the economics of sudan chilled mutton exports to saudi arabia

88 Pages·2004·0.82 MB·English

THE ECONOMICS OF SUDAN CHILLED
MUTTON EXPORTS TO
SAUDI ARABIA

By:
Mawahib Ibrahim Salih
B.Sc. (Agric.) Honours
Faculty of Agricultural Sciences
University of Dongula

2000

A dissertation submitted to the University of Khartoum in partial
fulfillment of the requirements for the degree of M. Sc. (Agric.)

Supervisor: Prof. Babiker Idris Babiker

Department of Agricultural Economics
Faculty of Agriculture
University of Khartoum
1
July, 2003

Dedication

To my Mother, Father,
Sister and Brothers

with love and respect
.

Mawahib

2
ACKNOWLEDGEMENT

Thanks to God, first and foremost for all the blessings
and help of this study.
Also my thanks and gratitude are to Professor Babiker Idris
Babiker the supervisor of this thesis for his continuous direction and
encouragement to produce this research in this form. My thanks, also, go
to Abbas Fadul Sati the director of Radio Dongla, Engineer Abed El
Hafeez Hassab El Rassul El Hassan the Director of Proteina for Trade
and Investment Company and the entire of the staff of the company. I
also thanks Dr. Khaled El Magboul, Head of the Section of Red Meat
Exporters in Chamber of Commerce and Dr. Hassan Mohamed Nour,
Head of the Planning Department of the Ministry of Animal Resources.
Thanks to all colleagues Francis Luala and all those people who
have given me knowledge, direction and unlimited help to complete the
study.
Also thanks are to Ekhlass Elamin Bashir for her help in typing
and preparing this thesis.

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4
ABSTR ACT
Field surveys were conducted in both Khartoum where mutton exporters reside and Omdurman
where sheep terminal market and merchants were found, during the period from April to June
2002. It was found that, about 71% of exporters were university graduates, 62%of merchants

attended Khalwa.
It was, also, found out that 82% of exporters purchased live sheep
from terminal market (Omdurman), 82% of merchants bring the live
sheep from primary and secondary markets, mainly from Western cities
i.e. El Obeid, Nyala, El Daein, Kosti, and Gebash etc. The animals are
transported by trucks hence the high cost of transportation which
amounts to about 8% of the total variable costs. The types of sheep used
for exports were the Swakini, Hamari, Kabashi, and Baladi. The net
weight range between10 to 12 kg. The sheep marketing is characterized
by various and complicated marketing channels.
The total variable cost for marketing live sheep was 7530 SD /
head, and for export of mutton was about 784960SD/ tone. The gross
margins for marketing live sheep and export mutton showed profitability
for both merchants and exporters. They equal to170 SD and 73290 SD
for merchants and exporters respectively.
The time series analysis indicated that the trend for exporting
quantities declined during the period January, 1998 to December 2000,
because of the spread of Rift Valley Fever in E est African countries and
the high internal variable costs. The seasonal indices showed that the
quantities started declining in January to reach a minimum level in March
due to season of pilgrimage
when live sheep is exported. Then it started increasing during the period
from Marsh to July when there were shortages in quantities exported by
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other countries to Saudi markets. Exporters endeavor to fill the gap
(shortage) by increasing the quantities exported in October reaching its
maximum level in the month of December the period that precedes the
month of Ramadan. During Ramadan the consumption of meat increases.
The market structure analysis, using the concentration ratio,
revealed that few exporting companies were monopolizing the market.
About 69% of the trade volume of mutton exported to Saudi Arabia
during the year 2000 to 2002 was loaded by the top four companies.

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ﺔﺣوﺮﻃﻷا ﺔﺻﻼﺧ

ﻥﺄﻀﻟﺍ ﻡﻭﺤﻟ ﻱﺭﺩﺼﻤ ﺯﻜﺭﻤﺘﻴ ﺙﻴﺤ ﻡﻭﻁﺭﺨﻟﺍ ﻥﻤ لﻜ ﻲﻓ ﺔﻴﻨﺍﺩﻴﻤﻟﺍ ﺕﺎﺤﻭﺴﻤﻟﺍ ﺕﻴﺭﺠﺃ
ﺓﺭـﺘﻔﻟﺍ ﻲﻓ ﻙﻟﺫﻭ ﻥﻴﻴﻠﺤﻤﻟﺍ ﺭﺎﺠﺘﻟﺍ ﻪﻴﻓ ﺩﺠﻭﻴﻭ ﻲﺴﻴﺌﺭﻟﺍ ﺔﻴﺸﺎﻤﻟﺍ ﻕﻭﺴ ﺙﻴﺤ ﻥﺎﻤﺭﺩﻤﺍﻭ ﺓﺩﺭﺒﻤﻟﺍ
2002
ﺕﺎﻜﺭـﺸ ﻲﻫ ﻡﻭﺤﻠﻟﺍ ﺭﺩﺎﺼ لﺎﺠﻤ ﻲﻓ ﺔﻠﻤﺎﻌﻟﺍ ﺕﺎﻜﺭﺸﻟﺍ ﻥﺃ ﺩﺠﻭ . ﻭﻴﻨﻭﻴ ﻰﻟﺇ لﻴﺭﺒﺃ ﻥﻤ
62 71
% ﻲﻟﺍﻭﺤ ﻥﺍ ﻭ ﺕﺎﻌﻤﺎﺠ ﻲﺠﻴﺭﺨ ﻥﻴﺭﺩﺼﻤﻟﺍ ﻥﻤ % ﻲﻟﺍﻭﺤ ﻥﺃ ﺙﻴﺤ ﺹﺎ ﺨﻟﺍ ﻉﺎﻁﻘﻟﺍ
.ﻱﻭﻼﺨ ﻲﻓ ﻥﻴﻤﻠﻌﺘﻤ ﺭﺎﺠﺘﻟﺍ ﻥﻤ
82
ﻕﻭـﺴﻟﺍ ﻥـﻤ ﻲـﺤﻟﺍ ﻥﺎـﻀﻟﺍ ﻥﻭﺭﺘﺸﻴ ﻥﻴﺭﺩﺼﻤﻟﺍ ﻥﻤ % ﻲﻟﺍﻭﺤ ﻥﺃ ﺎﹰﻀﻴﺍ ﺩﺠﻭ
82
ﺔـﻴﻭﻨﺎﺜﻭ ﺔـﻴﻟﻭﺃ ﻕﺍﻭـﺴﺃ ﻥﻤ ﻥﺄﻀﻟﺍ ﻥﻭﺒﻠﺠﻴ ﺭﺎﺠﺘﻟﺍ ﻥﻤ % ﻲﻟﺍﻭﺤﻭ ﻥﺎﻤﺭﺩﻤﺍ ﻲﻓ ﻲﺴﻴﺌﺭﻟﺍ
ﻡﺘﻴﻭ .(ﺦﻟﺍ .. ﻰﺘﺴﻭﻜ ﻭ ﺩﺒﺯ ﻭﺒﺃ ،ﻥﻴﻌﻀﻟﺍ ،ﻻﺎﻴﻨ ،ﺽﻴﺒﻷﺍ) ﺔﻴﺒﺭﻐ ﻟﺍ ﺕﺎﻴﻻﻭﻟﺍ ﻥﺩﻤ ﻰﻓ ﺎﻬﻤﻅﻌﻤﻭ
8
ﻥـﻤ % ﻰﻟﺍﻭـﺤ ﺔﻴﻟﺎﻋ لﻴﺤﺭﺘﻟﺍ ﺔﻔﻠﻜﺘ ﻥﺄﻓ ﺍﺫﻟ ﺓﺭﻴﺒﻜ ﻥﺤﺸ ﺕﺎﺒﺭﻋ ﻕﻴﺭﻁ ﻥﻋ ﻥﺄﻀ ﻟﺍ لﻴﺤﺭﺘ
ﻰـﺸﺎﺒﻜﻟﺍﻭ ﻯﺭـﻤﺤﻟﺍ ﻰـﻫ ﺭﺩﺎﺼﻟﺍ ﺢﻴﺒﺫﻟ ﻡﺩﺨﺘﺴﻤﻟﺍ ﻥﺄﻀﻟﺍ ﻉﺍﻭﻨﺃﻭ . ﺓﺭﻴﻐﺘﻤﻟﺍ ﻑﻴﻟﺎﻜﺘﻟﺍ لﻤﺠﻤ
12 10
ﻕﻴﻭـﺴﺘ ﺕﺍﻭﻨﻘﺒ ﻥﺄﻀﻟﺍ ﻕﻴﻭﺴﺘ ﺯﻴﻤﺘﻴ .ﻡﺠ ﻜ - ﻥﻴﺒ ﺎﻤ ﻥﺯﻭﻟﺍ ﻰﻓﺎﺼ ﺡﻭﺍﺭﺘﻴ ﻭ ﻯﺩﻠﺒﻟﺍﻭ
.
ﺓﺩﺩﻌﺘﻤﻭ ﺓﺩﻘﻌﻤ
7530
،ﺱﺃﺭﻠﻟ ﻰﻨﺍﺩﻭﺴ ﺭﺎﻨﻴﺩ ﻰﻫ ﻰﺤﻟﺍ ﻥﺄﻀﻟﺍ ﻕﻴﻭﺴﺘ ﺔﻴﻠﻤﻌﻟ ﺓﺭﻴﻐﺘﻤﻟﺍ ﻑﻴﻟﺎﻜﺘﻟﺍ ﺔﻠﻤﺠ
74960
ﺵﻤﺎـﻫ ﺏﺎﺴﺤﺒﻭ . ﻥﻁﻠﻟ ﻰﻨﺍﺩﻭﺴ ﺭﺎﻨﻴﺩ ﻰﻟﺍﻭﺤ ﺓﺩﺭﺒﻤﻟﺍ ﻥﺄﻀﻟﺍ ﻡﻭﺤﻟ ﺭﻴﺩﺼﺘ ﺔﻴﻠﻤﻌﻟﻭ
gross margin
ﻥﻴﺭﺩـﺼﻤﻟﺍ ﻥـﻤ لـﻜﻟ ﺔﺤﺒﺭﻤ ﻕﻴﻭﺴﺘﻟﺍﻭ ﺭﻴﺩﺼﺘﻟﺍ ﻰﺘﻴﻠﻤﻋ ﻥﺃ ﺩﺠﻭ ( ) ﺢﺒﺭﻟﺍ
7
170 73290
ﻥـﻤ لـﻜﻟ ﺭﺎـﻨﻴﺩ ﻭ ﻰﻨﺍﺩﻭـﺴ ﺭﺎﻨﻴﺩ ﻩﺭﺩﻗﻭ ﺏﺠﻭﻤ ﺵﻤﺎﻬﻟﺍ ﻥﺃ ﺙﻴﺤ ﺭﺎﺠﺘﻟﺍﻭ
.ﻰﻟﺍﻭﺘﻟﺍ ﻰﻠﻋ ﺭﺎﺠﺘﻟﺍﻭ ﻥﻴﺭﺩﺼﻤﻟﺍ
ﻰﻓ ﺓﺭﺩﺼﻤﻟﺍ ﺕﺎﻴﻤﻜﻠﻟ ﺔﺒﺴﻨﻟﺎﺒ ﺽﻔﺨﻨﺍ ﻡﺎﻌﻟﺍ ﻩﺎﺠﺘﻻﺍ ﻥﺃ ﺩﺠﻭ ﺔﻴﻨﻤﺯﻟﺍ لﺴﻼﺴﻟﺍ ﺏﺎﺴﺤﺒﻭ
2000 – 98
ﻰـﻤﺤﻟﺍﻭ ﻉﺩـﺼﺘﻤﻟﺍ ﻯﺩﺍ ﻭﻟﺍ ﻰﻤﺤ ﺭﺎﺸﺘﻨﺍ ﺏﺒﺴﺒ ﻙﻟﺫﻭ ، ﺭﺒﻤﺴﻴﺩ ﺭﻴﺎﻨﻴ ﻥﻤ ﺓﺭﺘﻔﻟﺍ
ﻰـﻓ ﺽﺎﻔﺨﻨﻻﺍ ﻰﻓ ﺃﺩﺒﺘ ﺕﺎﻴﻤﻜﻟﺍ ﻥﺍ ﺩﺠﻭ ﺔﻴﻤﺴﻭﻤﻟﺍ ﺏﺎﺴﺤﺒﻭ . ﺎﻴﻘﻴﺭﻓﺃ ﺏﺭﻏ لﻭﺩ ﻰﻓ ﺔﻴﻋﻼﻘﻟﺍ
ﺃﺩﺒﺘﻭ ،ﻰﺤﻟﺍ ﻥﺄﻀﻟﺍ ﺭﺩﺎﺼ ﺙﻴﺤ ﺞﺤﻟﺍ ﻡﺴﻭﻤ ﺏﺒﺴﺒ ﺱﺭﺎﻤ ﻰﻓ ﺎﻬﻟ ﺩﺤ ﻰﻨﺩﺃ لﺼﺘ ﻥﺃ ﻰﻟﺇ ﺭﻴﺎﻨﻴ
لﻭﺩﻟ ﺍ ﻥﻤ ﺓﺭﺩﺼﻤﻟﺍ ﺕﺎﻴﻤﻜﻟﺍ ﻰﻓ ﺹﻘﻨ ﻙﻟﺎﻨﻫ ﺙﻴﺤ ﻭﻴﻟﻭﻴ ﻰﻟﺇ لﻴﺭﺒﺃ ﻥﻤ ﺓﺭﺘﻔﻟﺍ ﻰﻓ ﻉﺎﻔﺘﺭﻻﺍ ﻰﻓ
ﺓﺭﺩـﺼﻤﻟﺍ ﺕﺎﻴﻤﻜﻟﺍ ﻊﻔﺘﺭﺘﻭ ،ﺹﻘﻨﻟﺍ ﺍﺫﻫ ﺩﺴﻟ ﻥﻭﺭﺩﺼﻤﻟﺍ ﻰﻌﺴﻴﻭ ﻯﺩﻭﻌﺴﻟﺍ ﻕﻭﺴﻟﺍ ﻰﻟﺇ ﻯﺭﺨﻷﺍ
ﺎﻬﻴﻓ ﻊﻘﻴ ﻰﺘﻟﺍ ﺓﺭﺘﻔﻟﺍ ﻰﻫ ﺙﻴﺤ ﺭﺒﻤﺴﻴﺩ ﺭﻬﺸ ﻰﻓ ﺎﻬﻟ ﻯﻭﺘﺴﻤ ﻰﻠﻋﺃ ﻰﻟﺇ لﺼﺘﻭ ﺭﺒﻤﻓﻭﻨ ﺭﻬﺸ ﻰﻓ
.ﻡﻭﺤﻠﻟ ﻙﻼﻬﺘﺴﻻﺍ ﺩﺍﺩﺯﻴ ﺙﻴﺤ ﻥﺎﻀﻤﺭ ﺭﻬﺸ
concentration ratio
ﻥﺃ ﺢـﻀﻭﺃ ( ) ﺯـﻴﻜﺭﺘﻟﺍ ﺔﺒﺴﻨ ﺔﻘﻴﺭﻁﺒ ﻕﻭﺴﻟﺍ ﺔﺒﻴﻜﺭﺘﻭ لﻴﻠﺤﺘ
ﺕﺎﻜﺭـﺸ ﺔـﻌﺒﺭﺃ ﺭﺩﺼﺘ ﺙﻴﺤ ﻕﻭﺴﻟﺍ ﻰﻓ ﻡﻜﺤﺘﺘ ﻰﺘﻟﺍ ﻰﻫ ﺓﺭﺩﺼﻤﻟﺍ ﺕﺎﻜﺭﺸﻟﺍ ﻥﻤ ﺔﻠﻴﻠﻗ ﺩﺍﺩﻋﺃ
2002 2000 69
. - ﺓﺭﺘﻔﻟﺍ لﻼﺨ ﺓﺭﺩﺼﻤﻟﺍ ﺕﺎﻴﻤﻜﻟﺍ لﻤﺠﻤ ﻥﻤ % ﻰﻟﺍﻭﺤ ﻯﺭﺒﻜ
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LIST OF CONTENTS
Page Title
Dedication………………………………………………………………………........ i
Acknowledgements…………………………………………………………........ ii
Abstract………………………………………………………………………........ iii
Arabic Abstract…………………………………………………………………… v
Table of Contents……………………………………………………………… vii
List of Tables………………………………………………………………........ x
List of Figures………………………………………………………………........ xi
List of Plates…………………………………………………………………........ xii
CHAPTER ONE: INTRODUCTION…………………………….……… 1
1.1 General……………………………………………………………………........ 1
1.2 Problem statement and justification…………………………………… 3
1.3 Objectives of the study……….………………………………………..…… 7
1.4 The hypotheses………..……………………………………………………… 8
1.5 Methodology………………..………………………………………………… 8
1.5.1 Data collection……………………………………………………………… 8
1.5.2 Sample size………….……………………………………………………… 9
1.5.3 The study area……….…………..………………………………………… 9
1.5.4 Sample size………………….……………………………………………… 10
9
1.5.5 Method of Analysis……………………………………………………… 10
1.6 Study organization…………………………………………………………… 12
CHAPTER TWO: LITERATURE REVIEW………………………… 13
2.1 Trade of livestock and meat……………………………………………… 13
2.2 Domestic marketing of sheep…………………………………………… 13
2.3 The participants in livestock trade……………………………………… 14
2.4 Marketing channel…………………………………………………………… 15
2.5 Export promotion policies…………………….…………………………… 17
2.6 Export procedures……………………………….…………………………… 17
2.7 Stipulations laid down by the Saudi Ministry of Commerce 18
2.8 Contribution of Sudan to the security of animal products to the
Arab world…………………….…………………………………………………… 18
2.9.1 Export slaughterhouses…………………..……………………………… 19
2.9.2 Administration of slaughterhouses…………………………………… 20
2.10 Market information………………………………………………………… 20
2.11 Obstacles and causes of low livestock and meat exports 20
2.12 Saudi Arabia characteristics of trade advantages to Sudan to
21
livestock and red meat……………………………………………………
2.13 Meat consumption and demand………………………………………… 22
2.14 Imports and distribution of livestock and meat…………………… 22
CHAPTER THREE: DESCRIPTIVE ANALYSIS ………...……… 23
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