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Trade Flows between India and Other BRICS Countries: An Empirical Analysis Using Gravity Model

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  • Aswini Kumar Mishra
  • Jigar N. Gadhia
  • N. Kubendran
  • Makara Sahoo

Abstract

This article provides a detailed theoretical justification for the application of gravity model in the context of India’s trade relation with other BRICS countries. Based on 20 years data set from 1990 to 2010, the study finds that there is a positive relationship between gross national product (GNP)/ per capita GNP of the nation and its volume of trade. Also the study finds that where as the transport cost play a negative role in influencing foreign trade among BRICS nations, other variables related to foreign trade like exchange rate, inflation and import-GDP ratio does not play a major role in influencing it.

Suggested Citation

  • Aswini Kumar Mishra & Jigar N. Gadhia & N. Kubendran & Makara Sahoo, 2015. "Trade Flows between India and Other BRICS Countries: An Empirical Analysis Using Gravity Model," Global Business Review, International Management Institute, vol. 16(1), pages 107-122, February.
    • Handle: RePEc:sae:globus:v:16:y:2015:i:1:p:107-122
    DOI: 10.1177/0972150914553523
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    4. Javeria Maryam & Ashok Mittal, 2019. "An empirical analysis of India’s trade in goods with BRICS," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 66(4), pages 399-421, December.
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    6. Evan Winter & Anupam Shah & Ujjwal Gupta & Anshul Kumar & Deepayan Mohanty & Juan Carlos Uribe & Aishwary Gupta & Mini P. Thomas, 2023. "Examination of Supernets to Facilitate International Trade for Indian Exports to Brazil," Papers 2306.00439, arXiv.org.
    7. Shujaat Abbas & Abdul Waheed, 2019. "Pakistan’s Global Trade Potential: A Gravity Model Approach," Global Business Review, International Management Institute, vol. 20(6), pages 1361-1371, December.
    8. Wenshuang Zhao & Nan Jiang & Xinkai Yu & Yunhai Chen & Xinke Zhao, 2022. "A Correlation Analysis Method for Geographical Object Flows from a Geoeconomic Perspective," Sustainability, MDPI, vol. 14(15), pages 1-20, July.
    9. Troy Lorde & Antonio Alleyne, 2018. "Estimating the Trade and Revenue Impacts of the European Union–CARIFORUM Economic Partnership Agreement: A Case Study of Barbados," Global Business Review, International Management Institute, vol. 19(5), pages 1129-1151, October.

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