Agriculture, Producer Price_

Related_Laws

Laws related to this measure. Correlation = how closely this law tracks this measure's story. Expected causation = how strongly we would expect it to have moved the line. Neither is a claim of proof.

1. 1989CorrelationExpected causationGuaranteed Purchase of Essential Agricultural Products Act

   Passed in 1989, this law requires the government to guarantee and announce a minimum purchase price each farming year for staple agricultural products such as wheat, rice, barley, cotton and oilseeds, later extended to raisins, dates, citrus and livestock products, in order to support farm incomes and stabilize production.

   Why this link: The framework law's stated scope covers 'basic agricultural products' broadly, giving it a diffuse relevance across the wider agricultural price domain beyond the specific crops directly covered in practice.

   Caveat: In practice only a handful of strategic crops (mainly wheat) receive binding guaranteed prices each year; most items in this broad price category are unaffected.

   Lag: Variable.
2. 2001CorrelationExpected causationRuling No. 64 of the General Board of the Administrative Court of Justice Voiding Clause 6 of the Economic Council's Resolution of 1999/03/12 and the Related Decision Stated in Letter No. 1769/34 of the Plan and Budget Organization, Concerning the Reduction of the Vegetable Oil Purchase Price

   Issued in 2001, this ruling voided an Economic Council decision that had retroactively cut the price the government paid factories for vegetable oil, from 2,854 to 2,780 rials per kilogram, holding that retroactively reducing a price after factories had already booked revenue and paid tax on the higher rate was unlawful.

   Why this link: This 2001 Administrative Court of Justice ruling directly struck down a budget-law provision reducing the guaranteed purchase price of vegetable oil, an explicit price-control instrument targeting exactly this measure.

   Caveat: This is a single administrative ruling reversing one budget clause in one year, not a sustained pricing program, so its isolable footprint in the annual FAO price series is limited to that year and may be swamped by broader agricultural-price inflation.

   Lag: Immediate, within the fiscal year of the ruling.
3. 2005CorrelationExpected causationAct Adding Two Notes to the Guaranteed Purchase of Essential Agricultural Products Act of 1989

   Passed in 2005, this law amends the 1989 Guaranteed Purchase of Essential Agricultural Products Act by requiring the government to raise the guaranteed purchase price of staple crops each farming year by at least the rate of inflation reported by the Central Bank, applied retroactively to the 2004-2005 crop year.

   Why this link: The guaranteed-purchase-price regime this law amends covers all 'basic' agricultural crops, not just wheat, so it shapes producer prices across the guaranteed-purchase basket.

   Caveat: Coverage and the specific crops included in the guaranteed-purchase list vary by year and are set by separate annual government decisions, so the link to any single crop's price series is indirect.

   Lag: Within the same crop year