with seedling input (1.003), followed by animal manure (1.0007), chemical fertilizer (0.96) and labor (0.99). The results of the tests, to identify the infrastructure technology, indicated non-homotic, non-constant returns to scale and translog of production technology. According to the obtained results, it is suggested that the government can reduce the gap between the real price and the price paid by gardeners through appropriate price policies. 
Also, based on the results, the highest degree of water substitution among the inputs is with seedling input (1.003), followed by animal manure (1.0007), chemical fertilizer (0.96) and labor (0.99). The results of the tests, to identify the infrastructure technology, indicated non-homotic, non-constant returns to scale and translog of production technology. According to the obtained results, it is suggested that the government can reduce the gap between the real price and the price paid by gardeners through appropriate price policies.
Keywords
Water demand function
Economic valuation
Elasticity of substitution
Citrus fruits
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