Competitiveness analysis of the small-scale extensive sheep production system in the southeast region of Hidalgo
DOI:
https://doi.org/10.22231/asyd.v21i3.1625Keywords:
family workforce, production costs, political analysis matrix, sensitivity analysisi, sheep sectorAbstract
The objective of this study was to evaluate the comparative advantage of grazing in the competitiveness of the small-scale sheep production system in Singuilucan, Hidalgo, Mexico. For this purpose, data from 51 production units were analyzed, chosen from a simple random sampling. The information was obtained through an interview with 120 questions, organized into technical variables, economic aspects and social aspects of the producer. The Policy Analysis Matrix (PAM) was used to analyze the impact of grazing on competitiveness, in two scenarios: in the first, the low cost structure was studied under the traditional form of production, which uses grazing as feeding basis; while in the second, the cost was simulated by counting the purchase of feed, as well as hiring workforce. The results revealed that grazing as a feeding basis (real scenario), instead of commercial feed (simulated scenario), increases the profitability of the sheep system in 53%, which translates into a cost reduction (32%) and an increase in the utility of $10,830 (ten thousand eight hundred thirty pesos per farm) for each productive cycle of four months. The high dependency on grazing and family workforce observed in the simulated scenario indicate that the small-scale sheep production in Singuilucan could be vulnerable, if the micro-regional advantages that these factors contribute were to be lost, which would translate into a competitive reduction of approximately 62%.
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