Page 1 of 2 The place of Management and Managerial Economics in Production (*Borrowed) Egypt, the African Agricultural Giant: Some FACTS about Egypt (reference year, 2020). Point 9 will SHOCK you 1. Egypt is the LARGEST WHEAT Producer in Africa with an annual production of 9.0 Million MTs which is sufficient to feed 62% of its population. At the current per capita consumption of wheat in Kenya, Egypt's Wheat Production for one year can feed Kenya for nearly FIVE Years. 2. Egypt has the highest Rice yield per hectare in Africa estimated as 8.8 Tonnes, and has the 2nd highest annual Production (after Nigeria). With an annual production of 8.1 Million Tonnes, and assuming the current rice per capita consumption in Kenya, Egypt's Rice Production for one year can feed Kenya for nearly EIGHT years. 3. Egypt is the largest producer of Oranges in Africa, and in 2020, the country produced 3.2 Million MTs of oranges which was double the production of South Africa the 2nd largest producer in Africa; and was 21 times more than Kenya's production which ranks 11th in Africa. 4. Egypt is the largest producer of Potatoes in Africa, producing 5.2 Million MTs of Potatoes, and nearly 3 times Kenya's production which ranked 4th in Africa. 5. Egypt is the largest Producer of Tomatoes in Africa, producing 6.7 Million MTs and double Nigeria's production which ranks 2nd in Africa and nearly 6 times Kenya's production of 1 Million MTs ranking 7th in Africa. 6. Egypt is the 2nd largest producer of Grapes in Africa, just behind South Africa; and the country is also the 3rd largest producer of Apples, just after South Africa and Morocco. Egypt is also the 4th largest producer of Banana in Africa. 7. Egypt is the largest producer of Dry Onions in the continent, and its annual production nearly doubles the production of Sudan which was the 2nd largest producer. In 2020, Egypt produced 3.2 Million MTs of Dry Onions, and Kenya produced 0.2 Million MTs in the same year, and ranked 14th in Africa. 8. Although Egypt is the 4th largest producer of Maize in Africa, its annual production is sufficient to feed Kenya for 2 years at the current per capita consumption in Kenya of 74 Kgs. 9. Egypt's arable land is estimated as 2.9 Million Hectares, just slightly higher than the Arable land in Turkana County whose arable land is 2.5 Million Hectares. *Simply put, Turkana County on its own CAN FEED KENYA and we get SUFFICIENT for EXPORT!!!!* Now replicate this to other parts of Kenya which are Arable!!! We can be a global food power house!!!Page 2 of 2 Read the scenario above carefully and using your knowledge of Economics, answer the following questions: 1. Clearly describe the problem that this scenario has brought out (directly or indirectly). (10 marks) 2. In the situation above, what would be the role of Managerial Economics? (10 marks) 3. Managerial Economics is argued to be more of 'applied Microeconomics'. In the situation analysis above, explain why and how Macroeconomics is also relevant in Managerial Economics. (10 marks)