Abstract

In the past decades, regional integration of economies and trade and Free Trade Agreements (FTAs) have become the core policy for many countries to promote foreign trade. The signing of the Economic Cooperation Framework Agreement (ECFA) between Taiwan and Mainland China on June 29, 2010 is one example. This Agreement can be regarded as the antecedent of a formal FTA for both sides. The purpose of this study is to investigate what are the criteria that Taiwan and Mainland China adopted in the negotiation of ECFA’s early harvest list of agricultural products and how Taiwanese agricultural and fishery producers would evaluate the effectiveness of this Agreement in promoting mutual agricultural trade. The focus of this investigation is on two fishery products, Grouper and Pacific Saury, and three agricultural products, Oncidium orchids, Bananas and Tea. Besides interviewing the concerned producers and exporters, this study also uses the indices of Revealed Competitive Advantage (RCA) to compare the relative competiveness of both sides. Furthermore, this study also investigates the export potential of three agricultural and fishery products to Mainland China: frozen yellow fin tuna, fresh grapes and Phalaenopsis. This study concludes that : 1. The protection of intellectual property rights and the study of related regulatory systems of both sides need to be strengthened. 2. The difference in quarantine standards on agricultural products between Taiwan and Mainland China needs to be reconciled. 3. In order to provide quality products and stabilize the export quantity, contract production needs to be promoted between Taiwanese farmers and exporters. 4. In order to promote agricultural export to Mainland China, Taiwanese exporters need to pay more attention to the exploration of Mainland China’s market. 5. The myth that tax-free treatment is essential for agricultural products to export to Mainland China needs to be disregarded. 6. Taiwanese exporters need to study Mainland China’s agricultural policies more intensively and extensively.

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