IDEAS home Printed from https://ideas.repec.org/a/eco/journ2/2023-01-37.html
   My bibliography  Save this article

The Impact of Oil Exports on Imports of Agricultural Machinery and Equipment

Author

Listed:
  • Sugra Ingilab Humbatova

    (1Head of Depatment Economics, UNEC/Azerbaijan State University of Economics. Istiqlaliyyat Str. 6, Baku, AZ1001, Azerbaijan,)

  • Galib Bahram Hajiyev

    (Depatment Economics, UNEC/Azerbaijan State University of Economics. Istiqlaliyyat Str. 6, Baku, AZ1001, Azerbaijan,)

  • Leyla Zakir Aliyeva

    (Depatment Economics, UNEC/Azerbaijan State University of Economics. Istiqlaliyyat Str. 6, Baku, AZ1001, Azerbaijan,)

  • Natig Gadim-Oglu Hajiev

    (Depatment Economics, UNEC/Azerbaijan State University of Economics. Istiqlaliyyat Str. 6, Baku, AZ1001, Azerbaijan, Center for Agricultural Research, Ministry of Agriculture, Baku, Azerbaijan.)

Abstract

The influence of the main export product on the main import product is the focus of any country. In this regard, since oil and oil products are the main export commodity of Azerbaijan, their impact on the import of machinery and equipment necessary for the development of the agricultural and agro -processing industries, which are the main imported products, was chosen as the subject of study. The purpose of the article was to assess the impact of the export of oil and oil products on the import of machinery and equipment necessary for the development of the agricultural sector and the agro -processing industry. The study used data for the period from 1999 to 2020. ARDL and ECM methods were applied and compared with FMOLS, DOLS and CCR as a validation. During the study, 9 hypotheses were proposed. All hypotheses have been proven to some extent. The results of the study show that, like all industries, the agricultural sector depends on the oil factor. Thus, the export of oil to the republic has a positive effect on imports and, of course, on the imports of many machineries and equipment necessary for the development of the agricultural sector, especially agricultural machinery for tillage and harvesting, equipment for the food industry and equipment for processing agricultural products. The overall result of the research was a recommendation to further acceleration of work aimed at diversifying the economy and developing the non -oil sector, similar to the results of other similar studies (researches investigating resource -exporting economies).

Suggested Citation

  • Sugra Ingilab Humbatova & Galib Bahram Hajiyev & Leyla Zakir Aliyeva & Natig Gadim-Oglu Hajiev, 2023. "The Impact of Oil Exports on Imports of Agricultural Machinery and Equipment," International Journal of Energy Economics and Policy, Econjournals, vol. 13(1), pages 335-351, January.
    • Handle: RePEc:eco:journ2:2023-01-37
    as

    Download full text from publisher

    File URL: https://www.econjournals.com/index.php/ijeep/article/download/13719/7142
    Download Restriction: no
    File URL: https://www.econjournals.com/index.php/ijeep/article/view/13719
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Rizgar Abdlkarim Abdlaziz & N. A. M. Naseem & Ly Slesman, 2018. "Dutch Disease effect of Oil Price on Agriculture Sector: Evidence from Panel Cointegration of Oil Exporting Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 8(5), pages 241-250.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Edouard Mien & Michaël Goujon, 2022. "40 Years of Dutch Disease Literature: Lessons for Developing Countries," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 64(3), pages 351-383, September.
    2. Taiwo Akinlo, 2024. "Oil price and real sector in oil-importing countries: an asymmetric analysis of sub-Saharan Africa," Economic Change and Restructuring, Springer, vol. 57(1), pages 1-27, February.
    3. Umar Tijjani Babuga & Niaz Ahmad Mohd Naseem, 2021. "Asymmetric Effect of Oil Price Change on Inflation: Evidence from Sub Saharan Africa Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 11(1), pages 448-458.
    4. Yang, Jinxuan & Rizvi, Syed Kumail Abbas & Tan, Zhixiong & Umar, Muhammad & Koondhar, Mansoor Ahmed, 2021. "The competing role of natural gas and oil as fossil fuel and the non-linear dynamics of resource curse in Russia," Resources Policy, Elsevier, vol. 72(C).
    5. Svein Oskar Lauvsnes, 2021. "Dutch disease in the Norwegian agricultural sector," Review of Agricultural, Food and Environmental Studies, Springer, vol. 102(1), pages 25-57, March.
    6. Dorinet, Elizavetta & Jouvet, Pierre-André & Wolfersberger, Julien, 2021. "Is the agricultural sector cursed too? Evidence from Sub-Saharan Africa," World Development, Elsevier, vol. 140(C).
    7. Oyetoun Dunmola Amao & Michael Akwasi Antwi & Oluwaseun Samuel Oduniyi & Timothy Olukunle Oni & Theresa Tendai Rubhara, 2021. "Performance of Agricultural Export Products on Economic Growth in Nigeria," Asian Journal of Agriculture and rural Development, Asian Economic and Social Society, vol. 11(1), pages 47-52, March.
    8. Alssadek, Marwan & Benhin, James, 2023. "Natural resource curse: A literature survey and comparative assessment of regional groupings of oil-rich countries," Resources Policy, Elsevier, vol. 84(C).
    9. Dorinet, Elizavetta & Jouvet, Pierre-André & Wolfersberger, Julien, 2021. "Is the agricultural sector cursed too? Evidence from Sub-Saharan Africa," World Development, Elsevier, vol. 140(C).
    10. Oyetoun Dunmola Amao & Michael Akwasi Antwi & Oluwaseun Samuel Oduniyi & Timothy Olukunle Oni & Theresa Tendai Rubhara, 2021. "Performance of Agricultural Export Products on Economics Growth in Nigeria," Asian Journal of Agriculture and Rural Development, Asian Economic and Social Society (AESS), vol. 11(01), January.
    11. Udemba, Edmund Ntom & Yalçıntaş, Selin, 2022. "Unveiling the symptoms of Dutch disease: A comparative and sustainable analysis of two oil-rich countries," Resources Policy, Elsevier, vol. 79(C).
    12. Chopra, Ritika & Magazzino, Cosimo & Shah, Muhammad Ibrahim & Sharma, Gagan Deep & Rao, Amar & Shahzad, Umer, 2022. "The role of renewable energy and natural resources for sustainable agriculture in ASEAN countries: Do carbon emissions and deforestation affect agriculture productivity?," Resources Policy, Elsevier, vol. 76(C).
    13. Lauvsnes, Svein Oskar, 2021. "Dutch disease in the Norwegian agricultural sector Exploring the oil price–food security nexus," Review of Agricultural, Food and Environmental Studies, Institut National de la Recherche Agronomique (INRA), vol. 102(1), January.
    14. Sugra Ingilab Humbatova & Mubariz Mammadli Malik & Valiyev Jabrayil Khalil & Natig Gadim-Oglu Hajiev, 2022. "Impact of Oil Exports on Imports of Food and Agricultural Products," International Journal of Energy Economics and Policy, Econjournals, vol. 12(3), pages 135-150, May.
    15. Alssadek, Marwan & Benhin, James, 2021. "Oil boom, exchange rate and sectoral output: An empirical analysis of Dutch disease in oil-rich countries," Resources Policy, Elsevier, vol. 74(C).

    More about this item

    Keywords

    Oil export; export oil products; agriculture; import of machinery and equipment; FMOLS;
    All these keywords.

    JEL classification:

    • Q02 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Commodity Market
    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade
    • Q37 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Issues in International Trade
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eco:journ2:2023-01-37. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ilhan Ozturk (email available below). General contact details of provider: http://www.econjournals.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.