Evaluation of Supporting Policies of Colza in Iran

Abstract The main purpose of the study was to investigate protection policies of colza in Golestan province, as the main representative of colza production in Iran during 2003-2007. Using Policy Analysis Matrix (PAM), the effects of government interventions as payments subsidies and received taxes in producing colza have been studied. The results of estimation NPCI, NPCO, EPC indicators showed that the government allocated subsidies to inputs, but impose indirect tax to value added of production of colza during 2003-2006. Also, total effects of government intervention in both input and output markets have benefited producers in 2007. The results recommend reoriented of producers subsidies. Moreover, current and past of protection policies concentrate on development of production using intervention in market structure and making aberration in agricultural input and output price. It is suggested that review producers subsidies.