Foreign trade of commodities of total economy of Serbia and countries in the region is characterized by a huge deficit. Small economies, such as these, are marked with significant trade openness that is result of their high import dependence. Agrarian sector has a high share in foreign trade of Serbia and surrounding countries. Surplus in foreign trade exists only in Serbian agrarian sector, while the biggest trade deficit is recorded in Bosnia and Herzegovina, and the lowest level of foreign trade coverage (9%) in agrarian sector of Montenegro. Comparative analysis of competitiveness was conducted on the basis of the revealed comparative advantage index. Comparative advantage in the exchange of agro-food products of Serbia with the world is achieved in ten commodity divisions, and the most significant are: cereals; vegetables and fruits; sugar and honey, and in recent years, tobacco and tobacco products. In countries of the region, there is significantly less number of divisions of agro-food products that are competitive on global market.


Download data is not yet available.


Baldwin, R. E. (2003). Openness and Growth: What’s the Empirical Relationship? NBER Working Paper No 9578, National bureau of economic research, Cambridge.
Balassa, B. (1965). Trade Liberalisation and “Revealed Comparative Advantage”. The Manchester School of Economic and Social Studies, 33, 99-123.
Balassa, B. (1985). Exports, policy choices, and economic growth in developing countries after the 1973 oil shock. Journal of Development Economics, 18(1), 23-35.
Bojnec Š. (2001). Trade and Revealed Comparative Advantage Measures (Regional and Central and East European Agricultural Trade). Eastern European Economics, 39(1), 72-98.
Bojnec, Š. & Fertö, I. (2007). Comparative Advantages in Agro-Food Trade of Hungary, Croatia and Slovenia with the European Union. .Discussion Paper No. 106, IAMO, Halle, Germany.
Bolјanović, S. (2013). A comparative analysis of the impact of foreign direct investments on the structure and specialization of Serbian and Hungarian export. Ekonomske teme, 51(1), 37-57. [in Serbian: Бoљaнoвић, С. (2013), Кoмпaрaтивнa aнaлизa утицaja стрaних дирeктних инвeстициja нa структуру и спeциjaлизaциjу српскoг и мaђaрскoг извoзa].
Božić, D. & Nikolić, M. (2013-a). Significance and Comparative Advantages of the Agrarian Sector in Serbian Foreign Trade. 50th Anniversary of Department of Agricultural Economics – Thematic Proceedings Agriculture and Rural Development – Challenges of Transition and Integration Processes, Faculty of Agriculture, University of Belgrade, 13-31.
Božić, D. & Nikolić, M. (2013-b). Regional Analysis of Agricultural and Food Trade of Serbia. 135 EAAE Seminar Challenges for the Global Agricultural Trade Regime after Doha, Belgrade, 83-98.
Božić, D. & Nikolić, M. (2016). Characteristics of Serbian Foreign Trade of Agricultural and Food Products. Marketing, 47(4), 293-304. [in Serbian: Божић, Д. & Николић, М. (2016), Обележја спољнотрговинске размене пољопривредно-прехрамбених производа Србије].
Božić, D. & Nikolić, M. (2017). Serbian foreign trade and importance of agrarian sector. Teme, 41(3), 711-731. [in Serbian: Божић, Д. & Николић, М. (2017), Спољнотрговинска размена Србије и значај аграрног сектора].
Fertö, I. & Hubbard, J. L. (2002). Revealed Comparative Advantage and Competitiveness in Hungarian Agri-Food Sectors. Discussion Papers, 2002/8, Institute of Economics Hungarian Academy of Sciences, Budapest.
Freebairn, J. (1986). Implications of Wages and Industrial Policies on Competitiveness of Agricultural Export Industries. Review of Marketing and Agricultural Economics, 55(1), 79-87.
Frohberg Klaus, Hartmann Monika (1997): Comparing Measures of Competitiveness, Discussion Paper No. 2, Institute of Agricultural Development in Central and Eastern Europe (IAMO), Halle/Saale.
Haddad, M. E., Lim, J. J. & Saborowski, C. (2011). Trade Openness Reduces Growth Volatility When Countries are Well Diversified. Policy Research Working Papers 5222, World Bank, Washington.
Jaćimović, D., Bjelić, P. & Marković, I. (2013). The impact of the world economic crisis on foreign investments and trade flows in the Western Balkans. Ekonomske teme, 51(1), 1-20. [in Serbian: Jaћимoвић, Д., Бjeлић, П. & Maркoвић, И. (2013), Утицaj свeтскe eкoнoмскe кризe нa мeђунaрoднe инвeстициoнe и тргoвинскe тoкoвe у рeгиoну Зaпaднoг Бaлкaнa].
Jefferson Institute (2003). Competitives of Serbian economy. Belgrade. [in Serbian: Jefferson Institute (2003), Конкурентност привреде Србије].
Liesner, H. H. (1958). The European Common market and British industry. Economic Journal, 68(270), 302-316.
Porter, M. E. (1990). The Competitive Advantage of Nations, London: Macmillian.
Šegota A., Tomljanović M. & Huđek I. (2017). Contemporary approaches to measuring competitiveness – the case of EU member states. Zbornik radova Ekonomskog fakulteta u Rijeci, 35(1), 123-150.
Tešić, J. (2013). Openness to trade and competitiveness of small transitional economies. Acta Economica, 11(18), 317-336. [in Serbian: Тешић, Ј. (2013), Отвореност и конкурентност малих транзиционих привреда].
United Nations Conference for Trade and Development, UNCTAD’s Trade Analysis and Information System – TRAINS Database
Utkulu U. & Seymen, D. (2004). Revealed Comparative Advantage and Competitiveness: Evidence for Turkey vis-avis the EU 15. The European Trade Study Group-ETSG 6th Annual Conference, Nottingham.
Vollrath T. L. (1991). A Theoretical Evaluation of Alternative Trade Intensity Measures of Revealed Comparative Advantage. Weltwirt-schaftliches Archiv, 127, 265-280.
World Economic Forum (2018). Global Competitiveness Report 2018, Geneva.
How to Cite
BOŽIĆ, Dragica; NIKOLIĆ, Marija. FOREIGN TRADE AND COMPARATIVE ADVANTAGES OF AGRARIAN SECTOR OF SERBIA AND SURROUNDING COUNTRIES. Economics of Agriculture, [S.l.], v. 66, n. 3, p. 737-753, sep. 2019. ISSN 2334-8453. Available at: <>. Date accessed: 14 apr. 2021. doi:
Original scientific papers