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Sources of EC horticultural import growth from developing countries


  • Alvarez-Coque, Jose Maria Garcia
  • Bautista, Romeo M.


A decomposition analysis of horticultural trade flows is carried out to identify the main sources of change in EC horticultural imports from different LDC regions. Sources of change are associated with each region's international competitiveness, the relative openness of the EC market, the degree of trade preference enjoyed by the region, and the EC global import growth. The main contribution to the LDC export growth of fruit and vegetables to EC between 1975-79 and 1985-89 is found to be attributable to the global import growth effect. However, it has been significantly counteracted by the negative effect of a declining share of non-EC suppliers as a group. Marked interregional differences in changes in regional preferences show a lack of a strong correlation between LDC export performance and the existence of preferential trade agreements with EC. While the potential for LDC export growth to EC is clear, the results seem to indicate that in general EC protection policies have adversely affected import growth from LDCs. Various factors influencing LDC export performance in horticultural products arc discussed. Apart from EC protection policies and changes in trade preferences, domestic supply factors arc of significance in explaining export growth, including a liberal trading environment, but also specific policies to promote exports of horticultural products. While non-price competition weakens the discriminatory effect of preferential tariffs, there is a pressing need for developing countries to adapt to the demands of the European distribution system relating to quality, grades, and regularity of supplies.
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Suggested Citation

  • Alvarez-Coque, Jose Maria Garcia & Bautista, Romeo M., 1994. "Sources of EC horticultural import growth from developing countries," Agricultural Economics, Blackwell, vol. 10(2), pages 125-141, April.
  • Handle: RePEc:eee:agecon:v:10:y:1994:i:2:p:125-141

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    References listed on IDEAS

    1. Islam, Nurul, 1990. "Horticultural exports of developing countries: past performances, future prospects, and policy issues," Research reports 80, International Food Policy Research Institute (IFPRI).
    2. George N. Yannopoulos, 1986. "Patterns of Response to EC Tariff Preferences: An Empirical Investigation of Selected Non-ACP Associates," Journal of Common Market Studies, Wiley Blackwell, vol. 25(1), pages 15-30, September.
    3. Romeo M. Bautista, 1990. "Price and Trade Policies for Agricultural Development," The World Economy, Wiley Blackwell, vol. 13(1), pages 89-109, March.
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    7. Vernon, Raymond, 1979. "The Product Cycle Hypothesis in a New International Environment," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 41(4), pages 255-267, November.
    8. Truett, Lila J. & Truett, Dale B., 1991. "U.S. trade preferences and economic development: The case of Southeast Asia," Journal of Asian Economics, Elsevier, vol. 2(1), pages 125-136.
    9. Panos Konandreas & Hernan Hurtado, 1978. "Analysis Of Trade Flows In The International Wheat Market," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 26(3), pages 11-23, November.
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    Cited by:

    1. Nilsson, Fredrik O.L. & Lindberg, Emma & Surry, Yves R., 2006. "Are the Mediterranean countries competitive in fresh fruit and vegetable exports?," 98th Seminar, June 29-July 2, 2006, Chania, Crete, Greece 10063, European Association of Agricultural Economists.
    2. Nilsson, Fredrik O.L. & Lindberg, Emma & Surry, Yves, 2007. "A trade performance analysis of fresh fruit and vegetables in Mediterranean countries," Department of Economics publications 3022, Swedish University of Agricultural Sciences, Department of Economics.

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