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Relative Competitiveness Of The South African Oilseed Industry

Author

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  • Hallat, Jani

Abstract

An overview of the oilseed industry locally and globally is provided, followed by measurements of the comparative and competitive advantages of the South African and Argentine oilseed industries. Three indexes are used to calculate the comparative and competitive advantages namely the Net Export Index (NXI), the Revealed Comparative Advantage (RCA) and the Relative Revealed Comparative Trade Advantage (RTA) index. According to the results South African groundnuts and sunflower seed have a competitive advantage in their primary form. Oilseeds to which value has been added have, in most cases, a competitive disadvantage, exactly the opposite to Argentina's oilseed products. The finding that South Africa is only competitive in the primary oilseed market, lead to the secondary oilseed industry. In the analysis it was found that the South African oilseed industry is price driven. Since price plays a large role in the competitiveness of the industry, imports of cheaper bottled refined oils are considered to pose a major threat.

Suggested Citation

  • Hallat, Jani, 2005. "Relative Competitiveness Of The South African Oilseed Industry," Master's Degree Theses 28063, University of the Free State, Department of Agricultural Economics.
    • Handle: RePEc:ags:ufstmd:28063
    DOI: 10.22004/ag.econ.28063
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    Cited by:

    1. Vanzetti, David & Nikolic, Aleksandra, 2011. "Potential Impacts of WTO Accession on the Agribusiness Sector in Bosnia and Herzegovina," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114611, European Association of Agricultural Economists.
    2. Mashabela, T.E. & Vink, Nick, 2008. "Competitive performance of global deciduous fruit supply chains: South Africa versus Chile," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 47(2), pages 1-18, June.

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