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Article
Publication date: 4 March 2021

Bojan Matkovski, Stanislav Zekić, Žana Jurjević and Danilo Đokić

The purpose of this paper is to determine if the agribusiness sector can be an initiator of export on the emerging markets. For this aim, we analyzed export opportunities…

Abstract

Purpose

The purpose of this paper is to determine if the agribusiness sector can be an initiator of export on the emerging markets. For this aim, we analyzed export opportunities for the region of Vojvodina, the region in Serbia with the most potential for agribusiness.

Design/methodology/approach

This paper uses the Comparative Advantage Index and the Index of Intra-industrial Integration to determine the region's level of comparative advantage and the market's level of integration on the main emerging markets.

Findings

The results show that this region has the most competitive advantages in crop production – primarily in cereals and industrial plants – but the situation is not favorable for livestock production. Because of this, comparative advantage should be used as a factor for the growth of competitiveness in the sectors for which crop products are the raw material base. At the same time, agricultural policy measures should encourage more intensive agricultural production, which could create a better foundation for progress in the food industry.

Research limitations/implications

Data collected on foreign trade at the level of statistical regions is not always reliable. Also, regional and local characteristics are specific to each country, so the ability to generalize conclusions is limited.

Practical implications

This paper provides a useful review of the agri-food sector's competitiveness and determines which agri-food segments have competitive advantages. It is essential for policymakers to identify what determinants improve or degrade the competitiveness of the region's agri-food sector.

Originality/value

Since there are a limited number of studies analyzing trends of competitiveness for the region's agri-food sector, the paper will contribute to filling this gap. Furthermore, the framework is conceptually innovative in identifying the determinants that create export opportunities for the region on the international market.

Details

International Journal of Emerging Markets, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1746-8809

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Article
Publication date: 5 June 2017

Štefan Bojnec and Imre Fertő

The purpose of this paper is to examine the pattern, duration and country-level determinants of global agri-food export competitiveness of 23 major global agri-food trading

Abstract

Purpose

The purpose of this paper is to examine the pattern, duration and country-level determinants of global agri-food export competitiveness of 23 major global agri-food trading countries.

Design/methodology/approach

A large panel data set is compiled to facilitate assessment of the pattern, duration and country-level determinants of global agri-food export competitiveness using a revealed comparative advantage index.

Findings

The results suggest that the duration of revealed comparative advantage is heterogeneous at the agri-food product level. Long-term survival rates as revealed by the comparative advantage indices are among the highest for the Netherlands, France, Belgium, the USA, Argentina and New Zealand. The level of economic development, the share of agricultural employment, subsidies to agriculture and differentiated consumer agri-food products increase the likelihood of failure in the duration of comparative advantage, while the abundance of agricultural land and export diversification reduce that likelihood.

Originality/value

The framework is conceptually innovative in how it models the likelihood of failure in the duration of comparative advantage and assesses implications. Export competitiveness is a crucial factor in long-term global farm business survival as it fosters opportunities for business prosperity on global markets.

Details

British Food Journal, vol. 119 no. 6
Type: Research Article
ISSN: 0007-070X

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Article
Publication date: 5 May 2015

Zhichao Guo, Yuanhua Feng and Thomas Gries

The purpose of this paper is to investigate changes of China’s agri-food exports to Germany caused by China’s accession to WTO and the global financial crisis in a…

Abstract

Purpose

The purpose of this paper is to investigate changes of China’s agri-food exports to Germany caused by China’s accession to WTO and the global financial crisis in a quantitative way. The paper aims to detect structural breaks and compare differences before and after the change points.

Design/methodology/approach

The structural breaks detection procedures in this paper can be applied to find out two different types of change points, i.e. in the middle and at the end of one time series. Then time series and regression models are used to compare differences of trade relationship before and after the detected change points. The methods can be employed in any economic series and work well in practice.

Findings

The results indicate that structural breaks in 2002 and 2009 are caused by China’s accession to WTO and the financial crisis. Time series and regression models show that the development of China’s exports to Germany in agri-food products has different features in different sub-periods. Before 1999, there is no significant relationship between China’s exports to Germany and Germany’s imports from the world. Between 2002 and 2008 the former depends on the latter very strongly, and China’s exports to Germany developed quickly and stably. It decreased, however suddenly in 2009, caused by the great reduction of Germany’s imports from the world in that year. But China’s market share in Germany still had a small gain. Analysis of two categories in agri-food trade also leads to similar conclusions. Comparing the two events we see rather different patterns even if they both indicate structural breaks in the development of China’s agri-food exports to Germany.

Originality/value

This paper partly originally proposes two statistical algorithms for detecting different kinds of structural breaks in the middle part and at the end of a short-time series, respectively.

Details

China Agricultural Economic Review, vol. 7 no. 2
Type: Research Article
ISSN: 1756-137X

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Article
Publication date: 1 August 2016

Alessandro Banterle, Alessia Cavaliere and Elisa De Marchi

The purpose of this paper is to focus, first, on the analysis of recent trends of the European and Italian food industries, and, second, on the possible implications that…

Abstract

Purpose

The purpose of this paper is to focus, first, on the analysis of recent trends of the European and Italian food industries, and, second, on the possible implications that the Transatlantic Trade and Investment Partnership (TTIP) negotiate can exert on the Italian agri-food system.

Design/methodology/approach

The study is based on an in-depth analysis of current economic trends, characteristics of production structure, and the trade balance of Italy-USA commercial relationship in the context of EU market. The main advantages and disadvantages that can be derived from the TTIP negotiation are pointed out.

Findings

The analysis of the Italian food industry highlights a very fragmented production structure characterized by the coexistence on the market of a small number of big companies and a large number of micro, small and medium-sized enterprises. Such bipolar structure constitutes a constraint to internationalization and limits the quantities of exportable products. The TTIP can represent an opportunity for the Italian food small businesses. On the other hand, the main disadvantages are related to the agricultural raw materials market.

Originality/value

The study offers an in-depth analysis of the main features of the Italian food industry and of its role in international agri-food trades, describing the scenario that could be opened by the TTIP negotiation.

Details

British Food Journal, vol. 118 no. 8
Type: Research Article
ISSN: 0007-070X

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Article
Publication date: 25 January 2009

Liu Xue and Brian J. Revell

The purpose of this paper is to examine patterns of recent changes in China's international export trade in vegetable products between 2001 and 2005 following China's…

Abstract

Purpose

The purpose of this paper is to examine patterns of recent changes in China's international export trade in vegetable products between 2001 and 2005 following China's membership of the World Trade Organisation (WTO) and to measure consequent changes in its export competitiveness. It also aims to consider infrastructural issues in relation to supply chain and food safety issues which may affect China's future potential export growth in vegetables.

Design/methodology/approach

The comparative advantage of China's vegetable sector is measured through an export specialisation index. A trade‐shares accounting framework is used to identify the sources of change in China's aggregate market shares. An import demand function for China's vegetable exports is estimated.

Findings

The paper finds that China has a comparative advantage in vegetable production and exporting. Although there have been negative structural changes in vegetable imports in many of China's major overseas markets, particularly East Asia, China's export share of those markets and its overall world market share has increased since WTO membership. China's export growth rate has exceeded the global average for most vegetable categories. Penetration of SE Asian markets has been price driven, but there is little evidence that China's WTO membership has enabled greater penetration into EU markets for its vegetable exports.

Originality/value

There have been many studies of the potential impact of China's WTO membership on world trade in agri‐food products, but none examining its actual impact in the labour intensive vegetable sector. Although the methodologies applied are well established, their empirical application in the context of China's vegetable export sector in this article are original, and present a context against which to view China's future vegetable export prospects.

Details

British Food Journal, vol. 111 no. 1
Type: Research Article
ISSN: 0007-070X

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Article
Publication date: 28 January 2014

Dongwen Tian, Rui Li, Wei Yao and Li Huang

The purpose of this paper is to study whether, of China's food and agriculture (agri-food) export, the trade relationships along the extensive margin can transform into…

Abstract

Purpose

The purpose of this paper is to study whether, of China's food and agriculture (agri-food) export, the trade relationships along the extensive margin can transform into short-term ones, and further convert into long-term ones along the intensive margin with survival and maintenance, especially, under what kind of conditions these transformation realize successfully, and what the factors are and how they impact on the length of the trade relationships duration.

Design/methodology/approach

The paper comprises three stages: decomposing China's agricultural export data (1999-2008) into highly disaggregated three distinct parts; with the Kaplan-Meier (KM) nonparametric estimation, discovering the practical source of stable and long-term export growth, and the threshold at which the short-run trade relationships deriving from newly established ones convert into long-run ones successfully; by semi parametric estimation through Cox proportional hazard model, preliminarily examining the possible impact of different factors on the trade relationship's hazard rate and duration.

Findings

The paper reveals that China agri-food trade pattern at the product level is surprisingly dynamic with newly established trade relations being more likely to fail. While the frequent volatilities of short-term relations at the extensive margin could be used to evaluate the source of short-term export growth especially and effectively, the pattern of negative dependence together with the threshold effect of duration indicates, only when these short-term relations live longer than four years will they substantially contribute to a stable and prolonged export growth. Simultaneously, trade duration significantly correlates to importing country's development status, region it belongs to, product processing degree, export experience and geographical space between trading partners.

Research limitations/implications

To avoid the likelihood of misleading when estimating quantitatively the source of long-term export growth, researchers should be cautious in accurately evaluating the impacts of all possible factors on the two trade margins' performances, which is beyond the scope of this paper though, and a matter of ongoing work on the research agenda.

Practical implications

The study presents a set of important policy implications. Now that turnovers along the extensive margin have little impact on long-term China agri-food export growth, it turns out that improving export survival would result in significantly higher and stable export growth.

Originality/value

By distinguishing the survival of trade relationship channels from their deepening, the discoveries in the paper are crucial to understand the different role the intensive and extensive margins play in China agri-food export growth. The diversified hazard rates of export relations in different duration intervals suggest that the constant hazard rate assumption in Melitz and Bernard et al. is in some sense not appropriate.

Details

China Agricultural Economic Review, vol. 6 no. 1
Type: Research Article
ISSN: 1756-137X

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Article
Publication date: 12 August 2020

Xuejun Wang, Dinghui Huai and Ze Lu

The purpose of this paper is to identify the impacts of financing constraints on the quality upgrading of China's agri-food sector.

Abstract

Purpose

The purpose of this paper is to identify the impacts of financing constraints on the quality upgrading of China's agri-food sector.

Design/methodology/approach

Our empirical study is performed using the “distance to the frontier” framework. We employ a merged sample of Chinese agri-food trading firms based on Chinese firm-level data from the National Bureau of Statistics of China and Chinese customs data. To verify robustness, we test whether the results hold when using different definitions of quality upgrading and alternative proxy variables for product quality and financing constraints. To examine the heterogeneous effects, we generate subsamples by firm location, export destination and the product sophistication of exports.

Findings

The results suggest that financing constraints have a significant negative impact on the product quality upgrading of Chinese agri-food export firms. In addition, the negative impacts of financing constraints are more severe for firms close to the quality frontier than for those far from the frontier. These results are robust to various checks. Moreover, the heterogeneous effects of financing constraints on quality upgrading are identified when the sample is split according to firm location, export destination and the sophistication of export products.

Originality/value

This paper reviews and applies some recent studies in the literature to investigate the relationship between financing constraints and the product quality upgrading of agri-food export firms in China. Overall, the results of this paper could be considered of importance for promoting the quality upgrading of export products in the China's agri-food sector.

Details

British Food Journal, vol. 123 no. 1
Type: Research Article
ISSN: 0007-070X

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Article
Publication date: 1 June 2001

Adrian Sparkes and Brychan Thomas

A major challenge facing Celtic Fringe agri‐food SMEs (in countries and regions of “Celtic” origin such as Wales, Ireland and Brittany) is how to sustain growth in a…

Abstract

A major challenge facing Celtic Fringe agri‐food SMEs (in countries and regions of “Celtic” origin such as Wales, Ireland and Brittany) is how to sustain growth in a global market: a market that is being expanded via e‐commerce through the Internet to an international audience. This paper reports on a two‐stage survey undertaken by the Welsh Enterprise Institute initially involving a short questionnaire that measures current Welsh agri‐food SME usage of e‐commerce and promotion via the Internet. A selected follow up of respondents was undertaken utilising a more in‐depth questionnaire study of the management implications and critical success factors of those enterprises using the Internet. The paper concludes by arguing the need for appropriate support to be provided for Celtic Fringe, and specifically Welsh, agri‐food SMEs to make them aware of the importance of the adoption of e‐commerce as a critical success factor for their marketing in the twenty‐first century.

Details

British Food Journal, vol. 103 no. 5
Type: Research Article
ISSN: 0007-070X

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Book part
Publication date: 19 September 2006

Hugh Campbell, Geoffrey Lawrence and Kiah Smith

New Zealand and Australian agri-food industries are being restructured both as a consequence of the extension of neoliberal policy settings and as a result of the…

Abstract

New Zealand and Australian agri-food industries are being restructured both as a consequence of the extension of neoliberal policy settings and as a result of the increasing influence of the global supermarket sector. In the EU, supermarkets have sought to standardise and harmonise compliance, with their influence being felt well beyond European boundaries. EurepGAP (a European standard for ‘Good Agricultural Practices’) is an example of an emerging ‘audit culture’ where strict adherence to set rules of operation emerges as the basis for accreditation of goods and services. It represents the trend towards private sector standardization and assurance schemes, and provides an example of the growing importance of the supermarket sector in sanctioning the on-ground activities that occur in the production and processing of farm-derived outputs.

This chapter highlights the influence of EurepGAP protocols in the reorganisation of the agri-food industries of New Zealand and Australia. It argues that – for industries such as vegetable and fruit production, where Europe is the final destination – compliance with EurepGAP standards has largely become essential. In this sense, EurepGAP has emerged as the standard among producers who wish to export their products. The chapter concludes with an assessment of EurepGAP as a form of global agri-food governance that demonstrates a strong relationship between new audit cultures and neoliberal forms of trade regulation. In both Australia and New Zealand, some production sectors have rapidly adopted EurepGAP – despite extra costs, reduced choices over crop management and a lingering sense of resentment at the internal imposition of yet another production audit – primarily as a solution to the politics of risk in the context of high levels of exposure to market requirements under neoliberalism. The implications of this for Antipodean farming are considered in detail.

Details

Between the Local and the Global
Type: Book
ISBN: 978-1-84950-417-1

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Book part
Publication date: 11 November 2015

Yetkin Borlu and Leland Glenna

We examine the national regulatory framework in Turkey and its interactions with actors at various levels that set the stage for the shift from a Fordist economy to a…

Abstract

Purpose

We examine the national regulatory framework in Turkey and its interactions with actors at various levels that set the stage for the shift from a Fordist economy to a post-Fordist one. Industrial maize production expanded in the 2000s in the face of a decline in agricultural employment and state-supported conventional crop production. We use the corporate maize industry as a case to demonstrate the change in regulation and its impacts.

Methodology/approach

Utilizing a strategic-relational approach, we analyze descriptive statistics on agricultural markets, news, sector reports, and archives of national regulation related to agricultural production and the agri-food industry to identify key actors shaping the transformation of maize production.

Findings

Actors influencing the national regulatory framework come from international and national regulatory institutions, and transnational and national agri-food corporations. Local maize farmers have actively participated in the transformation, thereby offering consent to the process. The Turkish state manages maize production through its national regulatory regime, but the agri-food industry drives the trajectory.

Practical implications

Adopting a strategic-relational approach contributes to our understanding of the dynamics at work in economic restructuring by shedding light on the interactions between political authorities and economic actors. Following a post-Fordist mode of regulation, the Turkish government uses particular political devices in a strategically selective manner, not overtly to enhance the short-term interests of the agri-food industry, but according to the long-term goal of promoting adaptation of agricultural commodity producers to the post-Fordist capitalist accumulation regime.

Originality/value

State institutions utilize the tools of political intervention in markets to ensure the long-term sociopolitical consolidation and legitimation of the post-Fordist accumulation regime.

Details

States and Citizens: Accommodation, Facilitation and Resistance to Globalization
Type: Book
ISBN: 978-1-78560-180-4

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