Tag: agricultural exports

This research aims at analysing the extent to which climate change affects cotton and cashew nuts production and exports in West African countries in the presence of intermediary market power. To that end, the paper uses a combination of approaches to calibrate a price endogenous regional bio-economic optimisation model and handles uncertainties inherent to future socioeconomic scenarios through Monte Carlo simulations. The results show that the effects of climate change on cotton and cashew nuts land use are mixed under the two simulated climate change scenarios. In fact, the effects vary across countries, ranging from experiencing only a decline, or only an increase to both a decline and an increase in land use. Similarly, the effects of climate change on the quantities of cotton and cashew nuts exported are also mixed, with the positive effects being more pronounced for cotton. Simulations of reductions in the market power exerted by intermediaries on cotton producers also show that such a scenario could to some extent mitigate the negative effects of climate change on cotton exports for some countries. Therefore, actions that include corrections to cotton market imperfection could be undertaken to mitigate the negative effects of climate change on cotton and cashew ...

We estimate the transmission of coffee prices from the international market to the Mexican market for the period 2004-2019. Our estimates are obtained from a single equation conditional Error Correction Model (ECM). We estimate our proposed model for two overlapping periods: before a hypothesised break (2004-2013), and full sample (2004-2019). The results of the first estimation suggest that given a 1% increase in the international price of coffee, the Mexican price increases by 0.9%, which is larger than previous estimates in the literature, but a finding which is consistent with the idea of more market integration due to free trade agreements. Furthermore, we find that Mexican coffee production has no effect in the determination of local coffee prices. Our model also implies a previously undocumented break in the long-run relationship between international and national prices, which started in 2015 but was statistically significant until 2017. This latter finding suggests that the international coffee price pass-through to the Mexican economy has come to an end.

This study aims to analyze and quantify the short- and long-run impact of agricultural exports–both traditional and non-traditional products–on economic growth of Peru using an annual time series data from 2000 to 2016 obtained from the Central Bank of Peru and the World Bank. Traditional agricultural exports value, non-traditional agricultural exports value, labor force and fixed capital formation value for each year of the stipulated period were used as determinant factors of the economic growth. A Vector Autoregression (VAR) Model, Augmented Dickey-Fuller (ADF) test, Johansen Co-integration test and Granger Causality test were employed for data analysis. The findings revealed that in the short run, traditional agricultural exports have had a positive but non-significant effect on economic growth while non-traditional agricultural exports have had a positive and significant effect on Gross Domestic Product (GDP). Meanwhile, both fixed capital formation and the labor force have had a significant effect on the GDP, albeit in different directions. The ADF test showed that, with the exception of traditional agricultural exports and fixed capital formation, all determinants became stationary at a level I (0). Moreover, the Co-integration result showed that there is a long-run relationship between the studied variables and a unidirectional causality in the ...