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Changes in the Czech agrarian foreign trade competitiveness - different groups of partners' specifics

Author

Listed:
  • Lubos SMUTKA
  • Mansoor MAITAH

    (Department of Economics, Faculty of Economics and Management, Czech University of Life Sciences Prague, Prague, Czech Republic)

  • Miroslav SVATOS

    (Department of Economics, Faculty of Economics and Management, Czech University of Life Sciences Prague, Prague, Czech Republic)

Abstract

The territorial and commodity structure of the Czech agrarian foreign trade underwent significant changes over the last fifteen years. These changes affected not only the structure, but also the value, volume, unit prices and competitiveness. The presented paper provides the basic overview of the individual significant changes. The main goal of the paper is to specify changes in the area of the Czech agrarian foreign trade competitiveness. This competitiveness is analysed not only in relation to global markets, but it is also analysed in relation to different groups of countries. Differences in competiveness are analysed in relation to the European Union (EU 28), the Commonwealth of Independent Countries, other European countries, the OECD members, and developing countries. In addition, competitiveness is also analysed in two specific dimensions. The agricultural market represents a very specific entity. However, the global merchandise trade is becoming more and more liberalized internationally and the regional agricultural markets are still being affected by a significant protectionism. The individual countries and certain clusters of countries are applying an intensive agricultural market protection. The result of these policies is a distortion of the agricultural trade. This distortion is also affecting the individual countries mutual competitiveness. While one country could be competitive in relation to one partner, in relation to other partner, the competitiveness could be limited. The paper clarifies and analyses the differences that exist in the competitiveness of the Czech agrarian trade in relation to the above mentioned groups of countries. The analysis is conducted utilizing the symmetric revealed comparative advantage index and the Lafay index, the Trade Balance index and the product mapping. The Czech agrarian trade territorial structure has become more concentrated, the commodity structure became more diversified. Czech trade is quite competitive especially in relation to the European countries, the competitiveness in relation to other territories is limited. The significant weakness of the Czech agrarian trade is its low ability to generate added value.

Suggested Citation

  • Lubos SMUTKA & Mansoor MAITAH & Miroslav SVATOS, 2018. "Changes in the Czech agrarian foreign trade competitiveness - different groups of partners' specifics," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 64(9), pages 399-411.
    • Handle: RePEc:caa:jnlage:v:64:y:2018:i:9:id:399-2016-agricecon
    DOI: 10.17221/399/2016-AGRICECON
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    References listed on IDEAS

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    1. Ivo Zdráhal & Francois Stefanus Lategan & Melissa van der Merwe, 2023. "A constant market share analysis of the competitiveness of the Czech Republic's agrifood exports (2002-2020) to the European Union," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 69(12), pages 498-509.
    2. Jadwiga Bożek & Czesław Nowak & Monika Zioło, 2020. "Changes in agrarian structure in the EU during the period 2010-2016 in terms of typological groups of countries," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 66(7), pages 307-316.
    3. Karolina Pawlak & Joanna Lukasiewicz, 2022. "Does intra-industry specialisation enhance or limit comparative advantage? Evidence from the world citrus fruit trade," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 68(9), pages 338-347.

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