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Asymmetric price transmission of Indonesian, Thailand, and the Philippine canned tuna to the European market

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  • Puspi Eko Wiranthi

Abstract

Although Thailand and the Philippines have dominated the canned tuna market, Indonesia indicates an upward export value to the EU. Data revealed that there were differences in the speed of price adjustments between the three countries and there was an indication that Indonesia responded more quickly to changes of Thailand and the Philippine prices over the past few years. Therefore, in this study, the causality price relationship is examined by employing monthly data from January 2008 until September 2018. Asymmetric error correction model (AECM) was performed through the E-Views 10 statistical package to analyse a short and long term price transmission. The results indicate that the canned tuna export prices from the three exporting countries are well cointegrated. The short-term price transmission of Thailand and the Philippines has an asymmetrical influence on an increase of Indonesian prices while the long-term price transmission between three countries occurs symmetrically.

Suggested Citation

  • Puspi Eko Wiranthi, 2021. "Asymmetric price transmission of Indonesian, Thailand, and the Philippine canned tuna to the European market," International Journal of Economic Policy in Emerging Economies, Inderscience Enterprises Ltd, vol. 14(4), pages 377-391.
    • Handle: RePEc:ids:ijepee:v:14:y:2021:i:4:p:377-391
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