Abstract
The study makes a comparative analysis of Ethiopia and Asia/19 countries in the foreign trade of non-timber forest products between the periods of 2008-2018. The study focused on two commodity groups with a harmonized system of (HS) codes; HS409: Natural honey; HS130190: Natural Gums, resins, gum Arabic, and oleoresins. To assess the competitive advantage and disadvantage of Ethiopia in non-timber forest products foreign trade within Asia/19 countries, the Revealed Comparative Advantage Index, Relative Export Advantage Index, Relative Import Advantage Index, and Relative Trade Advantage Index. At the same time, Cross Relative Export Advantage and Cross Relative Import Advantage indicators were employed to test the competitiveness of Ethiopia with Asia/19 countries in the foreign trade of non-timber forest products. The study finding shows that Ethiopia experiences a comparative advantage both in a relative export and import advantage in the trade of non-timber forest products over the study period as compared to Asia/19 countries.
Highlights
Forest products are important for economic activities all over the world (Aiyeloja et al, 2012)
This study is aimed at assessing non-wood forest products foreign trade competitiveness between Ethiopia and Asian/19 countries
The empirical findings revealed that Ethiopia experienced a comparative advantage both in relative export and import advantage in the trade of nonwood forest products over the study period
Summary
Forest products are important for economic activities all over the world (Aiyeloja et al, 2012). NTFPs are useful substances, materials, or commodities obtained from forests without the harvesting process of trees (Sacande and Parfondry, 2018). NTFPs have sustained rural families for centuries globally and are prominent among internationally traded commodities for long periods (Aiyeloja et al, 2012). They are, more widely, viewed as crucial for sustainable forest use, providing benefits for local communities and offering an important means for development of countries, especially in drylands. Many NTFPs have significant economic potential for developing countries (Sacande and Parfondry, 2018)
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