Competition among the nations is the
biggest problem within the international trading system. WTO deals with the rules of trade among countries and plays
an important role for supporting global economic development. CAGR formulae, Delphi survey
method and meta-analysis were used for analysis. The study analyzed the importance of WTO
trade policies in the global agriculture trade. Favorable trade in the agricultural products had been
noticed in the European and American continents whereas the negative trade balance has been
noticed in the Asian and African continent. Europe exported and imported more agricultural products
in the world. African agricultural trade was very poor. Agricultural exports growth rate was higher
than imports in the Asia but reverse trend was seen in other continents. The exports price elasticity
of agricultural products in Europe was marginally higher than imports. Agricultural commodities trade was
shown negative growth in the Brazil and Argentina of the American continent and Angola of the
African continent. USA and China imposed high tariff rates, which affect the whole global
economy. This study used for policy makers, decision makers, producers, consumers and multi-stake holders.
Adam Smith (1776) is revolutionary Economic Idea is that proposed Free Trade
Theory against British Colony Monopoly. The WTO called the farming agreement
“historic”. The study is quantitative frame work of geopolitical effects of WTO measures on the
most significant regional trading blocs and global agriculture. The study found that developing countries
support more to agriculture when compared to developed countries. The study found that the NAFTA
trading bloc consisted of the highest number of non-tariff measures such as Sanitary and
Phyto-sanitary, Technical Barriers to Trade, Anti-Dumping, Countervailing & Special Safeguards. Similarly,
more number of Safeguards & Quantitative Restrictions were imposed by the ASEAN trading bloc.
While more number of Tariff Rate Quotas & Export Subsidies were imposed by EFTA & MERCOSUR
trading blocs, respectively. The study of political economy found that, globally government is
not giving priority to agriculture in budget allocation except for South Korea and Switzerland. This
study significant discovery is many countries targeted to protect agriculture by trade and domestic
support polices in one or other way. This necessitates further reforms to be benefited all
regions. These findings have significant impact on World trade negotiations, world trading rules,
designing WTO agreements or policies or programs, multilateral agreements.
Since world market economies are dynamic, the responsiveness of export
quantities to changes in
international prices is of direct relevance in
international economics. India has 12% share of world tea
exports and is the seventh largest coffee producer in
the world (2013–2014). This study analyses the
exports and price growth rates, elasticity, instability
and major global markets for Indian tea and
coffee. The study found that elasticity for coffee and
tea was 61.4 and 13.5%, respectively. The
destinations which account for the major share of
exports for Indian tea are developed countries
including Australia (18.7%), Russia (17.3%), and the
United States (15.9%) and for coffee are Italy
(28.7%), Germany (13.8%), and Belgium (7.6%). Based on
an analysis of individual country elasticity
and growth rates, India has comparative advantage to
export to the Middle East, Europe, the United
States, and Australia.
Global trade of pulse crops represents about 15% of global production. Even
though India is the
largest pulses producer of the world, it imports large
amount of pulses from rest of the world. So, it is
important to analyze, how the inflow and outflow of
pulses from India is changed over the period of
time. The study period is 1990-2017. The study observed
that import markets are shifting from
developing to developed nations. The maximum export and
import quantity growth rate is witnessed for
African and American region respectively. Export price
of all major pulses were more than import
prices indicating that India has comparative advantage
in pulses. The study found that, the total
pulses, export price elasticities for all regions is
elastic, whereas the import price elasticities is also
elastic except for Asia and Oceania. India is importing
from Canada, Myanmar, Australia, Russia and
USA and exporting to Sri Lanka, Pakistan, Bangladesh,
Egypt and Saudi Arabia. The study suggest
that Import from inelastic countries should be exempted
from any ban which would help to boost the
trade and treat under MFN status.
Agricultural prices play greater role in living Economics. Since many decades’ farmers
faced declining
agricultural prices and low prices in developing
countries. The specific objectives are to review various agricultural price theories, research evidences and construct
the theory of agricultural price bubble and
crash and their effect on macro economy and suggest measures to improve. The
study reviews various agricultural price
theories, concepts, policies, research gaps and do meta-analysis and formulated the theory of Agricultural prices bubble and price
crash. Many countries are unable to
make successful pricing policies due to there is not
enough operative methodological and theoretical
support for decision-making. “Demand channel" is
the crucial factor in elucidation of commodity price
growth. Future prices moments in agriculture have
fat-tailed distributions and display quick and
unpredicted price jumps. The theory of NAFTA
regionalism did not lead to regionalization and not
increasing share of intraregional international trade.
In EU countries land rents in modern agriculture
causing upward trend in agricultural land prices.
Information friction, agricultural supports, agricultural
price & trade policies, agricultural price
transmission are responsible price fluctuations. In economic
theory, asymmetric price transmission has been the
subject of considerable attention in agricultural
gaps.
Globally, Legumes are vital crops for achieving food and nutritional security.
This study analyzes
global legumes growth and developments. The study
period was 1990-91 to 2017-18. The compound
annual growth rates, terms of trade, price
elasticity’s, trends and instability analysis used. Globally
and continent wise, soybean took the first position in
area and production among selected legumes
except groundnut in the African continent. Globally, TOT
were found to be increased for beans,
groundnut, and soybean. In Asia, during 1990-91 to
2017-18, the exports price of beans, chickpea,
groundnut, peas, and soybean was more than imports
price except lentil. Globally, the export price
elasticity of chickpea, lentil, and peas were found to
be marginally higher than imports in the world.
The import price elasticity of all legume crops were
found to be marginally higher compared to exports
in Asian continent but reverse trend noticed in other
continents in some crops. The export price of
soybean and peas witnessed more or less linear trends
in the world. The study suggests that
multilateral trade relationship with high CAGR regions
would help in smooth trade of legume crops.
Globally, the oilseed production has continued to increase. This increasing
production calls for the
need to have a thorough research in the area. The study
is based on analyzing the domestic as well
as global policies that affect the production and
consumption pattern of oilseeds in an economy. The
methodology employed is the estimation of CAGR,
Instability Index, elasticity and terms of trade of
oilseeds. The study period is 1990-91 to 2017-18. The
results showed that Soybean has the highest
CAGR. Groundnut and Niger Seeds have higher terms of
trade. The terms of trade of India’s oilseeds
were found to have increased for all oilseeds except
mustard crop. During the period 1990-91 to
2015-16, the export import price elasticity’s of all
oilseeds were found to be positive except imports
price elasticity of soybean (-0.45 %) crop. The study
found that the exports price elasticity of Soybean, Mustard, Safflower, Sesamum and Sunflower were found to be
marginally higher than compared to imports
giving a comparative advantage in to India in this regard. These observations
can help in remodeling the policies which can
accompany the changing policies under WTO.
2017-18. The current study analysed the growth rate, elasticity and instability
of export quantity, prices
of selected legumes and their export destinations in
the Indian and global market. The study found
that Indian peas have more demand in overseas market.
Export price of chickpea was more than
other legumes in India. The export prices of Indian
legumes were stable. India should export their
beans to Brazil, China and Australia for making profits
in the international markets. India exported
more quantity of chickpea to Canada followed by
Argentina and USA. Export price of chickpea was
more in Mexico, Australia and Argentina. Canada, Mexico,
Ethiopia and UAE were stable in export
quantity of chickpea. India should expand lentils
exports by making appropriate strategies in global
markets because some of the exporting countries
realized instability of export prices. The export price
of beans, chickpea and peas were stable in all
countries. Indian legumes should export to the highly
demanded countries such as Argentina, Canada and USA in
an overseas market. The major
destinations are Brazil, Japan and UK for beans;
Pakistan, Bangladesh and Spain for chickpea;
Turkey, Sri Lanka and Bangladesh for lentils; and
China, Belgium and Bangladesh for peas. India
should seek for new developed markets for the legume
crops.
In world, coffee and tea are the most enjoyable consumer beverages. Drinking
coffee and tea reduce
the risk of several diseases. This is based on the
foreign trade research study during the period from
1990-91 to 2017-18. CAGR, price elasticity’s,
instability and trends of exports and import price
analysis were employed for the study analysis. The
study found that MERCOSUR and SAFTA are the
major producers of coffee and tea, respectively in the
world. Globally import prices of coffee and tea
were higher than export prices. The terms of trade of
coffee and tea were favored in the European
Union, NAFTA, COMESA, SAFTA and Pacific Alliance.
MERCOSUR would get benefited from other
countries due to the higher export prices of coffee.
Similarly, EFTA, NAFTA, COMESA and Pacific
Alliance trading blocs would be profited for tea.
Globally, Export price elasticity’s of coffee in
MERCOSUR and COMESA were marginally higher than imports
price elasticity. Export price
elasticity’s of coffee was found to be marginally
higher than imports in the Germany, Italy and
Netherlands (EU); Norway (EFTA); Canada and USA
(NAFTA); Venezuela (MERCOSUR); Australia
(ASEAN); Egypt (COMESA); India (SAFTA); and Chile and
Peru (Pacific Alliance). Export price
elasticity’s of tea was found to be marginally greater
than the imports in the Italy (EU), Norway and
Switzerland (EFTA), USA (NAFTA), Australia, Indonesia
and Thailand (ASEAN), and Chile and Peru
(Pacific Alliance). This foreign trade study is very
helpful for multi-stake holders, producers, traders
and consumers of coffee and tea.
Author
(s) Details
M. B. Dastagiri
ICAR-National
Academy of Agricultural Research Management, Rajendranagar, Hyderabad- 500030,
India.
P. V. Naga Sindhuja
ICAR-National Academy of Agricultural Research Management,
Rajendranagar, Hyderabad- 500030, India.
View Book :- https://bp.bookpi.org/index.php/bpi/catalog/book/275
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