Export-oriented Research Articles

VERTICAL INTEGRATION OF CONTRACT FARMING V/S PROCUREMENT FROM TRADERS

The rice export industry in India has traditionally relied on intermediary traders for the procurement of rice from local farmers. However, this study explores the hypothesis that vertical backward integration through contract farming can be a more profitable and sustainable option for rice export companies. The research involves a comprehensive analysis of the economic viability, quality control mechanisms, and supply chain transparency associated with both traditional trader-based procurement and the vertically integrated contract farming model. The study employs qualitative data collection methods. Financial analyses will be conducted to compare the profit margins of companies adopting vertical backward integration versus those relying on traders. Additionally, qualitative assessments will explore the quality assurance mechanisms, supply chain transparency, and long-term sustainability of each model. Preliminary findings should suggest that vertical backward integration offers export companies the advantage of direct control over the cultivation process, enabling them to enforce stringent quality standards. Furthermore, the elimination of intermediaries may result in cost efficiencies, potentially leading to higher profit margins

Analysis of the impact of export specialisation and investment attractiveness on the processes of innovation diffusion in the processing industry in Poland

The fundamental ways of building innovativeness of the economy are the creation and diffusion of innovation, the latter of which is the dispersal of new technological, organizational, marketing solutions as well as knowledge among imitator enterprises, and copycats (the ‘spillover effect’). Important determinants of innovation diffusion include the inflow of foreign capital (in the form of FDI) and foreign trade. Few empirical studies exist that attempt to explain the sources of innovation diffusion in the Polish economy applying quantitative tools used in contemporary statistics and econometrics. The existing research gap makes it difficult to reliably assess the actual cause-and-effect relationships between spillover processes and macroeconomic variables. This article sought to determine the nature and strength of the impact of investment specialisation (and investment attractiveness) as well as industry export specialisation on the phenomenon of penetration of innovation in the Polish processing industry. The occurrence of innovation diffusion and its dynamics were investigated using the logistic function econometric model. To study the impact of the specialisation, according to FDI located in Poland, and specialization of export on the process of innovation diffusion, dynamic models of error correction estimated for selected industrial processing industries were used. The obtained results allowed to answer the questions: in which industries has innovation diffusion occurred, in which was it the fastest, and to what extent was it the effect of investment attractiveness, and to what degree of the export specialization of the industry?

The role of transport in export development of fuel and energy complex

The development of transport infrastructure is becoming a strategic priority for Russian fuel and energy complex development in aspect of increasing its competitive ability on the world stage. The transport industry is not only the leading consumer of fuel and energy products, it is the most important condition for an effective functioning of fuel and energy complex, participate at all stages of manufacture, starting from mining and ending with the delivery of fuel and energy products to the consumer. The research includes the state of national fuel and energy complex over the past decade, current trends and forecast of development based on power function. The research also includes the role of certain types of transport in the functioning of the fuel and energy complex. The export component analysis of national fuel and energy complex development was done with condition of sanctions restrictions on oil, gas and coal supply, and reorientation of logistic flows to the Asia-Pacific countries.

Trends, Growth, Production Instability and Export Dynamics Analysis of Basmati Rice in India

The research examined the trends, growth rates, and instability in Basmati rice production and export in India from 2001 to 2021. Secondary time series data on these parameters were collected from diverse sources including the official websites of the Department of Agriculture and Farmer’s Welfare, Directorate General of Commercial Intelligence, the Agricultural and Processed Food Product Export Development Authority (APEDA) and Statistics (DGCI&S) and Ministry of Commerce and Industry. Various analytical tools such as Compound Annual Growth Rate (CAGR) for growth rate analysis, Coefficient of Variation (CV), Coppock Instability Index, Cuddy Della Valle Index, and Index Number for instability analysis, and R-square for linear, second-degree, and polynomial regression for trend analysis were employed which served as a metric for goodness of fit. The analysis revealed significant insights into the dynamics of Basmati rice production and export over the study period. Notable findings include fluctuations in growth rates, trends indicating periods of acceleration or deceleration, and instability factors impacting production and export. These findings contribute to a deeper understanding of the Basmati rice industry in India, informing policymakers, stakeholders,

Разработка методологии оценки экспортного потенциала и ее апробация на примере Республики Узбекистан

This paper proposes a universal methodology for assessing export potential of different countries. It takes into account both external and internal supply and demand factors. The methodology is based on the assessment of various trade indices, such as the Balassa index, trade complementarity index and export specialization index. In addition to analyzing the export capabilities of countries, the methodology also focuses on analyzing the countries’ presence in foreign markets (through the geographical structure of imports). The presented methodology is complemented by the estimation of output multipliers (based on Input — Output tables). The calculation of output multipliers takes into account additional induced effects resulting from the growth of household and government incomes, which are partly spent on additional consumption. Complementary analysis of trade indices and output multipliers (including induced effects) allows to identify sectors and products that will most stimulate economic growth by increasing exports. The proposed methodology has been tested on data for the Republic of Uzbekistan in terms of intensive margin of trade. The results of the analysis show that the methodology can be used as a basis for preparing export development programs for individual countries. The methodology could be improved by a deeper analysis of foreign trade barriers, domestic supply factors and extensive trade margins. However, up-to-date information on these improvement factors is not always publicly available.

To Merge or Not to Be - Case Study of Malawi Agricultural and Industrial Investment Corporation and Export Development Fund

To Merge or Not to Be - Case Study of Malawi Agricultural and Industrial Investment Corporation and Export Development Fund

Perbandingan Daya Saing Crude Palm Oil Indonesia dengan Malaysia di Negara Tujuan Utama Ekspor

This study aims to analyze and compare the competitiveness of Indonesian CPO with Malaysia in each of the main export destination countries. This study’s data type is monthly data for the export-import of Crude Palm Oil (CPO) with the code HS-151110. Competitiveness analysis between Indonesia-Malaysia CPO is calculated by RCA and MSI indicators. The development of Indonesia's CPO exports fluctuated from January 2020 to December 2021 with a negative development trend. During the period January 2020 to December 2021, Indonesian CPO has a comparative advantage in the Indian and Spanish markets, while Malaysian CPO has a comparative advantage in Italy and Kenya. Indonesian CPO has a larger market share in India and Spain and Malaysian CPO has a larger market share in Kenya, while in Italy the market share for Indonesian and Malaysian CPO is the same. Indonesia needs to increase CPO production and exports so that Indonesia’s CPO competitiveness and market share can be increased.

Перспективные направления повышения продовольственной безопасности Российской Федерации и Китая на основе развития экспорта российской свинины в дальневосточном направлении

the article presents the results of a study of promising directions for increasing food security of the Russian Federation and China based on the development of Russian pork exports to the Far East. The pig population in the countries of the world was analyzed. Environmental factors hindering the development of pig farming in China have been identified. Opportunities for the development of Russian pig farming based on increasing export supplies to the Far East have been identified.

ОСОБЕННОСТИ МАЛЫХ И СРЕДНИХ ФОРМ ПРЕДПРИНИМАТЕЛЬСТКОЙ ДЕЯТЕЛЬНОСТИ В СФЕРЕ ТОРГОВЛИ НА ПРИМЕРЕ РЕСПУБЛИКИ ТАТАРСТАН

One of the most economically developed regions of Russia is the Republic of Tatarstan. It is no coincidence that support for entrepreneurial activity is designated as one of the priority tasks of the regional Government. In 2014, the project “Business and Power: A Frank Conversation” was launched in the Republic. Business representatives now have at their disposal an effective platform for discussing and solving pressing problems. All voiced opinions are recorded, and decisions made become the subject of control by the office of the Authorized Representative for the Protection of the Rights of Entrepreneurs under the President of the Republic of Tajikistan. Object of study: activities of small and medium-sized businesses in the Republic of Tatarstan in the field of trade and entrepreneurial activity. Purpose of the study: features of the activities of small and medium-sized forms of entrepreneurial activity that implement trade and economic relations using the example of Tatarstan. Research methods: thought experiment, analysis, abstraction, synthesis, modeling, comparison, comparison and specification. Novelty of the research. In this article, the author proposes measures to improve the export potential of the Russian Federation economy through the development of exports of enterprises and organizations of small and medium-sized businesses. This activity should take into account the industry specifics of business entities of the Republic of Tatarstan in the field of trade relations and individualize the assistance provided.

Dynamics of production and export of potato from India: Markov chain approach

The present study was conducted to know the growth in area, production, productivity, and export of potatoes from India as well as to understand the change in direction and magnitude of the export of Indian potatoes to different countries. The study is based on secondary data collected from different e-resources like APEDA (Agricultural and Processed Food Export Development Authority) and Indiastat. The data was collected for a period of 15 years from 2006- 07 to 2020-21. The study revealed that all the variables like area, production, productivity, export quantity, and export values showed positive growth rates and were found to be significant at 1 percent. Markov chain analysis and transition probability matrix indicated that Nepal, Oman, and other minor countries pooled under the category “other” were found loyal to India in importing Indian potatoes since they retained a considerable share of their trade whereas Saudi Arabia is less stable and Malaysia is least stable among the competing countries considered over the study period of 15 years. Hence India can rely upon Nepal, Oman, and other minor countries in the export of its potato and therefore policies need to be oriented towards these countries in the export of potatoes in the near future.

Effect of Debt and Export on GDP of Nepal: an Empirical Analysis

This study aims to investigate the intricate relationship between Nepal's Gross Domestic Product (GDP), total debt, and export. Nepal, as a developing nation, faces numerous economic challenges, making it imperative to understand the dynamics of these key economic indicators and their interrelation. This study applies quantitative research methods, including statistical analysis, to examine the long-term trends, patterns, and causal relationships among these variables. The research begins by providing an overview of Nepal's economic landscape, highlighting its reliance on export-oriented industries and the significant impact of external debt on the national economy. A thorough literature review is conducted to identify existing theories and empirical studies related to GDP, total debt, and export, providing a foundation for the subsequent analysis. The study employs time-series data provided by NRB database, covering a significant period of 1975 to 2020 AD, to construct a robust empirical framework. Various econometric techniques, such as correlation analysis, regression models, normality test, are applied to explore the relationship between Nepal's GDP, total debt, and export using EViews 10. The findings of the study contribute to a deeper understanding of the economic dynamics in Nepal. The results reveal important insights into the impact of total debt on GDP growth and the role of export in driving economic development. Furthermore, the study uncovers potential feedback effects and spillover mechanisms among these variables, providing policymakers with valuable information for formulating effective economic strategies and debt management policies. Overall, this study sheds light on the complex relationship between Nepal's GDP, total debt, and export, offering valuable insights into the country's economic performance.

Pengaruh Ekspor dan Tenaga Kerja Terhadap Pertumbuhan Ekonomi Kreatif di Indonesia

The creative economy is a sector that has potential and is the latest source of economic growth as the government's solution to prevent the national economy from slowing down in recent years. There are several creative economy sectors that have an important role in increasing the growth of the creative economy in Indonesia. One indicator of the creative economy sector that has good performance is exports, where exports are a component of GDP. This means that if there is an increase in creative industry exports, then GDP originating from the creative economy will increase and ultimately increase national economic growth. Labor also plays an important role in increasing the growth of the creative economy. The aim of this research is to see the influence of exports and labor on the growth of the creative economy in Indonesia. This study uses a quantitative approach. The data used is secondary data from 2010-2022. The research results show that the export variable has no effect on the growth of the creative economy, while the labor variable has a positive effect on GDP. If the labor variable increases by 1%, the growth of the creative economy in Indonesia will also increase by 0.07%.

Latin America’s Renewable Energy Impact: Climate Change and Global Economic Consequences

In the context of the imperative global shift towards renewable energy to mitigate climate change, Latin America (LATAM) emerges as a region of immense untapped potential. However, there is no formal quantification of the effects of developing this potential. This study analyzes the economic and climate impacts of developing renewable energy in LATAM and the Asia–Pacific region using an integrated economic and climate assessment model (IAM). The key findings are as follows. First, exporting renewable energy from LATAM and the Asia–Pacific region yields economic benefits across all regions. However, this surge in renewable energy exacerbates rather than alleviates global warming. Second, the implementation of policy measures accompanying renewable energy exports, aimed at discouraging the use of polluting energy sources, proves effective in mitigating global warming while sustaining significant economic gains globally. Third, LATAM stands to gain substantially from this development. Fourth, due to the gradual process of capital accumulation, any delays in initiating the development of renewable energy exports not only diminish economic gains during the postponement but also in the years following the commencement of exports. These results are robust to several additional simulations and sensitivity analyses. The results align with the goals of the Paris Agreement.

EVALUATING THE IMPACT OF BILATERAL TRADE AGREEMENTS ON SRI LANKA'S EXPORT PERFORMANCE: GRAVITY MODEL

Export is an important indicator used to assess the economic state of a nation. Sri Lanka has started a few trade policy reforms aimed at supporting the export industry. Sri Lanka's contribution to global exports is still a very small percentage, nonetheless. It was important to determine how bilateral trade agreements affected export flows between Sri Lanka and its trading partners given the importance of exports in the economy. Thus, using the gravity model of trade, this research investigates the determinants influencing Sri Lanka's exports. The panel dataset used ranged from 2012 to 2021. The results suggest that Sri Lanka’s GDP and Sri Lanka’s trading partner’s GDP had a positive and statistically significant effect on Sri Lanka’s export performance. The geographical distance between the two countries and Sri Lanka’s GDP per capita had a negative and statistically significant effect on export performance in Sri Lanka. The study further showed that Sri Lanka's export performance significantly improved once trade agreements were formed. These findings have significance for the creation of trade policies to make sure Sri Lanka's export potential is utilized to boost economic growth.

The importance of cross-scale social relationships for dealing with social-ecological change in agricultural supply chains

Agricultural systems are important for the livelihoods and food security of millions of people. These systems are increasingly interconnected across scales and face challenges in responding to multiple, and coalescing types of environmental, social, and economic change. Most studies on how actors respond to change have focused on farmers and farming communities. In this study, we investigate the connectivity of farming systems to markets, to understand how social relationships across the supply chain influence how actors respond to multiple types of changes. We used a participatory network mapping method to interview actors across a fruit supply chain in the Western Cape, South Africa, that is connected to both global and national markets. We identified droughts, climatic variations, changes related to the COVID-19 pandemic, and other social shifts as the most important changes affecting the production and trade of fruit in this region. We also identified three types of responses to these changes: i) responses concerning the dynamics of trade relationships (e.g., changing or maintaining trade relationships); ii) responses based on changes at the individual level (e.g., changes in farm management); and iii) responses based on social relationships (categorized into four types, namely collaboration, knowledge transfer, financial assistance, and marketing coordination). Within these four types, we found that different types of social networks, that include actors operating at different scales and within and outside of supply chains, mediate responses to change. We also found that networks of collaboration, knowledge exchange and financial assistance show a positive correlation, where actors with an export orientation engage in multiple social relationships that enable responding to changes. However, we found limited participation of local market actors in most of these networks. Further investigating these social networks, and the actors participating in them, is essential to better understand and anticipate how and why agricultural systems respond to multiple types of changes, ultimately influencing their trajectory in an increasingly changing world.

Identifying factors influencing industry 4.0 adoption for sustainability

PurposeThis study explores the adoption of Industry 4.0 in developing countries' export industries, focusing on factors influencing this adoption, the moderating role of market pressure and prioritizing key factors for sustainable growth.Design/methodology/approachBased on the “TOE theory” this study has proposed a research framework to identify the factors influencing the adoption and sustainable implementation of Industry 4.0 in the export industry. This study has collected valid datasets from 387 export-oriented industries and applied SEM-ANN dual-stage hybrid model to capture linear and nonlinear interaction between variables.FindingsResults revealed that Technical Capabilities, System Flexibility, Software Infrastructure, Human Resource Competency and Market pressure significantly influence the Adoption of Industry 4.0. Higher market pressure as a moderator also improves the Industry 4.0 adoption process. Results also pointed out that system flexibility is a gray area in Industry 4.0 adoption, which can be enhanced in the export industry to maintain a sustainable adoption and implementation of Industry 4.0.Originality/valueMinute information is available on the factors influencing the adoption of Industry 4.0 in export-oriented industries. This study has empirically explored the role of influential factors in Industry 4.0 and ranked them based on their normalized importance.

An empiric on geopolitical risk and the tourism–economic growth nexus

Purpose This study empirically examines the moderating role of geopolitical risk on the tourism–economic growth nexus by applying a recent geopolitical risk indicator developed by Caldara and Iacoviello (2022) in a cross-country panel data growth model context for a sample of 24 countries.Design/methodology/approach A Dummy Variable Least Squares panel data model, nonparametric covariance matrix estimator and SYS-GMM estimation techniques are employed for the analysis. The authors capture the GPR moderating effect by disaggregating the cross-country sample according to low versus high country GPR score and through a GPR interaction coefficient. Several controls are included in the models such as gross fixed capital formation and—consistent with Barro (1990)—government consumption. Trade openness is used to account for the export-led growth effect. In line with neoclassical growth theory (e.g. Barro, 1991), the authors also include the real interest rate, to account for policy makers' commitment to macroeconomic stability, financial depth, as a proxy for financial development, population growth and the level of secondary school education. The authors also control for unobserved country-specific and time-invariant effects.Findings The research finds that the interaction term of geopolitical risk significantly contributes to the predictive ability of the regression and provides empirical evidence that confirms that only in low geopolitical risk countries international tourism positively and significantly contributes to economic growth. Important theoretical and policy implications flow from these findings.Originality/value The study not only contributes to advancing academic knowledge on the tourism–growth nexus, it also has impact beyond academia. Many countries have in the past pursued and many continue to pursue, tourism specialization and/or tourism-led growth strategies based on the theoretically well-established and empirically validated positive link between inbound tourism and economic growth. The findings alert policy makers in such countries to the significant moderating role that geopolitical risk plays in affecting the above-mentioned relationship and to the importance of prioritizing geopolitical stability as a policy precursor for the successful implementation of such strategies.

Relationship Between Export and Economic Growth: Evidence from West African Countries

The export-led growth hypothesis (ELGH) postulates that export is a major driver of economic growth. This study tests this hypothesis and further analyses the determinants of exports in the case of West African countries. An annual panel data spanning from 2008 to 2018 was used. Findings from the system GMM and OLS estimations validate the ELGH in West Africa. The results also reveal that foreign direct investment, employment, remittances, land area and infrastructure are significant boosters of export while population, real effective exchange rate and taxes on international trade are detrimental to export performance in the region. The study recommends the relaxation of taxes especially on international trade to encourage businesses that produce to feed the export sectors, provide an enabling environment for businesses and also attract foreign investors. JEL Codes: F14, F21, O55

Informatization as a Driver for the Development of Agricultural Exports in Russia

It has been established that informatization which is “end-to-end” in nature increases the connectivity of the world economy in general and its regional and sectoral subsystems. This is good for development of exports of products and services. The implementation of information technology platforms created with the use of modern informatization technologies is a driver for the development of export activities of agricultural enterprises while the platform informatization should cover the majority of agricultural exporters from near and far abroad.

Simulation–optimisation approach for sustainable planning of intermodal logistics in the Brazilian grain export industry

Planning nationwide sustainable logistics for grain exports at a tactical level assumes flexibility in handling uncertainties. Despite the dynamic operations, the solution’s approach focuses mainly on optimisation, leaving out the queuing requirements. This paper presents a simulation–optimisation approach for planning the Brazilian intermodal grain export chain by integrating trucks, railways, and port terminal operations. We evaluate a base scenario, aiming to minimise CO2 emissions in rail transport, meeting demand requirements, and three alternative planning scenarios concerning demand retraction, trend, and expansion. The sustainable grain transportation plan of the base scenario shows a 66.8 kilo tons CO2/year emission reduction while increasing the exports by 2.51% (approximately 146 kilo tons grains/year) and a contribution to profit of $43.82 million in the short term. Scenario analyses open discussions about sustainable investments in intermodal transport for the medium and long term. The proposed approach is suitable for other commodity chains, representing a step towards consistently applying environmentally oriented supply chain planning.