This research aimed to identify causes behind the declining productivity of raisin and to identify the factors affecting the production quantity and quality of raisin. Such aims have been investigated through estimating costs of raisin industry in the Republic of Yemen and the assessment of profits and losses. The study Sample was selected randomly in the “Buny Hoshaish and Khawlan” of Sana'a Governorate, which are considered the most important grape and raisin producing areas in the country. The time series for the period of (1990-2007) was deducted to study the development of production and cultivated area under grapes and their relationship with the development of local production of raisin. The prices and quantities of imported raisin were also taken into consideration in this research to examine their effect on the local industry of raisin. The study concluded that most important reason, which led to a reduction in the quantities of local raisin, was the increasing quantities of imported raisin and locally sold at low prices. Additionally, another reason is represented by the high costs of the overall production of local industry of raisin as a result of the prevailing traditional methods used in the process of making raisin in Yemen.

Key Words :Imported Raisin, Raisin Making, Raisin Prices, Raisin Productivity