The Development of Sugar Beet Production and Processing Simulation Model – a System Dynamics Approach to Support Decision-Making Processes

Abstract

Background: The sugar beet is the main field crop used for sugar production in the temperate climatic zone. The abolishment of the quota system will open new investment opportunities in countries that were forced to abandon sugar industry as the result of the reform in 2006. Present paper describes the modeling of sugar beet production and its processing into sugar for purpose of decision support.Methods: A system dynamics methodology was chosen to model impacts of regional sugar factory investment. We present two basic concepts of system dynamics models at causal loop diagram level. The first holistic model deals with regional planning of new product development and the second one deals with factory model.Results: The holistic model presented main feedback loops and dynamics of main elements in the case of regional investment into sugar industry. The factory model considered the specifics of the beet processing which is a) limited period of beet processing and b) initial adjustment to the production capacity at the start of the production seasonConclusions: The model seeks answers to strategic questions related to the whole sugar beet production and processing system and will be used for simulation of different scenarios for sugar production and their impact on economic and environmental parameters at an aggregate level.