Revealed comparative advantage and the context of brazil in international dairy market

Kennya Siqueira (), Glauco Carvalho () and Lucas Pinha ()
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Kennya Siqueira: Embrapa Dairy Cattle
Glauco Carvalho: Embrapa Dairy Cattle
Lucas Pinha: Universidade Federal de Juiz de Fora

Economics Bulletin, 2011, vol. 31, issue 1, A7

Abstract: Recently, the international dairy market has growing substantially and Brazil has exported more dairy products. In this context, the main objective of this study is to analyze the international dairy trade in order to identify the comparative advantages of the Brazilian dairy products. In addition, we aimed to compare the comparative advantages of Brazil and the greatest players of the international dairy market. The results indicated that New Zealand presents the highest index of comparative advantage for dairy. Germany had more profits from the dairy exports in 2008, and still does not have major advantages compared to the other players. The United States, despite having the highest production of cow's milk and a large consumer market, has no comparative advantage. For its part, Argentina has a good comparative advantage index for total milk, but not so good for specific categories. Brazil, despite having relatively low rates, managed to expand its comparative advantage between 2000 and 2008, suggesting that the country has become more competitive in the international dairy market. However, considering other factors related to competitiveness, it is noted that the country needs to evolve to become a great player in the global market for dairy products.

Keywords: revealed comparative advantage; milk market; competitiveness (search for similar items in EconPapers)
JEL-codes: F5 (search for similar items in EconPapers)
Date: 2011-02-14
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Citations: View citations in EconPapers (8)

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