Qualitative Analysis of Challenges of Developing Green Businesses in Agriculture: A Case Study of Kurdistan Province

Introduction

Agriculture is one of the largest and most vital sectors of the global economy, playing a crucial role in meeting the food demands of the world's population. With an estimated 8 billion people currently dependent on agricultural production, the sector directly and indirectly employs over 2 billion people and produces about $1.5 trillion in food annually. The global population is expected to reach 10 billion by 2050, increasing pressure on agricultural systems, while exacerbating issues such as migration and environmental degradation (World Bank, 2023). The significance of agriculture is especially pronounced in developing countries (Alston & Pardey, 2014), where it often forms the backbone of economic activity. In Iran, the agricultural sector contributes approximately 80% of the country’s domestic food production and holds a major share in employment and the Gross Domestic Product (Khaledi and Kazemi, 2018). However, Iranian agriculture faces a host of challenges. These include a lack of long-term strategic planning, instability in agricultural resources, groundwater shortages, poor coordination between water management and agricultural programs, high production costs, insufficient investment, high interest rates, climate change impacts, inadequate support for agricultural privatization, supply chain issues, and limited access to modern technologies (Keshavarz, 2021). Green agriculture and sustainable farming practices have emerged as potential solutions to these challenges, emphasizing environmental conservation, economic development, and improved quality of life in rural areas. Green farming incorporates methods such as ecological intensification, productive conservation, and sustainable development to align international and local goals for improving production systems, increasing land productivity, and reducing greenhouse gas emissions (Rezaei et al., 2016). Green agriculture offers a number of key benefits, including soil and water conservation through optimized practices like drip irrigation and crop rotation; reduced chemical use by adopting biological controls and natural pest management strategies; lower greenhouse gas emissions via carbon management and renewable energy; and increased productivity and soil fertility through technological advancements. Additionally, the recycling of organic materials, such as composting agricultural and livestock waste, contributes to waste reduction and nutrient cycling. These practices not only preserve biodiversity and enhance water and air quality but also support local economic development and sustainability. The agricultural economy of Kurdistan Province is particularly important, accounting for 25% of its Gross Domestic Product (GDP) and 30% of its employment. Key products from the province include wheat, strawberries, potatoes, walnuts, chickpeas, grapes, and both white and red meat, giving Kurdistan a significant standing in national agricultural production. The region’s substantial agricultural potential makes it a central focus for development, with priorities including increasing irrigated land, enhancing per-hectare productivity, expanding value-added agricultural industries, and reducing waste (Eskandari, 2022). Despite the recognized benefits of green agriculture, several barriers hinder its expansion in Iran. This study aims to identify these challenges and suggest actionable solutions for promoting green agriculture in Kurdistan Province. The research highlights three primary categories of barriers: economic and policy-related obstacles, infrastructural constraints, and educational and cognitive challenges.

Methodology:

This study employs a qualitative research approach, using descriptive-survey methods to gather and analyze data. The process of data collection unfolded in three stages. The first stage involved a comprehensive literature review, focusing on articles, books, and digital sources related to green agriculture and the obstacles to its development. In the second stage, semi-structured interviews and surveys were conducted with 19 experts from academia, the Kurdistan Province Agricultural Organization, and local green business owners. Their insights were collected to better understand the specific challenges facing green agriculture in the region. In the third stage, the qualitative data was coded and analyzed using MAXQDA software, enabling the categorization of key themes and barriers.

Findings:

Based on the analysis of expert opinions, previous studies, and collected data, the barriers to green agriculture in Kurdistan Province fall into three main categories: policy and economic barriers, macro-level and infrastructural barriers, and cognitive and educational barriers. Each of these categories comprises several subcategories, which are outlined as: (1) Policy and Economic Barriers; including inefficient government policies and economic instability. For example, certain agricultural subsidies, rather than encouraging green practices, have promoted unsustainable resource exploitation. Fluctuations in currency and pricing policies have weakened local agricultural competitiveness, while high inflation and interest rates deter investments in the agricultural sector, particularly in green farming. (2) Macro-Level and Infrastructural Barriers: Kurdistan’s agricultural infrastructure suffers from significant gaps. Many areas lack adequate access to transportation, telecommunication networks, and reliable electricity, all of which are essential for green agriculture. Additionally, the fragmented ownership of farmland and the lack of long-term land use planning increase the uncertainty of investments in green farming. Water shortages and frequent power cuts during peak agricultural seasons further compound these issues. (3) Cognitive and Educational Barriers: The average age of farmers in Kurdistan is high, and their education levels are often mismatched with the technical needs of green farming. There is also a weakness in the agricultural extension services, which tend to employ top-down approaches rather than engaging farmers in participatory learning. The lack of intellectual property rights protection further discourages innovation and entrepreneurship in green farming.

Discussion and Conclusion:

The results indicated that the most significant challenges to the development of green agricultural businesses in Kurdistan Province were identified and categorized into three main areas: policy and economic challenges, macro and infrastructural challenges, and cognitive and educational challenges. These findings align with the results of Makki et al. (2020), Marin et al. (2015), and Ulutas & Alkaya (2012) (2012). Based on these findings, it is recommended that economic stability be considered the country’s top priority in the development of green agricultural businesses. Macro and infrastructural challenges, as the second set of key obstacles to green agricultural development, were categorized into two main groups: weakness in infrastructure development and exploitation systems, and uncertainty. This result is consistent with the findings of Gharaiepour and Safari (2015), Rezaei et al. (2018), and Malek-Saeedi and Memarbashi (2023). In light of this finding, it is recommended that relevant authorities, particularly at the national and provincial levels, pursue special budget allocations to compensate for these infrastructural shortcomings. Finally, cognitive and educational challenges, including issues such as illiteracy and low literacy, the advanced age of farmers, and education that is inadequate and mismatched with the modern needs of agriculture, were identified as other significant obstacles to the development of green agriculture in Kurdistan Province. This part of the findings aligns with the results of Rezaei et al. (2018) and Malek-Saeedi and Memarbashi (2023). In this regard, it is suggested that educational and extension programs in green agriculture focus on improving agricultural literacy and motivating younger generations to remain in rural areas and engage in agricultural businesses. planning, ensuring that optimal farming models and other innovations are implemented in line with the real needs of the market and farmers’ capabilities.