Trade Competitiveness of Agroforestry Crop Sector in Sri Lanka

<p>A significant change in the composition of agricultural exports from major plantation crops to non-traditional tree crops such as spices, fruits, and timber which mainly originated from small holder agroforestry systems is evident during the last few decades in Sri Lanka. Development of sup...

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Main Authors: S Thamiem, J Weerahewa, DKNG Pushpakumara, VP Singh
Format: Article
Language:English
Published: Postgraduate Institute of Agriculture, University of Peradeniya 2011-11-01
Series:Tropical Agricultural Research
Subjects:
Online Access:https://tar.sljol.info/articles/3784
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author S Thamiem
J Weerahewa
DKNG Pushpakumara
VP Singh
author_facet S Thamiem
J Weerahewa
DKNG Pushpakumara
VP Singh
author_sort S Thamiem
collection DOAJ
description <p>A significant change in the composition of agricultural exports from major plantation crops to non-traditional tree crops such as spices, fruits, and timber which mainly originated from small holder agroforestry systems is evident during the last few decades in Sri Lanka. Development of supply chain for products that are competitive in the world market will enable small holder farmers to reap the economic benefits from agroforestry systems and will make such systems economically viable. The objective of this work was to analyze the trade competitiveness of agroforestry crop sector in the country. Revealed Comparative Export Advantage (RXA), Relative Trade Advantage (RTA) and Revealed Comparative Advantage (RCA) indices were computed for 580 agroforestry products using data extracted from the trade map at the HS level 6. The 580 products were grouped into 82 categories based on the crop origin. The analysis revealed that on average, 58 products had both relative export advantage and revealed comparative advantage and 124 products had relative trade advantage at HS 6 level during 2001-2008. Among the non-traditional exports, fruit crops (avocado, papaya, citrus, pineapple, cashew, lemon and lime, guava, mango, mangosteen and durian), root crops (manioc and arrowroot), medicinal plants (ginger and turmeric), cardamom, coffee, mushroom, bamboo, vanilla, cocoa and beans were found to be competitive in the world market according to relative trade advantage index. Cinnamon fetched the highest RXA, RTA and RCA values, followed by tea, cloves, coconut and nutmeg. The United Arab Emirates, France and Germany were found to be the major export destinations for the products that are highly competitive.</p> <p><strong>Key words: </strong>Agroforestry; Comparative advantage; Sri Lanka</p><p>DOI: http://dx.doi.org/10.4038/tar.v22i4.3784</p><p><em>TAR </em>2011; 22(4): 338-347</p>
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spelling doaj.art-b431b2ea8fb74260a4d9abc54d4124662022-12-22T01:00:08ZengPostgraduate Institute of Agriculture, University of PeradeniyaTropical Agricultural Research1016-14222011-11-0122433834710.4038/tar.v22i4.37843142Trade Competitiveness of Agroforestry Crop Sector in Sri LankaS Thamiem0J Weerahewa1DKNG Pushpakumara2VP Singh3Postgraduate Institute of Agriculture, University of PeradeniyaDepartment of Agricultural Economics and Business Management, Faculty of Agriculture, University of Peradeniya, PeradeniyaDepartment of Crop Science, Faculty of Agriculture, University of Peradeniya, PeradeniyaRegional Representative for South Asia, World Agroforestry Centre (ICRAF)<p>A significant change in the composition of agricultural exports from major plantation crops to non-traditional tree crops such as spices, fruits, and timber which mainly originated from small holder agroforestry systems is evident during the last few decades in Sri Lanka. Development of supply chain for products that are competitive in the world market will enable small holder farmers to reap the economic benefits from agroforestry systems and will make such systems economically viable. The objective of this work was to analyze the trade competitiveness of agroforestry crop sector in the country. Revealed Comparative Export Advantage (RXA), Relative Trade Advantage (RTA) and Revealed Comparative Advantage (RCA) indices were computed for 580 agroforestry products using data extracted from the trade map at the HS level 6. The 580 products were grouped into 82 categories based on the crop origin. The analysis revealed that on average, 58 products had both relative export advantage and revealed comparative advantage and 124 products had relative trade advantage at HS 6 level during 2001-2008. Among the non-traditional exports, fruit crops (avocado, papaya, citrus, pineapple, cashew, lemon and lime, guava, mango, mangosteen and durian), root crops (manioc and arrowroot), medicinal plants (ginger and turmeric), cardamom, coffee, mushroom, bamboo, vanilla, cocoa and beans were found to be competitive in the world market according to relative trade advantage index. Cinnamon fetched the highest RXA, RTA and RCA values, followed by tea, cloves, coconut and nutmeg. The United Arab Emirates, France and Germany were found to be the major export destinations for the products that are highly competitive.</p> <p><strong>Key words: </strong>Agroforestry; Comparative advantage; Sri Lanka</p><p>DOI: http://dx.doi.org/10.4038/tar.v22i4.3784</p><p><em>TAR </em>2011; 22(4): 338-347</p>https://tar.sljol.info/articles/3784agroforestrycomparative advantagesri lanka
spellingShingle S Thamiem
J Weerahewa
DKNG Pushpakumara
VP Singh
Trade Competitiveness of Agroforestry Crop Sector in Sri Lanka
Tropical Agricultural Research
agroforestry
comparative advantage
sri lanka
title Trade Competitiveness of Agroforestry Crop Sector in Sri Lanka
title_full Trade Competitiveness of Agroforestry Crop Sector in Sri Lanka
title_fullStr Trade Competitiveness of Agroforestry Crop Sector in Sri Lanka
title_full_unstemmed Trade Competitiveness of Agroforestry Crop Sector in Sri Lanka
title_short Trade Competitiveness of Agroforestry Crop Sector in Sri Lanka
title_sort trade competitiveness of agroforestry crop sector in sri lanka
topic agroforestry
comparative advantage
sri lanka
url https://tar.sljol.info/articles/3784
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AT jweerahewa tradecompetitivenessofagroforestrycropsectorinsrilanka
AT dkngpushpakumara tradecompetitivenessofagroforestrycropsectorinsrilanka
AT vpsingh tradecompetitivenessofagroforestrycropsectorinsrilanka