Economic impact of storage and handling regulations on retail fertilizer and pesticide plants

Article Abstract:

Increased regulation has made it necessary for retailers of fertilizers and pesticides to upgrade their storage and handling facilities to prevent contamination. In Indiana, new storage and handling regulations have had a significant impact on the profitability of retailers. A study investigating the impact of these regulations using a budgeting model suggests that there are economies of scale associated with compliance to these regulations. The compliance costs have a stronger impact on the financial performance of smaller plants than on large plants.

Chemical plants, Environmental law, Regulatory compliance costs

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US regulation and new pesticide registrations and sales

Article Abstract:

Regulatory costs have a negative impact on registrations per pesticides but have a positive effect on sales per pesticides because companies need to obtain higher revenues to cover for the increased regulatory costs. The high regulatory costs further led to a more significant decline in minor crop pesticide registrations than in major crop registrations. Increased regulatory costs also serve as an obstacle for the development of pesticides for minor uses and the registration of major crop pesticides for minor crop uses.

Administration of Air and Water Resource and Solid Waste Management Programs, Pesticides Regulation, Economic aspects, Pesticides policy

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Efficiency measures for retail fertilizer dealers

Article Abstract:

Standard linear programming-based nonparametric efficiency tests were employed to measure the efficiency of variable cost optimization, revenue optimization, and profit optimization in the US retail fertilizer industry. Results in the assessment of firms' efficiency methods reveal that majority of the businesses were performing effectively within 10% of the production technology. Most fertilizer firms are also shown to minimize cost but not optimize profit and revenue.

Research, Management, Profit, Profits, Industrial efficiency, Economic efficiency, Production functions (Economics), Cost control

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