Competitiveness analysis of Czech agrarian foreign trade in the context of world agrarian market and agrarian trade of EU-27 countries

Analýza konkurenceschopnosti českého agrárního zahraničního obchodu v rámci světového agrárního trhu a v rámci agrárního trhu zemí EU27

Miroslav Svatoš and Lubos Smutka
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Miroslav Svatoš: Katedra ekonomiky, Česká zemědělská univerzita v Praze, Kamýcká 129, Praha 6 - Suchdol, 165 21 Praha, Česká republika

Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, 2010, vol. 58, issue 6, 503-514

Abstract: This paper analyses the commodity structure of Czech (CR) agrarian trade in relation to the EU countries. An emphasis is put on comparative advantages of particular aggregations from the view-point of their application on the EU internal market. This analysis is based on an evaluation of comparative advantages by means of a modified Balassa index. It is studied in two stages, for the internal EU market and the world market. The analysis results are then shown in a graph. Subsequently, the authors implement an idea arising from a BCG matrix on the results of the graphic presentation. The aim is to identify those aggregations (SITC, rev. 3) which are or have a potential to be a pillar of agri-business (ie, the "cash cows" and "stars"), and vice versa to show the aggregation which are non-prospective in the long term or problematic (ie, the "dogs" and "problem children"). As start are identified as those aggregations which are characterised by the highest growth rate of comparative advantage value. From the analysis results, changes are apparent if we compare the CR trade commodity structure in relation to the EU countries. Findings also concern the development of comparative advantages and following CR specialisation on trade with certain aggregations.

Keywords: competitiveness; agrarian trade; Czech Republic; world; EU; analysis; commodity structure (search for similar items in EconPapers)
Date: 2010
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Persistent link: https://EconPapers.repec.org/RePEc:mup:actaun:actaun_2010058060503

DOI: 10.11118/actaun201058060503

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