OICC Press International Journal of Agricultural Management and Development 2159-5860 2 4 2012 09 01 Analysis of the Effects of Agricultural Inputs Price Liberalization on the Production of Sunflower in Khoy Zone 149 155 EN Ali Bagherzadeh Assistant professor of Economics, Khoy Branch, Islamic Azad University, Iran Fatemeh kazemzadeh MA in Economics, Tabriz Branch, Islamic Azad University, Iran Journal Article 2012 09 01 Sunflower is one of four main annual oil plants that cultivated in oil and nut varieties. This plant as an important and industrial food product and because of nutritional features and the potential for earning exchange has become a valuable product in foreign and inner markets and has a special position in agricultural sector. Khoy, by producing 40 percent of sunflower productions of country annually, is the greatest sunflower producer in Iran. The main purpose of this study is the analysis of the effects of inputs price liberalization on production of sunflower producers in this city. This study is according to a field research and cross-sectional data of 2009 have been used for it. Results show input price liberalization policy by increasing inputs prices and decreasing demand amounts of inputs, increases the production costs and decreases the production and totally it’s harmful for sunflower producers. For preventing negative effects of liberalization on production, adopting necessary policies such as merging small farms and making big ones to profit by economies of scale and increasing production and productivity with the resulted incomes from liberalization and spending them in scientific researches to produce with low costs are suggested.