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The International Competitiveness of CEEC Agriculture

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  • Matthew Gorton
  • Sophia Davidova

Abstract

The paper surveys the price competitiveness of agricultural production in Central and East European Countries (CEECs). It draws together empirical work conducted by tje authors and other studies that have estimated domestic resource cost (DRC) ratios for agriculture in various CEECs. The paper identifies that in general CEEC crop production is more internationally competitive than livestock farming. During the mid-1990s, wheat production in Bulgaria, the Czech Republic, Hungary, Romania and Slovakia was internationally competitive. In contrast, during the same period, milk production was not internationally competitive. However, there is also a considerable degree of variation from country to country; very little of Slovenia's agricultural production is internationally competitive. In the livestock sector the greatest problems lie where large herds have been broken up resulting in fragmented production. This has particularly affected beef and milk production. Considering variations in DRCs by farm type, larger private farms in Hungary and the Czech Republic are more internationally competitive than smaller private farms in crop production. If CEEC producers faced average EU prices for their traded inputs and output, most could be price competitive. However, conclusions should be treated with caution due to sensitivity of DRC ratios to changes in international prices and the choice of the shadow prices for non-tradeable inputs Copyright Blackwell Publishers Ltd 2001.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal The World Economy.

Volume (Year): 24 (2001)
Issue (Month): 2 (02)
Pages: 185-200

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Handle: RePEc:bla:worlde:v:24:y:2001:i:2:p:185-200

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Cited by:
  1. Levkovych, Inna, 2011. "Der ukrainische Außenhandel mit Produkten der Agrar- und Ernährungswirtschaft: Eine quantitative Analyse aus Sicht traditioneller und neuer Außenhandelstheorien," Studies on the Agricultural and Food Sector in Central and Eastern Europe, Leib­niz Institute of Agricultural Development in Central and Eastern Europe (IAMO), volume 59, number 109520.
  2. Feher, Istvan & Papp, Zsolt, 2002. "Analysing Competitiveness of the Hungarian Agro-Food Chains," 2002 International Congress, August 28-31, 2002, Zaragoza, Spain 24848, European Association of Agricultural Economists.
  3. J. Sauer & B. Balint, 2008. "Distorted prices and producer efficiency: the case of Romania," Journal of Productivity Analysis, Springer, vol. 29(2), pages 131-142, April.
  4. Gorton, Matthew & Davidova, Sophia, 2004. "Farm productivity and efficiency in the CEE applicant countries: a synthesis of results," Agricultural Economics, Blackwell, vol. 30(1), pages 1-16, January.
  5. John Lingard, 2003. "A Comparative Advantage Analysis of Kosovan Agriculture," Post-Communist Economies, Taylor & Francis Journals, vol. 15(3), pages 417-434.
  6. Klaus Frohberg & Patrick Zier & Judith Möllers & Gertrud Buchenrieder, 2010. "Croatia’s Dairy Sector—Can it Compete in the European Market?," International Advances in Economic Research, Springer, vol. 16(2), pages 223-236, May.
  7. Erjavec, Emil & Kavcic, Stane, 2002. "Differentiation as a Precondition for Efficient EU Enlargement the Case of Slovenia," 2002 International Congress, August 28-31, 2002, Zaragoza, Spain 24866, European Association of Agricultural Economists.
  8. Bojnec, Stefan, 2002. "Agricultural and Food Competitiveness in Transition Central and Eastern European Countries: Social Profit Rate and Domestic Resource Cost Approaches," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 3(2), August.
  9. Mirzaei, Farhad & Heidelbach, Olaf, 2006. "Production And Trade Of Animal Products In Selected Eco Countries," MPRA Paper 241, University Library of Munich, Germany.
  10. Toth, Orsolya, 2012. "Farm Structure And Competitiveness In Agriculture," 132nd Seminar, October 25-27, 2012, Skopje, Republic of Macedonia 139504, European Association of Agricultural Economists.

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