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Does Trade Policy Impact Food and Agriculture Global Value Chain Participation of Sub-Saharan African Countries?

Author

Listed:
  • Jean Balié
  • Davide Del Prete
  • Emiliano Magrini
  • Pierluigi Montalbano
  • Silvia Nenci

Abstract

The emergence of food and agriculture global value chains (GVCs) is challenging the way scholars look at trade data, as well as how policy makers establish their trade policies. The common perception is that Sub-Saharan African (SSA) countries, unlike most Latin American and Asian countries, are not deeply integrated into global production networks. Consequently, it is believed that the border protection policies of the former may have a limited impact on GVC participation. This paper challenges this conventional knowledge in two ways. First, by decomposing bilateral gross export into its value added components, we show that the sectoral and bilateral SSA participation in GVC for food and agriculture is substantial. Second, we demonstrate that trade policies impact backward and forward value chain linkages. These results call for a refinement of trade policy priorities in SSA.

Suggested Citation

  • Jean Balié & Davide Del Prete & Emiliano Magrini & Pierluigi Montalbano & Silvia Nenci, 2019. "Does Trade Policy Impact Food and Agriculture Global Value Chain Participation of Sub-Saharan African Countries?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 101(3), pages 773-789.
    • Handle: RePEc:oup:ajagec:v:101:y:2019:i:3:p:773-789.
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    File URL: http://hdl.handle.net/10.1093/ajae/aay091
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    Cited by:

    1. Sunghun Lim, 2021. "Global Agricultural Value Chains and Structural Transformation," NBER Chapters, in: Risks in Agricultural Supply Chains, pages 29-57, National Bureau of Economic Research, Inc.
    2. Cerqua, Augusto & Montalbano, Pierluigi & Temerbulatova, Zhansaya, 2024. "A decade of Eurasian integration: An ex-post non-parametric assessment of the Eurasian economic union," International Economics, Elsevier, vol. 178(C).
    3. Zhong, Zhangqi & Guo, Zhifang & Zhang, Jianwu, 2021. "Does the participation in global value chains promote interregional carbon emissions transferring via trade? Evidence from 39 major economies," Technological Forecasting and Social Change, Elsevier, vol. 169(C).
    4. Santeramo, Fabio Gaetano & Jelliffe, Jeremy & Hoekman, Bernard, 2024. "Agri-food value chains and the global food dollar: The role of trade and services," Food Policy, Elsevier, vol. 127(C).
    5. Ilaria Fusacchia & Jean Balié & Luca Salvatici, 2022. "The AfCFTA impact on agricultural and food trade: a value added perspective," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 49(1), pages 237-284.
    6. Johan Swinnen & Alessandro Olper & Senne Vandevelde, 2021. "From unfair prices to unfair trading practices: Political economy, value chains and 21st century agri‐food policy," Agricultural Economics, International Association of Agricultural Economists, vol. 52(5), pages 771-788, September.
    7. Pierluigi Montalbano & Silvia Nenci & Laura Dell'Agostino, 2019. "A non-parametric re-assessment of the trade effects of the euro using value added data," Working Papers 9/19, Sapienza University of Rome, DISS.
    8. Takpara, Moukaila Mouzamilou & Fouopi Djiogap, Constant & Sawadogo, Bouraima, 2022. "Trade Policy and African Participation in Global Value Chains: Does Trade Facilitation Matter?," Conference papers 333499, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    9. Essossinam Ali & Hodabalo Bataka & Kwami Ossadzifo Wonyra & Nadège Essossolim Awade & Nèmè Nalèwazou Braly, 2024. "Global value chains participation and environmental pollution in developing countries: Does digitalization matter?," Journal of International Development, John Wiley & Sons, Ltd., vol. 36(1), pages 451-478, January.
    10. Laura Forastiere & Davide Del Prete & Valerio Leone Sciabolazza, 2020. "Causal Inference on Networks under Continuous Treatment Interference," Papers 2004.13459, arXiv.org, revised Jun 2023.
    11. Fiankor, Dela-Dem Doe & Dalheimer, Bernhard & Mack, Gabriele, 2024. "Pesticide Regulatory Heterogeneity, Foreign Sourcing, and Global Agricultural Value Chains," 2024 Annual Meeting, July 28-30, New Orleans, LA 343952, Agricultural and Applied Economics Association.
    12. Nenci, Silvia & Fusacchia, Ilaria & Giunta, Anna & Montalbano, Pierluigi & Pietrobelli, Carlo, 2022. "Mapping global value chain participation and positioning in agriculture and food: stylised facts, empirical evidence and critical issues," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 11(2), July.
    13. Radovan Kastratović, 2023. "Exporting decision of agricultural firms: The role of foreign direct investment," Agribusiness, John Wiley & Sons, Ltd., vol. 39(4), pages 960-984, October.
    14. Gaofeng Wang & Shuai Li & Zihao Zhang & Yanning Hou & Changhoon Shin, 2023. "A Visual Knowledge Map Analysis of Cross-Border Agri-Food Supply Chain Research Based on CiteSpace," Sustainability, MDPI, vol. 15(14), pages 1-28, July.
    15. Hongyu Wang & Xiaolei Wang & Apurbo Sarkar & Lu Qian, 2021. "Evaluating the Impacts of Smallholder Farmer’s Participation in Modern Agricultural Value Chain Tactics for Facilitating Poverty Alleviation—A Case Study of Kiwifruit Industry in Shaanxi, China," Agriculture, MDPI, vol. 11(5), pages 1-19, May.
    16. Scoppola, Margherita, 2022. "Agriculture, food and global value chains: issues, methods and challenges," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 11(2), July.
    17. Zhiheng Wu & Guisheng Hou & Baogui Xin, 2020. "The Causality between Participation in GVCs, Renewable Energy Consumption and CO 2 Emissions," Sustainability, MDPI, vol. 12(3), pages 1-26, February.
    18. Montalbano, Pierluigi & Nenci, Silvia, 2022. "Does global value chain participation and positioning in the agriculture and food sectors affect economic performance? A global assessment," Food Policy, Elsevier, vol. 108(C).
    19. Weixin Yang & Hao Gao & Yunpeng Yang, 2022. "Analysis of Influencing Factors of Embodied Carbon in China’s Export Trade in the Background of “Carbon Peak” and “Carbon Neutrality”," Sustainability, MDPI, vol. 14(6), pages 1-20, March.
    20. Asanka Wijesinghe & Chathurrdhika Yogarajah, 2022. "Trade Policy Impact on Global Value Chain Participation of the South Asian Countries," Journal of Asian Economic Integration, , vol. 4(1), pages 24-48, April.

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