The Fruit and Vegetable Sector in Andalusia (Spain): Key in Terms of Linkages and the Effect of Economic Multipliers?

The agriculture, livestock, forestry, and fishing sectors are very important in Andalusia (Spain), being strongly focused on foreign markets, which has required them to make great efforts to improve their competitiveness. The aim of this work is to understand the interrelationships between the fruit and vegetables sector and the remaining sectors of the Andalusian economy, as well as knowing its multiplying effects on production, income, and employment. To this end, the input-output tables of Andalusia for 2016 will be used in order to know if it is a key sector and how it can help to establish economic policy objectives. Regarding forward linkages, the branches that most demand fruit and vegetable products are the industries related to other food products, and the preparation of canned fish and vegetables. In relation to backward linkages, they focus on the manufacture of basic chemicals, and other agricultural crops and services. Despite its importance in Andalusian agriculture, the fruit and vegetable sector is not considered a key sector according to the Rasmussen coefficients, as it is classified as an independent industry. The reasons may be that it uses few primary inputs, is poorly integrated with the rest of the productive sectors, and its production is destined to satisfy final demand (national and international). However, it generates an above average impact on the economy in most multipliers, being important for stimulating economic policy measures.