Abstract
Iran’s dependence on oil revenues has caused severe impact of commodity price fluctuations on the currency revenues and any reduction in export prices has led into a deficit in the country’s balance of payments. Accordingly, it was in the past years and especially the Second Development Plan that government included encouragement and reducing the country’s dependence on oil revenues in its agenda. The international agricultural exports, especially exports of live-stock and poultry country subdivision have a proper status due to its relative advantage. Therefore, in this study factors affecting the supply of exportable animal products are considered. For this purpose, factors affecting exports of live-stock products are studied by using Cointegration Analysis based on statistical intervals in 1984-2008. Experimental results showed that the value of income per capita importer countries of Iran and the real exchange rate had a positive effect on export demand and the added value and export price index had a negative impact on exports of livestock sector.
Highlights
Common in economic theories, trade and especially exports are recognized as engines of economic growth
Experimental results showed that the value of income per capita importer countries of Iran and the real exchange rate had a positive effect on export demand and the added value and export price index had a negative impact on exports of livestock sector
The results show that foreign income variables and exports saffron interrupt have positive and significant effects on Iran’s saffron export demand but relative price of exports does not have a significant coefficient which shows the ineffectiveness of this variable in saffron export demand
Summary
Trade and especially exports are recognized as engines of economic growth. Its importance is doubled in international economy literature due to economic growth and development in Southeast Asian countries. At the moment and in order to diversify country’s foreign incomes in international markets, developing non-oil exports is considered as an inevitable necessity for the country. To fully aware of the conditions governing the export of a country, three areas of product generation, marketing, export and transfer and procurement should be examined. Iran’s past experience in the field of foreign exchange volatility necessitates policy-making on increasing non-oil exports agricultural products. It is important to identify affecting factors of exporting such goods [3]. Factors affecting the livestock product exports are selected and analyzed in present research as our target
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