Intra-industry trade in agricultural and food products: the case of Ukraine
The process of economic transformation in Ukraine is characterized by, among other things, a change in agricultural and food product trading patterns. Ukraine has remained a net exporter of agro-food products, but the total volume and worth, as well as the geographical structure of trade flows, has altered significantly, and further adjustments can be expected to take place in upcoming years. This paper examines Ukrainian agro-food trade, particularly focusing on different aspects of intra-industry trade (IIT), which is usually associated with low adjustment costs. To examine the development of IIT in agro-food products between Ukraine and its trading partners, two approaches are adopted. The Grubel-Lloyd Index is used to calculate the intensity of IIT and thus to determine its relative importance compared to inter-industry trade. IIT values estimated across separate product groups and for selected trading partners differ significantly and exhibit high variability over time, but generally the level of IIT is very low. The results show that the major part of agro-food trade is of the inter-industry type, and thus a product of underlying comparative advantages. Secondly, the paper examines changes in trade flows over time. For this purpose, different measures of marginal intra-industry trade are applied. Marginal IIT appears to be low, therefore, the structure of the change in agro-food trade flows between Ukraine and its trading partners during the analyzed period (1996-2002) is shown to be predominantly inter-industry, which implies potentially high adjustment costs.
|Date of creation:||2004|
|Date of revision:|
|Contact details of provider:|| Postal: Theodor-Lieser-Strasse 2, 06120 Halle(Saale)|
Phone: (+49) (0) 345 / 29 28 0
Fax: (+49) (0) 345 / 29 28 199
Web page: http://www.iamo.de/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Carmela Martin & Jose V. Blanes, 1999.
"The Nature and Causes of Intra-Industry Trade: Back to the Comparative Advantage Explanation? The Case of Spain,"
European Economy Group Working Papers
1, European Economy Group.
- José Blanes & Carmela Martín, 2000. "The nature and causes of intra-industry trade: Back to the comparative advantage explanation? The case of Spain," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 136(3), pages 423-441, 09.
- Clive Hamilton & Paul Kniest, 1991. "Trade liberalisation, structural adjustment and intra-industry trade: A note," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 127(2), pages 356-367, June.
- Djankov, Simeon & Hoekman, Bernard, 1996. "Intra-Industry Trade, Foreign Direct Investment and the Reorientation of East European Exports," CEPR Discussion Papers 1377, C.E.P.R. Discussion Papers.
- Hoekman, Bernard & Djankov, Simeon, 1996. "Intra-industry trade, foreign direct investment, and the reorientation of Eastern European exports," Policy Research Working Paper Series 1652, The World Bank.
- Štefan Bojnec, 2001. "Patterns of Intra-Industry Trade in Agricultural and Food Products During Transition," Eastern European Economics, M.E. Sharpe, Inc., vol. 39(1), pages 61-89, January.
- Aturupane, Chonira & Djankov, Simeon & Hoekman, Bernard, 1997.
"Determinants of intra-industry trade between East and West Europe,"
Policy Research Working Paper Series
1850, The World Bank.
- Aturupane, Chonira & Djankov, Simeon & Hoekman, Bernard, 1997. "Determinants of Intra-Industry Trade between East and West Europe," CEPR Discussion Papers 1721, C.E.P.R. Discussion Papers.
- Lionel Fontagné & Michaël Freudenberg, 1997. "Intra-Industry Trade: Methodological Issues Reconsidered," Working Papers 1997-01, CEPII research center.
- Joakim Gullstrand, 2002. "Does the measurement of intra-industry trade matter?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 138(2), pages 317-339, June.
- Antonio Aquino, 1978. "Intra-industry trade and inter-industry specialization as concurrent sources of International Trade in manufactures," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 114(2), pages 275-296, June.
When requesting a correction, please mention this item's handle: RePEc:zbw:iamodp:14923. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics)
If references are entirely missing, you can add them using this form.