IDEAS home Printed from https://ideas.repec.org/a/eee/inteco/v179y2024ics2110701724000441.html
   My bibliography  Save this article

Determinants of India's cotton export performance: An empirical analysis

Author

Listed:
  • Yadav, Alok Kumar
  • Chattopadhyay, Utpal

Abstract

Cotton export performance plays a critical role in bridging the gaps in India's soaring trade deficits and helps in maximizing the overall gains from international trade. We examine the impact of macroeconomic determinants on India's cotton export performance using data from 1990 to 2020. To assess the long-run and short-run impacts on cotton export performance, an autoregressive distributed lag (ARDL) model has been deployed. The findings reveal that yield and export price have had statistically positive significant impact on India's cotton export performance over the long-run and short-run. However, the resulting estimates of market size and exchange rate do have a mixed effect on cotton export performance over the period. Moreover, our results offer some important policy implications for the stakeholders including the farmers, exporters, and government to enhance Agri-product competitiveness.

Suggested Citation

  • Yadav, Alok Kumar & Chattopadhyay, Utpal, 2024. "Determinants of India's cotton export performance: An empirical analysis," International Economics, Elsevier, vol. 179(C).
    • Handle: RePEc:eee:inteco:v:179:y:2024:i:c:s2110701724000441
    DOI: 10.1016/j.inteco.2024.100521
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2110701724000441
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.inteco.2024.100521?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Sengupta, Ushree & Roy, Saikat Sinha, 2011. "Behaviour of India’s Horticultural Exports: Does Price Competitiveness Play a Determining Role?," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 66(2), pages 1-12.
    2. Hakan Yilmazkuday, 2021. "Drivers of Global Trade: A Product-Level Investigation," International Economic Journal, Taylor & Francis Journals, vol. 35(4), pages 469-485, October.
    3. Poulomi Bhattacharya, 2019. "Determinants of export competitiveness of fresh fruits in India," International Journal of Sustainable Economy, Inderscience Enterprises Ltd, vol. 11(1), pages 61-80.
    4. Normaz Wana Ismail & Sarah Nursyazmin Mohamad Kamal & Muhamad Firdaus & Norazwa Mohamed Hariri, 2022. "Export Demand of Palm Oil in Malaysia: Analysis using ARDL Approach," Asian Journal of Agriculture and Rural Development, Asian Economic and Social Society, vol. 12(3), pages 157-163.
    5. Thuy Dung Vo & Laike Yang & Manh Dung Tran, 2024. "Determinants influencing Vietnam coffee exports," Cogent Business & Management, Taylor & Francis Journals, vol. 11(1), pages 2337961-233, December.
    6. Rao Muhammad Atif & Liu Haiyun & Haider Mahmood, 2017. "Pakistan's agricultural exports, determinants and its potential: an application of stochastic frontier gravity model," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 26(3), pages 257-276, April.
    7. Muhammad Shahid Hassan & Amna Kausar & Noman Arshed, 2022. "Investigating Export Determinants: A Time Series Evidence From Canada," SAGE Open, , vol. 12(2), pages 21582440221, June.
    8. András Bence Szerb & Arnold Csonka & Imre Fertő, 2022. "Regional trade agreements, globalization, and global maize exports," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 68(10), pages 371-379.
    9. Akber, Nusrat & Paltasingh, Kirtti Ranjan & Mishra, Ashok K., 2022. "How can public policy encourage private investments in Indian agriculture? Input subsidies vs. public investment," Food Policy, Elsevier, vol. 107(C).
    10. Tang, Tuck Cheong, 2003. "An empirical analysis of China's aggregate import demand function," China Economic Review, Elsevier, vol. 14(2), pages 142-163.
    11. Narayan, Seema & Bhattacharya, Poulomi, 2019. "Relative export competitiveness of agricultural commodities and its determinants: Some evidence from India," World Development, Elsevier, vol. 117(C), pages 29-47.
    12. Meriem Bouchoucha, 2015. "The Euro Effect on Eurozone Exports," International Economic Journal, Taylor & Francis Journals, vol. 29(3), pages 399-418, September.
    13. Adhikari, A. & Sekhon, M.K. & Kaur, M., 2016. "Export of Rice from India: Performance and Determinants," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 29(01).
    14. Zaira Adnan & Mamta Chowdhury & Girijasankar Mallik, 2020. "Determinants of total factor productivity in Pakistan: a time series analysis using ARDL approach," International Review of Applied Economics, Taylor & Francis Journals, vol. 34(6), pages 807-820, November.
    15. Padilla, Samantha & Ufer, Danielle J. & Morgan, Stephen & Link, Noah, 2023. "U.S. Export Competitiveness in Select Crop Markets," USDA Miscellaneous 333553, United States Department of Agriculture.
    16. Kumar, Nalini Ranjan & Rai, Mathura, 2007. "Performance, Competitiveness and Determinants of Tomato Export from India," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 20(Conferenc).
    17. Suwen Pan & Mohamadou Fadiga & Samarendu Mohanty & Mark Welch, 2007. "Cotton In A Free Trade World," Economic Inquiry, Western Economic Association International, vol. 45(1), pages 188-197, January.
    18. M. Hashem Pesaran & Yongcheol Shin & Richard J. Smith, 2001. "Bounds testing approaches to the analysis of level relationships," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 16(3), pages 289-326.
    19. K. Nirmal Ravi Kumar & K. Gurava Reddy & Adinan Bahahudeen Shafiwu & M. Jagan Mohan Reddy, 2024. "Trade determinants and opportunities for Indian rice: a dynamic panel gravity model perspective," Cogent Economics & Finance, Taylor & Francis Journals, vol. 12(1), pages 2312367-231, December.
    20. Andreas Kohler & Ali Ferjani, 2018. "Exchange rate effects: A case study of the export performance of the Swiss agriculture and food sector," The World Economy, Wiley Blackwell, vol. 41(2), pages 494-518, February.
    21. Athukorala, Prema-chandra & Sen, Kunal, 1998. "Processed food exports from developing countries: patterns and determinants," Food Policy, Elsevier, vol. 23(1), pages 41-54, February.
    22. Ismail, Normaz Wana & Kamal, Sarah Nursyazmin Mohamad & Firdaus, Muhamad & Hariri, Norazwa Mohamed, 2022. "Export Demand of Palm Oil in Malaysia: Analysis Using ARDL Approach," Asian Journal of Agriculture and Rural Development, Asian Economic and Social Society (AESS), vol. 12(03), January.
    23. Samwel J. Kabote & Jires Tunguhole, 2022. "Determinants of clove exports in Zanzibar: Implications for policy," WIDER Working Paper Series wp-2022-54, World Institute for Development Economic Research (UNU-WIDER).
    24. Sokvibol Kea & Hua Li & Saleh Shahriar & Nazir Muhammad Abdullahi & Samnang Phoak & Tharo Touch, 2019. "Factors Influencing Cambodian Rice Exports: An Application of the Dynamic Panel Gravity Model," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 55(15), pages 3631-3652, December.
    25. K. Nirmal Ravi Kumar & G. Mohan Naidu & Adinan Bahahudeen Shafiwu, 2024. "Exploring the drivers of Indian agricultural exports: a dynamic panel data approach," Cogent Economics & Finance, Taylor & Francis Journals, vol. 12(1), pages 2344733-234, December.
    26. Sylvester N. Ayambila & Umar Adam & Benjamin Tetteh Anang, 2023. "The determinants of non-traditional agricultural exports’ growth in Ghana," Cogent Economics & Finance, Taylor & Francis Journals, vol. 11(1), pages 2197322-219, December.
    27. Asharani Samal & Mallesh Ummalla & Phanindra Goyari, 2022. "The impact of macroeconomic factors on food price inflation: an evidence from India," Future Business Journal, Springer, vol. 8(1), pages 1-14, December.
    28. Anas Al Qudah & Azzouz Zouaoui & Mostafa E. Aboelsoud, 2020. "Does corruption adversely affect economic growth in Tunisia? ARDL approach," Journal of Money Laundering Control, Emerald Group Publishing Limited, vol. 23(1), pages 38-54, January.
    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. Zaid Ashiq Khan & Mansoor Ahmed Koondhar & Noshaba Aziz & Uzair Ali & Liu Tianjun, 2020. "Revisiting the effects of relevant factors on Pakistan's agricultural products export," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 66(12), pages 527-541.
    2. Nazir Muhammad Abdullahi & Xuexi Huo & Qiangqiang Zhang & Aminah Bolanle Azeez, 2021. "Determinants and Potential of Agri-Food Trade Using the Stochastic Frontier Gravity Model: Empirical Evidence From Nigeria," SAGE Open, , vol. 11(4), pages 21582440211, December.
    3. Faria, João Ricardo & Mollick, André Varella & Albuquerque, Pedro H. & León-Ledesma, Miguel A., 2009. "The effect of oil price on China's exports," China Economic Review, Elsevier, vol. 20(4), pages 793-805, December.
    4. Kira Hibbert & Ranjini Thaver & Mark Hutchinson, 2012. "An Econometric Analysis Of Jamaica’S Import Demand Function With The Us And Uk," The International Journal of Business and Finance Research, The Institute for Business and Finance Research, vol. 6(1), pages 109-120.
    5. Wang, Yi-Hsien & Lee, Jun-De, 2012. "Estimating the import demand function for China," Economic Modelling, Elsevier, vol. 29(6), pages 2591-2596.
    6. Ranjini L. Thaver & E. M. Ekanayake, 2010. "The Impact Of Apartheid And International Sanctions On South Africa'S Import Demand Function: An Empirical Analysis," The International Journal of Business and Finance Research, The Institute for Business and Finance Research, vol. 4(4), pages 11-22.
    7. Nelson Modeste, 2011. "An Empirical Analysis of the Demand for Imports in Three CARICOM Member Countries: An Application of the Bounds Test for Cointegration," The Review of Black Political Economy, Springer;National Economic Association, vol. 38(1), pages 53-62, March.
    8. Julio Bicudo & Nnanna Azu, 2018. "Effects of Bilateral Real Exchange Rate on Sino-Nigeria Trade: An ARDL Cointegration Approach," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 10(7), pages 125-125, July.
    9. CHINEZELUM Ezebilo & AKANEGBU Benedict & MUHAMMAD Maimuna Yakubu, 2023. "Effect of Monetary Policy on Food Inflation in Nigeria: A Nardl Structural Approach," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 13(5), pages 1-6.
    10. Faria, João Ricardo & Mollick, André Varella & Albuquerque, Pedro H. & León-Ledesma, Miguel A., 2009. "The effect of oil price on China's exports," China Economic Review, Elsevier, vol. 20(4), pages 793-805, December.
    11. Fukumoto, Mayumi, 2012. "Estimation of China's disaggregate import demand functions," China Economic Review, Elsevier, vol. 23(2), pages 434-444.
    12. Iftikhar Ahmad & Arifa Saeed & Asad Ejaz Sheikh & Seyab Yasin, 2024. "The Impact of Financial Development, Net Foreign Assets and Domestic Businesses on Export Performance: A case of Singapore Economy," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 13(2), pages 712-718.
    13. Shadman Zafar & Mohammad Aarif & Md. Tarique, 2023. "Input subsidies, public investments and agricultural productivity in India," Future Business Journal, Springer, vol. 9(1), pages 1-12, December.
    14. Chen, Shengming & Hassan, Muhammad Shahid & Latif, Ayesha & Rafay, Abdul & Mahmood, Haider & Xu, Xiaowei, 2023. "Investigating resource curse/blessing hypothesis: An empirical insights from Luxembourg, the Netherlands, and Portugal economies," Resources Policy, Elsevier, vol. 83(C).
    15. Khyati Kathuria & Nand Kumar, 2022. "Are exports and imports of India’s trading partners cointegrated? Evidence from Fourier bootstrap ARDL procedure," Empirical Economics, Springer, vol. 62(3), pages 1177-1191, March.
    16. Birendra Bahadur Budha, 2014. "The Role of Expenditure Components in Nepal’s Import from India," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 15(1), pages 37-54, March.
    17. Gozgor, Giray, 2014. "Aggregated and disaggregated import demand in China: An empirical study," Economic Modelling, Elsevier, vol. 43(C), pages 1-8.
    18. Nisa Sansel Tandogan Aktepe & İhsan Erdem Kayral, 2024. "Unraveling the Major Determinants behind Price Changes in Four Selected Representative Agricultural Products," Agriculture, MDPI, vol. 14(5), pages 1-25, May.
    19. Siong Hook Law, 2008. "Does a Country's Openness to Trade and Capital Accounts Lead to Financial Development? Evidence from Malaysia," Asian Economic Journal, East Asian Economic Association, vol. 22(2), pages 161-177, June.
    20. George Marbuah, 2013. "Modelling import demand behaviour in Ghana: a re-examination," Economics Bulletin, AccessEcon, vol. 33(1), pages 482-493.

    More about this item

    Keywords

    Export performance; Determinants; Cotton; ARDL model; India;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness
    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade

    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:eee:inteco:v:179:y:2024:i:c:s2110701724000441. 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: Catherine Liu (email available below). General contact details of provider: http://www.sciencedirect.com/science/journal/21107017 .

    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.