Assessing Effective Factors on Export of Iran’s Date to European Unio

Document Type : Research Paper

Authors

1 professor of Agricultural Economics, Department of Agricultural Economics, Ferdowsi University of Mashhad

2 phD student Department of Agricultural Economics, Faculty of Agriculture, Ferdowsi University of Mashhad

Abstract

Agricultural sector is the most influential sector in developing countries like Iran. Regarding climatic conditions and natural resources of Iran, there are High productive capability and therefore the export of many agricultural products that it requires extensive trade relations with other countries. Dates is one of the most important agricultural export product in Iran, which with the advent of export powers in recent years, its position has lost in the Europe Union market as one of the high-income markets. So, the aim of study is assessing effective factors on Iran’s Dates to Europe Union. In order to achieve this aim is used gravity model by PPML and LSDV methods. For estimating model, data is used in period of 2004-13. Our analysis establishes four important results. First, PPML estimator had more consistent results in comparison with LSDV estimator in assessing effective factors on export of Iran’s Dates to EU. Second, Traditional variables such as GDP per capita, credit, openness and access to high seas respectively with coefficient 0.980, 0.489, 0.331 and 2.880 have a significantly positive impact and Distance (-1.609) has a significantly negative impact on export of Iran’s Dates. Third, global crisis has a significantly negative impact on export of Iran to EU. Fourth, EU’s re-exporter also has a significantly positive impact on export of Iran’s Dates, which they will become a serious threat to Iran in global market in the long term.

Keywords

References

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Agricultural Economics
Volume 14, Issue 2 - Serial Number 2
September 2020
Pages 131-153

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