Intensive and extensive margins of India’s agricultural trade: Implications for export diversification and development

IF 2.4 Q2 AGRICULTURAL ECONOMICS & POLICY
Kanan Elumalai, Anjani Kumar
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引用次数: 1

Abstract

PurposeThis paper aims to analyze relative contribution of intensive margin (IM) and extensive margin (EM) to growth in India's agricultural exports for the period 2001 to 2020. It also analyses the determinants of IM and EMs through a standard gravity model.Design/methodology/approachThe study uses export data from United Nations Comtrade, which is accessed through World Integrated Trade Solution (WITS) software. Data for the period 2001 to 2020 were compiled for analysis using the Harmonized System (HS) of commodity classification system at the six-digit level. This study decomposed the contribution of IM and EM in the growth of Indian agricultural trade by using Hummels and Klenow's approach. After performing the export decomposition analysis, the authors analyze the factors influencing IM and EM by using the Tobit regression model and Poisson pseudo-maximum-likelihood (PPML) method of estimation.FindingsThe EM grew at 1.24% per annum, while the intensive margin (IM) increased by 0.23%. The contribution of growth at the EM increased from 58.8% in 2001 to 70.2% in 2020. Export growth along the IM was relatively high for animal products and agricultural raw materials, while growth at the EM was an important contributor to the export growth of horticultural and processed agricultural products. There was a positive and significant effect of the free trade agreement (FTA) on export margins.Research limitations/implicationsMore disaggregated commodity-specific studies on value chain analysis would provide valuable insights into the issues hindering exports and realizing the untapped export potential.Originality/valueThere is a scarcity of holistic and recent studies illustrating the role of IM and EMs in agricultural trade growth, covering a large number of commodities and geographies associated with Indian agricultural trade. The study would be helpful to the stakeholders in facilitating informed policy decisions.
印度农产品贸易的密集和广泛利润:对出口多样化和发展的影响
目的本文旨在分析2001年至2020年印度农产品出口增长的集约边际(IM)和粗放边际(EM)的相对贡献。它还通过标准重力模型分析了IM和EM的决定因素。设计/方法/方法该研究使用了联合国商品贸易委员会的出口数据,该数据可通过世界综合贸易解决方案软件访问。2001年至2020年期间的数据是使用六位数的商品分类协调制度进行分析的。本研究采用Hummels和Klenow的方法分解了IM和EM对印度农产品贸易增长的贡献。在进行导出分解分析后,作者使用Tobit回归模型和Poisson伪最大似然(PPML)估计方法分析了影响IM和EM的因素。发现新兴市场的年增长率为1.24%,而集约利润率(IM)增长了0.23%。新兴市场的增长贡献率从2001年的58.8%增加到2020年的70.2%。IM沿线的动物产品和农业原材料出口增长相对较高,而EM的增长是园艺和农产品加工出口增长的重要贡献者。自由贸易协定对出口利润率产生了积极而重大的影响。研究局限性/含义对价值链分析进行更多针对商品的分类研究,将对阻碍出口和实现未开发出口潜力的问题提供有价值的见解。原创性/价值很少有全面和最新的研究表明IM和EM在农业贸易增长中的作用,涵盖了与印度农业贸易相关的大量商品和地理位置。这项研究将有助于利益攸关方促进知情的政策决策。
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来源期刊
CiteScore
4.60
自引率
37.50%
发文量
58
期刊介绍: The Journal of Agribusiness in Developing and Emerging Economies publishes double-blind peer-reviewed research on issues relevant to agriculture and food value chain in emerging economies in Asia, Africa, Latin America and Eastern Europe. The journal welcomes original research, particularly empirical/applied, quantitative and qualitative work on topics pertaining to policies, processes, and practices in the agribusiness arena in emerging economies to inform researchers, practitioners and policy makers
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