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Determinants of Brazilian agribusiness exports to China

Author

Listed:
  • Gilberto J Fraga

    (Department of Economics of Maringa State UniversitY)

  • Waldemiro A. Silva Neto

    (Department of Economics of Federal University of Goias)

Abstract

Brazil is a major global agribusiness trader, a leading producer and exporter of grain, meat and sugar while China is notable as a crucial trading partner for Brazilian agribusiness. With these aspects in mind, this article sets out to analyze the trade flow determinants of agribusiness from Brazilian states to China. To do so, foreign income and real exchange rate variables were constructed, using state-specific trade weights. The estimates were calculated using static and dynamic panel data. The results suggest that exports from Brazilian states to China are elastic in terms of foreign income and inelastic in terms of the variable production level of the states. Price (exchange and international price) did not rank as a determinant.

Suggested Citation

  • Gilberto J Fraga & Waldemiro A. Silva Neto, 2017. "Determinants of Brazilian agribusiness exports to China," Economics Bulletin, AccessEcon, vol. 37(1), pages 94-106.
    • Handle: RePEc:ebl:ecbull:eb-16-00109
    as

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    References listed on IDEAS

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    More about this item

    Keywords

    International trade; income; international price;
    All these keywords.

    JEL classification:

    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture
    • F1 - International Economics - - Trade

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