The self-sufficiency policy for agricultural commodities, especially in wheat as a staple food, attracted a heavy attention in Iran. Achieving food security for the country, in an old definition with emphasis on physical access to food that is internally produced, is the main goal of this policy. However, the new concept of food security needs the optimal allocation of resources in order to obtain maximum social profit. The present study aims to calculate the social profit of the self-sufficiency policy for wheat production during the past decade in Iran. For this purpose, a Policy Analysis Matrix (PAM) was developed. The needed data were obtained from production and cost system of agricultural products, and other relevant information collected from World Bank statistics and FAO data banks. The results showed that the total net social profit obtained from wheat production during the period of study on the basis of shadow prices for inputs and output, is negative. In other words, producing more wheat for providing self-sufficiency without considering real comparative advantage of this product is more expensive than importing it from abroad.
