EXPORT COMPETITIVENESS OF THE SERBIAN AGRI-FOOD SECTOR ON THE EU MARKET
DOI:
https://doi.org/10.5937/ekoPolj1904941MKeywords:
competitiveness, foreign trade, agri-food sector, net trade index, Grubel-Lloyd indexAbstract
The aim of the research is to examine the degree of competitiveness of the agri-food sector of the Republic of Serbia on the market of the European Union (EU) countries, as the most significant export market. Two partial indices were used in the analysis: the net trade index (NTI) and the Grubel-Lloyd index (GLI). In addition to these indicators, unit export and import price analysis was also used to obtain data on the type of competitiveness achieved by the divisions of the agri-food sector. The results show that the cereals division makes the highest contribution to reducing the existing trade deficit, while the high values of the GLI reflect a high degree of integration with this market. The agri-food sector shows dominant price competitiveness in terms of the share of such divisions in total exports to the EU. The results will include recommendations for improving the structure of exports by focusing on specific divisions.
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References
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26. Melišek, I. (2012). Measurement and evaluation of macroeconomic results of foreign trade. Economic Review, 41(4), 439-451. [in Slovak: Melišek, I. (2012), Meranie a hodnotenie makroekonomických výsledkov zahraničného obchodu. Ekonomické rozhľady].
27. Milićević, S., Nikolić, M., & Cvetanović, S. (2017). The competitiveness of wood processing industry in the Republic of Serbia during the period 1995- 2015. Industrija, 45(3), 131-150. https://doi.org/10.5937/industrija45-14579
28. Milutinović, S. (2015). The importance of intra-industry trade in the contemporary world economy. Economics: Theory and Practice, 8(1), 35-46. [in Serbian: Milutinović, S. (2015), Značaj intra-industrijske trgovine u savremenoj svetskoj privredi. Ekonomija: teorija i praksa]. https://doi.org/10.5937/etp1501035M
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30. Mrdalj, V. (2015). The Competitiveness of Agroindustry Sector of the Republic of Srpska in International Trade. Agro-knowledge Journal, 16(1), 21-31. [in Serbian: Mrdalj, V. (2015), Konkurentnost agroindustrijskog sektora Republike Srpske u međunarodnoj razmjeni. Agroznanje]. http://dx.doi.org/10.7251/AGRSR1501021M
31. Petrović, P. (2005). Structural characteristics of trade between Serbia and the European Union. Economic Annals, 166, 109-128. [in Serbian: Petrović, P. (2005), Strukturne karakteristike robne razmene Srbije i Evropske unije. Ekonomski anali].
32. Raičević, V., Ignjatijević, S., & Matijašević, J. (2012). Economic and legal determinants of export competitiveness of the food industry of Serbia. Industrija, 40(1), 201-226.
33. Simonović, Z., Cvijanović, D., & Hamović, V. (2010). The role of agrarian sector in economic growth of Serbia. Ekonomika, 56(4), 73-82.
34. Statistical Offce of the Republic of Serbia (2019). Foreign Trade Database. [in Serbian: Републички завод за статистику (2019), База података о спољној трговини], Retrieved from https://data.stat.gov.rs/Home/Result/170302?languageCode=srCyrl (October 18, 2019)
35. Stanojević, N., & Kotlica, S. (2018). Globalization and methodology of researches in international trade. Industrija, 46(2), 21-38. https://doi.org/10.5937/industrija46-15888
2. Andrei, J. V., Mieila, M., & Panait, M. (2017). The impact and determinants of the energy paradigm on economic growth in European Union. PloS one, 12(3), e0173282. https://doi.org/10.1371/journal.pone.0173282
3. Armeanu, D., Vintilă, G., Andrei, J. V., Gherghina, Ş. C., Drăgoi, M. C., & Teodor, C. (2018). Exploring the link between environmental pollution and economic growth in EU-28 countries: Is there an environmental Kuznets curve?. PloS one, 13(5), e0195708. https://doi.org/10.1371/journal.pone.0195708
4. Balassa, B. (1965). Trade liberalization and revealed comparative advantage. Manchester: The Manchester School of Economics and Social Studies Journal, 33(2), 99-123. https://doi.org/10.1111/j.1467-9957.1965.tb00050.x
5. Birovljev, J., Matkovski, B., & Ćetković, B. (2015). The competitiveness of the Serbian agri-food products on the market of countries in the region. Annals of the Faculty of Economics in Subotica, 51(33), 61-78. [in Serbian: Бировљев, Ј., Матковски, Б., & Ћетковић, Б. (2015), Конкурентност пољопривреднопрехрамбених производа Србије на тржишту земаља региона. Анали Економског факултета у Суботици].
6. Bojnec, Š., & Fertő, I. (2017). The duration of global agri-food export competitiveness. British Food Journal, 119(6), 1378-1393. https://doi.org/10.1108/BFJ-07-2016-0302
7. Bozduman, E. T., & Erkan, B. (2019). Sectoral Competitive Advantages in Kazakhstans Foreign Trade as a Rising Star of Central Asia, 7th SCF International Conference on "The Future of the European Union and Turkey-European Union Relations", Usak/Turkey, 11-13th April 2019, 160-168.
8. Božić, D., & Nikolić, M. (2016). Characteristics of Serbian foreign trade of agricultural and food products. Marketing, 47(4), 293-304. [in Serbian: Božić, D., & Nikolić, M. (2016), Obeležja spoljnotrgovinske razmene poljoprivredno-prehrambenih proizvoda Srbije. Marketing]. https://doi.org/10.5937/markt1604293B
9. Božić, D., & Nikolić, M. (2019). Foreign trade and comparative advantages of agrarian sector of Serbia and neighbouring countries. Economics of Agriculture, 66(3), 737-753.
10. Brülhart, M. (1994). Marginal intra-industry trade: measurement and relevance for the pattern of industrial adjustment. Review of World Economics, 130(3), 600-613.
11. Clark, D. P., Fullerton Jr, T. M., & Burdorf, D. (2001). Intra-industry trade between the United States and Mexico: 1993-1998. Estudios económicos, 167-183.
12. Drăgoi, M. C., Andrei, J. V., Mieilă, M., Panait, M., Dobrotă, C. E., & Lădaru, R. G. (2018). Food Safety and Security in Romania–An Econometric Analysis in the Context of National Agricultural Paradigm Transformation. Amfiteatru Economic, 20(47), 134-150.
13. Gayá, R., & Michalczewsky, K. (2014). South American Intra-regional trade: export pattern and intra-industry flows, Washington: Inter-American Development Bank. [en español: Gayá, R., & Michalczewsky, K. (2014), El comercio Intrarregional sudamericano: patrón exportador y flujos intraindustriales. Washington: Banco Interamericano de Desarrollo]. Retrieved from http://www.iadb.org/ (September 30, 2019)
14. Grubel, H. G., & Lloyd, P. J. (1971). The Empirical Measurement of Intra- Industry Trade. Economic Record, 47(120), 494-517. https://doi.org/10.1111/j.1475-4932.1971.tb00772.x
15. Grubel, H. G., & Lloyd, P. J. (1975). Intra-industry trade. The theory and measurement of international trade in differentiated products. 19, 71-117. London.
16. Henao Rodríguez, C., Lis Gutiérrez, J. P., Viloria, A., & Laverde, H. (2016). Synthesis of the Indices used to Measure Intra-industry Trade. International Journal of Control Theory and Applications. 9(44), 427-434.
17. Ignjatijević, S., Čavlin, M., & Đorđević, D. (2014). Measurement of comparative advantages of processed food sector of Serbia in the increasing the export. Economics of Agriculture, 61(3), 677-693. https://doi.org/10.5937/ekoPolj1403677I
18. Jefferson Institute (2003). Competitiveness of Serbian economy [in Serbian: Džeferson institut (2003), Konkurentnost privrede Srbije]. Retrieved from https://www.nbs.rs/internet/latinica/90/90_0/konkurentnost_privrede_srbije.pdf (23 October, 2019)
19. Jefferson Institute (2006). Competitiveness of Serbian economy [in Serbian: Džeferson institut (2006), Konkurentnost privrede Srbije]. Retrieved from https://issuu.com/jeffersoninstitute/docs/konkurentnostweb_1_ (19 October, 2019)
20. Jovović, D., & Jovović, D. (2018). Competitiveness of food manufacturing of Republic of Serbia. Economics of Agriculture, 65(1), 49-64. https://doi.org/10.5937/ekoPolj1801049J
21. Lee, H. (2004). Regime Selection as an Alternative to Grubel Lloyd Index. Seoul: Konkuk University.
22. Marković, M. (2019). Analysis of comparative advantages of Serbian exports at the sectoral level. Ekonomika, 65(3), 55–64. https://doi.org/10.5937/ekonomika1903055M
23. Marković, М., Marjanović, I. (2019). Export competitiveness of Serbian agri-food sector in the Western Balkan countries. In Krstić, B. (Ed). Improving Macroeconomic Competitiveness - Thematic collection of papers of international significance. Niš: Faculty of Economics, University of Niš, 79-97.
24. Maslova, V., Zaruk, N., & Avdeev, M. (2019, May). The impact of the competitiveness of Russian agri-food products on the dynamics of Russian foreign trade. In IOP Conference Series: Earth and Environmental Science (Vol. 274, No. 1). IOP Publishing. https://doi.org/10.1088/1755-1315/274/1/012026
25. Matkovski, B., Lovre, K., & Zekić, S. (2017). The foreign trade liberalization and export of agri-food products of Serbia. Agricultural Economics (Czech Republic), 63(7), 331-345. https://doi.org/10.17221/345/2015-AGRICECON
26. Melišek, I. (2012). Measurement and evaluation of macroeconomic results of foreign trade. Economic Review, 41(4), 439-451. [in Slovak: Melišek, I. (2012), Meranie a hodnotenie makroekonomických výsledkov zahraničného obchodu. Ekonomické rozhľady].
27. Milićević, S., Nikolić, M., & Cvetanović, S. (2017). The competitiveness of wood processing industry in the Republic of Serbia during the period 1995- 2015. Industrija, 45(3), 131-150. https://doi.org/10.5937/industrija45-14579
28. Milutinović, S. (2015). The importance of intra-industry trade in the contemporary world economy. Economics: Theory and Practice, 8(1), 35-46. [in Serbian: Milutinović, S. (2015), Značaj intra-industrijske trgovine u savremenoj svetskoj privredi. Ekonomija: teorija i praksa]. https://doi.org/10.5937/etp1501035M
29. Mitrović, V., & Mitrović, I. (2014). Raising of competitiveness of export-oriented industries: Economic priorities of national importance. Ekonomika, 60(3), 263- 283. [in Serbian: Митровић, В., & Митровић, И. (2014), Подизање нивоа конкурентности извозно оријентисане индустрије – економски приоритет од националног значаја. Економика].
30. Mrdalj, V. (2015). The Competitiveness of Agroindustry Sector of the Republic of Srpska in International Trade. Agro-knowledge Journal, 16(1), 21-31. [in Serbian: Mrdalj, V. (2015), Konkurentnost agroindustrijskog sektora Republike Srpske u međunarodnoj razmjeni. Agroznanje]. http://dx.doi.org/10.7251/AGRSR1501021M
31. Petrović, P. (2005). Structural characteristics of trade between Serbia and the European Union. Economic Annals, 166, 109-128. [in Serbian: Petrović, P. (2005), Strukturne karakteristike robne razmene Srbije i Evropske unije. Ekonomski anali].
32. Raičević, V., Ignjatijević, S., & Matijašević, J. (2012). Economic and legal determinants of export competitiveness of the food industry of Serbia. Industrija, 40(1), 201-226.
33. Simonović, Z., Cvijanović, D., & Hamović, V. (2010). The role of agrarian sector in economic growth of Serbia. Ekonomika, 56(4), 73-82.
34. Statistical Offce of the Republic of Serbia (2019). Foreign Trade Database. [in Serbian: Републички завод за статистику (2019), База података о спољној трговини], Retrieved from https://data.stat.gov.rs/Home/Result/170302?languageCode=srCyrl (October 18, 2019)
35. Stanojević, N., & Kotlica, S. (2018). Globalization and methodology of researches in international trade. Industrija, 46(2), 21-38. https://doi.org/10.5937/industrija46-15888
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Published
2019-12-25
How to Cite
Marković, M., Krstić, B., & Rađenović, Žarko. (2019). EXPORT COMPETITIVENESS OF THE SERBIAN AGRI-FOOD SECTOR ON THE EU MARKET. Economics of Agriculture, 66(4), 941–953. https://doi.org/10.5937/ekoPolj1904941M
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