Competitiveness in International Orange Trade

Jámbor, Attila – Czirkl, Dorottya

Keywords: agricultural trade, orange, comparative advantages, Q17

This article examines the competitiveness of the international orange trade over the period 1993-2018 based on global data. The research uses the methodology of comparative advantages to analyse the commercial data of fresh orange and orange juice. The results of the study revealed that which countries are the largest producers and exporters of orange and orange juice in the world and shows that these states focus on trade in processed products or fresh fruit. Although Brazil is the world’s largest orange-producing country, they are not among the top10 countries in the fruit market, representing that the state mainly focuses on processing. Brazil accounts 50-60 percent of the world orange juice exports stably. Besides, there is no high concentration in the export market for fresh oranges. However, Spain’s share is growing steadily, as well as South Africa and Egypt can be mentioned as emerging nations. With further analysis of the international orange trade, Egypt’s comparative advantage over fresh oranges has increased the most and had the highest results in recent periods followed by South Africa, Greece and Spain. Examining the trade in orange juice it is not surprising that Brazil had the largest comparative advantage, although its value is constantly declining. With a dynamic analysis of comparative advantages, a large decrease can be observed in the chance of survival of the advantages.

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