Analysis Economic of Medicinal Plants production in tropical Area

In this study, the comparative advantage of medicinal plants production in tropical regions of Iran was investigated using Advantage comparative index and policy analysis matrix (PAM) in 2015.The result, based on the comparative advantage indices, indicate that has a comparative advantage in the production of Carla, Ajowan, Cumin, Anise, Licorice , Dill and has not comparative advantage in Plantago production. Based on comparative advantage indices crops of Carla, Licorice, Anise, Ajowan, Dill and Cumin respectively ranked first to sixth. The amount of nominal protection coefficient on output (NPC), indicated that there is an indirect subsidy on the producer of Cumin, Anise, Plantago and Dill; means that government policies support the domestic production. And also indirect taxation on outputs Carla, Ajowan and Licorice. Amount of nominal protection coefficient on input (NPI) represented the indirect subsidy on tradable inputs of all crops, which means that the government policies supported the supply of production inputs. Effective protection coefficient index (EPC) for Cumin, Anise, Plantago and Dill was more than 1, showed that the government s policies support production process. Net social profit (NSP) for all crops was positive and indicating social profitable of crops in area. Social Cost Benefit (SCB) showed that this area in production and trade of all crops except Plantago have comparative advantage

Keywords:

policy analysis matrix , Comparative Advantage , Medicinal Plants , Tropical Area