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2021 | OriginalPaper | Buchkapitel

14. Protection Structure and Comparative Advantage in Primary and Processed Agriculture Exports

verfasst von : Abhishek Jha, Seema Bathla

Erschienen in: Agro and Food Processing Industry in India

Verlag: Springer Singapore

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Abstract

India has substantially reduced tariffs and non-tariff barriers in agriculture, industry and services sectors—following rapid transformations in the world trade and the Structural Adjustment Program of the World Bank, and in consonance with the stipulations of the World Trade Organization (WTO).India has a comparative advantage in rice, fish, meat, sugar, oilseeds and spices, and it has become a net exporter of agriculture commodities, but it still ranks poorly among agriculture-exporting countries.

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Fußnoten
1
ITC-HS Codes, known as Indian Trade Clarification based on Harmonized System of Coding was adopted in India for import–export operations.
 
2
The nominal rate of protection (NRP) on any good is the proportional difference between its domestic and international price arising from the trade policies in question. The major policies include import tariffs, export taxes, quantitative and other restrictions, licensing requirements, rules of origin, local purchase requirements, etc.
 
3
The Nominal Protection Coefficient (NPC) is the simplest measure of trade protection. The NPC of a commodity is defined as the ratio of its domestic price to its international reference price.
 
4
The RC index is a measure of how able a country is in the allocation of resources for exports adjusted for imports in comparison to the rest of the world. If a country’s value of RC in a commodity is greater than zero or positive, it indicates to possess comparative advantage to export (Vollrath 1991).
 
5
The use of the Balassa index in regression is problematic because its distribution is non-symmetrical. It violates the assumption of the normal distribution of error terms, which makes the t-statistics invalid. In contrast, the Dalum index has a symmetric nature, as its value equals \(\frac{{BI}_{ij}-1}{{BI}_{ij}+1}\).
 
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Metadaten
Titel
Protection Structure and Comparative Advantage in Primary and Processed Agriculture Exports
verfasst von
Abhishek Jha
Seema Bathla
Copyright-Jahr
2021
Verlag
Springer Singapore
DOI
https://doi.org/10.1007/978-981-15-9468-7_14

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