Sustainability and supply response of the sugarcane supply chain in Pakistan

Agricultural supply response is critical to economic development, particularly in a climate change scenario. This study uses a two-step generalised method of moments approach to examine the supply response of sugarcane to climatic and market factors in Pakistan from 1951 to 2010. The findings reveal a complex dynamic between cultivated area and yield, influenced by speculative behaviours, climatic conditions, regionalresearch and developmentpolicies, and production factors. The results emphasise the importance of strategic resource allocation to mitigate climate impacts, develop drought-resistant varieties, subsidise farm inputs, enhance advisory services, and research and development funding to support sugarcane intensification and biodiversity protection.