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Production and trade analysis in the Iberian cork sector: Economic characterization of a forest industry

Author

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  • Sierra-Pérez, Jorge
  • Boschmonart-Rives, Jesús
  • Gabarrell, Xavier

Abstract

Cork oak forest grows endemically in the coastal regions of the western Mediterranean basin, particularly in the Iberian Peninsula. The cork agro-forestry systems play a key role in ecological processes, and the outer bark, or cork, can be extracted sustainability without damaging the tree or affecting biodiversity. Because of the properties of the cork, an important forestry and industrial structure has been developed around its most valuable goods. This paper describes the current global trade patterns in the Iberian Peninsula, where Portugal and Spain are world leaders. Although these countries bring most of their cork trade flows together with the rest of the world, there are clear differences between these sectors. The aim of this study was to identify these differences and to characterize each analysed sector from an economic perspective. The primary difference between the sectors lies in the characteristics of their supply chain and their capacity to generate wealth from raw cork. Portugal primarily produces and processes raw cork into products with high added value. Spain bases its cork sector on raw material and half-manufactured cork, and it is not able to use the full potential that cork provides. Catalonia is an exception because it is the global leader in the champagne stopper market. To encourage the development of the entire cork sector, every link in the supply chain should be strengthened through the establishment of companies and the generation of employment, and therefore the development of rural areas. Moreover, this industry must establish its own development strategies for the future, thereby increasing its investment in R&D and innovation in relation to the opportunities identified as follows: the potential for diversification beyond the wine market, the improvement potential for forest management and the enhancement of sustainability and eco-efficiency in every link of the cork supply chain.

Suggested Citation

  • Sierra-Pérez, Jorge & Boschmonart-Rives, Jesús & Gabarrell, Xavier, 2015. "Production and trade analysis in the Iberian cork sector: Economic characterization of a forest industry," Resources, Conservation & Recycling, Elsevier, vol. 98(C), pages 55-66.
    • Handle: RePEc:eee:recore:v:98:y:2015:i:c:p:55-66
    DOI: 10.1016/j.resconrec.2015.02.011
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    References listed on IDEAS

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    1. Bojnec, Štefan & Fertő, Imre, 2014. "Forestry industry trade by degree of wood processing in the enlarged European Union countries," Forest Policy and Economics, Elsevier, vol. 40(C), pages 31-39.
    2. Rives, Jesús & Fernandez-Rodriguez, Ivan & Gabarrell, Xavier & Rieradevall, Joan, 2012. "Environmental analysis of cork granulate production in Catalonia – Northern Spain," Resources, Conservation & Recycling, Elsevier, vol. 58(C), pages 132-142.
    3. Gaulier, Guillaume & Zignago, Soledad, 2004. "Notes on BACI (analytical database of international trade). 1989-2002 version," MPRA Paper 32401, University Library of Munich, Germany.
    4. Francisco Manuel Parejo Moruno, 2004. "Siglo y medio de comercio exterior de productos corcheros en españa, 1849-1999," Documentos de Trabajo (DT-AEHE) 0402, Asociación Española de Historia Económica.
    5. Campos, Pablo & Daly-Hassen, Hamed & Oviedo, José L. & Ovando, Paola & Chebil, Ali, 2008. "Accounting for single and aggregated forest incomes: Application to public cork oak forests in Jerez (Spain) and Iteimia (Tunisia)," Ecological Economics, Elsevier, vol. 65(1), pages 76-86, March.
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    1. Friedrich Schneider & Mangirdas Morkunas & Erika Quendler, 2023. "An estimation of the informal economy in the agricultural sector in the EU‐15 from 1996 to 2019," Agribusiness, John Wiley & Sons, Ltd., vol. 39(2), pages 406-447, March.

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