Analysis of The Value Chain of Sheep Meat Performance in Lorestan Province

Evaluate the performance of the value chain of livestock products lead to added value, reduce waste and increase productivity in this sector, employment and the economic growth of agricultureand rural development. This study was analyzed the value chain of mutton in Lorestan province according to the understanding of topic necessity. The research method was quantitative. Data collection tool was a questionnaire with structured interviews. The statistical population consisted of 380 traditional farmer. Data analyzed by financial-accounting and descriptive methods. The efficiency achieved in the previous production sector 70 % and in the production sector 47 %. The Gross production in the processing sector was 550.03 million Rials, in the distribution and marketing stage was 1099.73 million Rials and in the consumer sector was equal to 933.42 million Rials. The performance of the processing sector was positive and the overall performance of the production, marketing and consumer cycles was below average and negative. The farmer makes the best use of pre-production conditions in preparing animal feed. However, the production sector is not able to use sufficient financial resources and financial facilities. On the other hand, the possibility of producing various products in the processing sector and the income from this sector has increased the performance of this loop. In the marketing and distribution loop performance was low due the high cost of transportation, lack of timely purchase of livestock at a reasonable price and buying sheep at a lower price by brokers. The impact of the consumer's financial situation on the current economic system and the reduction of his financial capacity to buy mutton has reduced the performance of this sector.