COMPETITIVENESS OF THE AGRI-FOOD SECTOR OF SERBIA THROUGH THE PERSPECTIVE OF UNIT VALUES OF EXPORTS AND IMPORTS

Milan Marković; Zoran Simonović

doi:10.59267/ekoPolj2502469M

Authors

Milan Marković Senior Research Associate, Innovation Centre of the University of Niš, University of Niš, Univerzitetski trg 2, 18000 Niš, Serbia
Zoran Simonović Senior Research Associate, Institute of Agricultural Economics, Volgina 15, 11060 Belgrade, Serbia

DOI:

https://doi.org/10.59267/ekoPolj2502469M

Keywords:

export competitiveness, agrifood export, export unit values (EUV), import unit values (IUV)

Abstract

The paper aims to investigate the export competitiveness of the Serbian agricultural and food (agri-food) sector at the divisional level. The core of the methodological approach is the calculation of export unit values (EUV) and import unit values (IUV) using data from the Statistical Office of the Republic of Serbia (SORS). The paper looks at export values, unit values, net exports, and competitiveness factors of the agri-food divisions for 2023. The obtained values indicate that Vegetables and Fruits is the division that has the largest share in agri-food exports, shows excellent terms of trade, and belongs to the group (category) of rare divisions that achieve competitiveness with quality. The Tobacco division is another important chapter of the agri-food sector, which also achieves non price competitiveness, has a positive terms of trade and significant net exports, which are very good circumstances in conditions of the necessary structural changes and sustainable export growth of the overall sector. These highly propulsive divisions show the greatest potential for development and increase in the degree of processing, so in the future they should be further supported by the measures of the agricultural policy of Serbia.

Downloads

Author Biographies

Milan Marković, Senior Research Associate, Innovation Centre of the University of Niš, University of Niš, Univerzitetski trg 2, 18000 Niš, Serbia

Ph.D. in Economics, Senior Research Associate

Zoran Simonović, Senior Research Associate, Institute of Agricultural Economics, Volgina 15, 11060 Belgrade, Serbia

Ph.D. in Economics, Senior Research Associate

References

Aiginger, K. (1997). The use of unit values to discriminate between price and quality competition. Cambridge Journal of Economics, 21(5), 571–592. https://doi.org/10.1093/oxfordjournals.cje.a013687

Deaton, A. (1988). Quality, quantity, and spatial variation of price. The American Economic Review, 418–430.

Dimitrijević, M., Ristić, L., & Despotović, D. (2023). Agri-Food Products Quality as Exports Competitiveness Determinant of the Republic of Serbia. Facta Universitatis, Series: Economics and Organization, 20(2), 117–133. https://doi.org/10.22190/FUEO230412008D

Durand, M., Simon, J., & Webb, C. (1992). OECD’s Indicators of International Trade and Competitiveness (No. 120). OECD Publishing.

Fischer, C. (2010). Food quality and product export performance: An empirical investigation of the EU situation. Journal of International Food & Agribusiness Marketing, 22(3-4), 210–233. https://doi.org/10.1080/08974431003641265

Juhász, A., & Wagner, H. (2013). An analysis of Hungarian agri-food export competitiveness. Studies in Agricultural Economics, 115(3), 150–156. http://dx.doi.org/10.7896/j.1311

Lădaru, G. R., Lombardi, M., Petre, I. L., Dobrotă, C. E., Platania, M., Mocanu, S. (2024). Analysis of Export Competitiveness of Agri-Food Products at the EU-27 Level through the Perspective of Technical Complexity. Sustainability, 16, 5807. https://doi.org/10.3390/su16135807

Marković, M., & Marjanović, I. (2021). The importance of fruit and vegetables in the external trade of the Republic of Serbia. Economic Themes, 59(4), 497–513. https://doi.org/10.2478/ethemes-2021-0028

Marković, M., Krstić, B., Popović, S. (2022). Competitiveness of agri-food exports of the Republic of Serbia in the COVID-19 conditions. Eкoномика пољопривреде/Economics of Agriculture, 69(1), 227–239. https://doi.org/10.5937/ekoPolj2201227M

Matkovski, B., Kalaš, B., Zekić, S., & Jeremić, M. (2019). Agri-food competitiveness in South East Europe. Outlook on Agriculture, 48(4), 326–335. https://doi.org/10.1177/0030727019854770

Matkovski, B., Lovre, K., & Zekić, S. (2017). The foreign trade liberalization and export of agri-food products of Serbia. Agricultural Economics/Zemědělská Ekonomika, 63(7), 331–345. https://doi.org/10.17221/345/2015-AGRICECON

Matkovski, B., Zekić, S., Jurjević, Ž., & Đokić, D. (2022). The agribusiness sector as a regional export opportunity: Evidence for the Vojvodina region. International Journal of Emerging Markets, 17(10), 2468–2489. https://doi.org/10.1108/IJOEM-05-2020-0560

McKelvey, C. (2011). Price, unit value, and quality demanded. Journal of Development Economics, 95(2), 157–169. https://doi.org/10.1016/j. jdeveco.2010.05.004

Milenković, A., Jovanović, M., & Milošević, I. (2023). The analysis of the impact of Covid-19 pandemic on commodity exchange of the Republic of Serbia with Western Balkan countries. Economics of Sustainable Development/Ekonomika održivog razvoja, 7(1), 61-77. https://doi.org/10.5937/ESD2301061M

Mizik, T. (2021). Agri-food trade competitiveness: A review of the literature. Sustainability, 13(20), 11235. https://doi.org/10.3390/su132011235

Mrdalj, V., Ostojić, A., & Vaško, Ž. (2022). Export competitiveness of milk and dairy products of the Republic of Srpska on the international market. Agroznanje, 23(2), 97–113. https://doi.org/10.7251/AGREN2202097M

Nikolić, M., Božić, I., & Božić, D. (2023). Foreign Trade and Competitiveness of Raspberry of the Republic of Serbia and Selected Countries. Економика пољопривреде/Economics of Agriculture, 70(3), 797–812. https://doi.org/10.59267/ekoPolj2303797N

OECD (2008). OECD Glossary of Statistical Terms. Paris: OECD.

Pantović, D., Bošković, N., & Petrović, T. (2022). Measuring Convergence in Tourism Competitiveness of Natural and Cultural Resources: A Case of the Balkans and Eastern Europe. Ekonomický časopis, 910 (70/2022), 703 – 722. Doi: https://doi.org/10.31577/ekoncas.2022.09-10.02

Pantović, D., Kostić, M., Veljović, S., Luković, M. (2023). Evaluation Model of Environmental Sustainable Competitive Tourism Based on Entropy, Problemy Ekorozwoju/ Problems of Sustainable Development, 18(2): 193-203.

Paul, J., & Dhiman, R. (2021). Three decades of export competitiveness literature: systematic review, synthesis and future research agenda. International Marketing Review, 38(5), 1082–1111. https://doi.org/10.1108/IMR-12-2020-0295

Sharma, O. P. (1992). Export competitiveness: Some conceptual issues. Foreign Trade Review, 27(2), 159–176.

Sharples, J., Milham, N. (1990), “Long-run competitiveness of Australian agriculture”, Working Paper, (147996), United States Department of Agriculture, Economic Research Service, New York.

Statistical Office of the Republic of Serbia (SORS) (2024, July 16). Database. https://data.stat.gov.rs/Home/Result/1701?languageCode=en-US

United Nations (2006). Standard International Trade Classification Revision 4. Department of Economic and Social Affairs, Statistics Division. Statistical Papers Series M No. 34/Rev. 4. https://unstats.un.org/unsd/publication/seriesm/seriesm_34rev4e.pdf

Verma, S. (2002). Export competitiveness of Indian textile and garment industry. Indian Council for Research on International Economic Relations, Working Paper, 94.

Verter, N., Zdráhal, I., Bečvářová, V., & Grega, L. (2020). Products mapping’ and trade in agri-food products between Nigeria and the EU28. Agricultural Economics/Zemědělská Ekonomika, 66, 34–45. https://doi.org/10.17221/145/2019-AGRICECON