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Identifying strategic markets for South Africa's citrus exports

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  • Tinashe Kapuya
  • Evans K. Chinembiri
  • Mmatlou W. Kalaba

Abstract

The article identifies South Africa's strategic citrus markets among its major export partners using three complementary methodologies. Firstly, South Africa's major markets for citrus are characterised according to a growth-share matrix to identify strategic country markets. Secondly, the paper uses an Indicative Trade Potential analysis to identify strategic markets that are high potential export countries. Thirdly, a gravity model is used to identify which strategic high potential markets are encouraging South African citrus exports. Out of South Africa's 51 major citrus export destinations, 44 countries are considered "strategic" markets. From these 44 strategic markets, 26 are high potential markets. Among the 26 high potential markets, an identified 17 countries represent the most attractive markets that possess opportunities for greater export expansion. These 17 countries can be prioritised for an export promotion strategy: six are in the EU, four are in Asia, and two are in Eastern Europe; while three are from Middle East and two from North America. The paper concludes that more aggressive trade policy efforts should also be directed towards nine countries which are "high potential markets", but exhibit trade-inhibiting features discouraging South Africa's citrus exports. Trade facilitation efforts and bilateral agreements with such countries could be considered as an option to "lock in" the benefits of unexploited export potential in key strategic citrus export markets.

Suggested Citation

  • Tinashe Kapuya & Evans K. Chinembiri & Mmatlou W. Kalaba, 2014. "Identifying strategic markets for South Africa's citrus exports," Agrekon, Taylor & Francis Journals, vol. 53(1), pages 124-158, March.
    • Handle: RePEc:taf:ragrxx:v:53:y:2014:i:1:p:124-158
    DOI: 10.1080/03031853.2014.887908
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    References listed on IDEAS

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    1. Bergstrand, Jeffrey H, 1985. "The Gravity Equation in International Trade: Some Microeconomic Foundations and Empirical Evidence," The Review of Economics and Statistics, MIT Press, vol. 67(3), pages 474-481, August.
    2. Gebrehiwet, Yemane & Ngqangweni, Simphiwe & Kirsten, Johann F., 2007. "Quantifying the Trade Effect of Sanitary and Phytosanitary Regulations of OECD Countries on South African Food Exports," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 46(1), pages 1-17, March.
    3. Simon J. Evenett & William K. Hutchinson, 2002. "The Gravity Equation in International Economics: Theory and Evidence," Scottish Journal of Political Economy, Scottish Economic Society, vol. 49(5), pages 489-490, November.
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    Cited by:

    1. Mawasha, Joseph Leshasha, 2020. "An assessment of South Africa’s non-genetically modified maize export potential," Research Theses 334758, Collaborative Masters Program in Agricultural and Applied Economics.
    2. Vasilii Erokhin & Gao Tianming & Anna Ivolga, 2021. "Cross-Country Potentials and Advantages in Trade in Fish and Seafood Products in the RCEP Member States," Sustainability, MDPI, vol. 13(7), pages 1-40, March.
    3. Mshengu, Scelo & Kalaba, Mmatlou, 2021. "Potential Effects of the United Kingdom's Departure from the European Union on South African Citrus Exports: A Case of Non-Tariff Measures," 2021 Conference, August 17-31, 2021, Virtual 315245, International Association of Agricultural Economists.
    4. repec:ags:ijag24:346829 is not listed on IDEAS
    5. Tinashe Kapuya, 2015. "The trade effects of technical barriers on South Africa's orange exports," Agrekon, Taylor & Francis Journals, vol. 54(1), pages 1-27, March.

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