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Factors Influencing the Export of Agricultural Products and Effects of Export Support Programs in Korea

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  • Moon, Hanpil

Abstract

This paper analyzes what factors affect Korea's agricultural export. With a dataset of agricultural export for the period of 2003~2009 and several explanatory variables, we specify an export equation derived from the gravity model, and then estimate it using the random-effect panel Tobit. The main findings are as follows: first, Korean agricultural exports have increased faster and greater in bigger markets with respect to GDP. Second, the distance from Korea or transportation cost is a critical factor determining the agricultural export. Third, the export support programs are proved to play a crucial role in boosting the export of fresh agricultural products. Fourth, the effect of relative exchange rates on the agricultural export is shown to be ambiguous or inconsistent from product to product. Finally, the number of Korean expatriates in foreign markets has a positive effect on the export performance.

Suggested Citation

  • Moon, Hanpil, 2012. "Factors Influencing the Export of Agricultural Products and Effects of Export Support Programs in Korea," Journal of Rural Development/Nongchon-Gyeongje, Korea Rural Economic Institute, vol. 35(1), April.
    • Handle: RePEc:ags:jordng:330549
    DOI: 10.22004/ag.econ.330549
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    Cited by:

    1. Yiyang Qiao & Minseong Kang & Byeong-il Ahn, 2023. "Analysis of Factors Affecting Vegetable Price Fluctuation: A Case Study of South Korea," Agriculture, MDPI, vol. 13(3), pages 1-16, February.

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    International Relations/Trade;

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