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Exports of Mangoes from Pakistan: Determinants and Competitiveness


Article Information

Title: Exports of Mangoes from Pakistan: Determinants and Competitiveness

Authors: Rabia Bashart, Manan Aslam, Arbaz Khan, Abdul Rehman, Hammad Ahmad Bhatti, Muhammad Ali Imran, Mohsin Raza, Azhar Munir

Journal: Journal of Arable Crops and Marketing (JACM)

HEC Recognition History
Category From To
Y 2024-10-01 2025-12-31
Y 2023-07-01 2024-09-30
Y 2022-07-01 2023-06-30

Publisher: AgroTech Innovations (SMC-Private) Limited

Country: Pakistan

Year: 2023

Volume: 5

Issue: 1

Language: English

DOI: 10.33687/jacm.005.01.4889

Keywords: Gravity ModelExportMangoCompetitivenessRCA

Categories

Abstract

Pakistan, with limited export commodities and markets, grapples with a persistent trade deficit, making its agricultural sector pivotal to the economy. This study delves into the contemporary economic concept of competitiveness, aiming to evaluate and identify determinants influencing the export of mangoes—a significant contributor to the agricultural GDP at 2.48%. Comparative advantage, rather than competitive profit, serves as a more apt term in the realm of trade theory. In this research both time series and panel data was used. The data was collected from secondary sources from multiple sites and main among these were UN-FAO, AMIS, WDI and WITS. Gravity model were used to find the determinants that provided estimation of exports between the Pakistan and other countries. The variables studied in this research were export quantity, export value and export price between Pakistan and its major exporters. Collected data was analyzed through appropriate statistical technique using RCA indices and their extensions. Findings of the study were expected to be helpful in developing some strategies to increase exports of mango from Pakistan. The determinants nominal GDP’s for both Pakistan and importing countries, exchange rate and mango area evaluated for mango were significant. This research results showed that Pakistan is quite stable in mango production and much more efforts are needed to ensure and maximize improvements in export of varieties of mango production.


Research Objective

To evaluate and identify the determinants influencing the export of mangoes from Pakistan and assess its competitiveness in the global market.


Methodology

The study employed both time series and panel data collected from secondary sources including UN-FAO, AMIS, WDI, and WITS. A gravity model was used to determine the factors influencing Pakistan's mango exports. Various Revealed Comparative Advantage (RCA) indices and their extensions were calculated and analyzed. The Hausman-Taylor estimation technique was utilized for the gravity model analysis.

Methodology Flowchart
                        graph TD
    A[Data Collection Time Series & Panel Data] --> B[RCA Index Calculation];
    A --> C[Gravity Model Estimation];
    B --> D[Analysis of Comparative Advantage];
    C --> E[Identification of Export Determinants];
    D --> F[Results and Discussion];
    E --> F;
    F --> G[Conclusion];                    

Discussion

The study highlights Pakistan's stable mango production but emphasizes the need for enhanced efforts to improve export quality and quantity. While Pakistan possesses comparative advantages, challenges such as food security, import quarantine requirements, and sanitary and phytosanitary (SPS) constraints need to be addressed to ensure consistent export competitiveness. The research also points to the importance of value-added products and improved supply chain management.


Key Findings

Pakistan has a comparative advantage in mango production and export. Key determinants influencing mango exports include nominal GDP of importing countries, exchange rate, and mango area. The unit price of mangoes has a significant negative impact on export volume.


Conclusion

Pakistan's mango export sector is crucial for its economy. While the country demonstrates comparative advantage, strategic improvements in production, quality control, value addition, and market access are necessary to maximize export potential and address challenges in the global market.


Fact Check

- Pakistan's agricultural sector contributes 2.48% to its GDP. (Confirmed in abstract)
- Pakistan ranks sixth globally in mango cultivation. (Confirmed in introduction)
- The study utilized data from 2001 through 2020 for international trade statistics. (Confirmed in Material and Methods)


Mind Map

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