Economies

Research

30 pages, 2904 KiB

Open AccessArticle

The Development of Indigofera spp. as a Source of Natural Dyes to Increase Community Incomes on Timor Island, Indonesia

by Retno Agustarini, Yetti Heryati, Yelin Adalina, Wahyu Catur Adinugroho, Dhany Yuniati, Rizki Ary Fambayun, Gerhard Eli Sabastian, Asep Hidayat, Hesti Lestari Tata, William Ingram and Aulia Perdana

Economies 2022, 10(2), 49; https://doi.org/10.3390/economies10020049 - 15 Feb 2022

Cited by 13 | Viewed by 5412

Abstract

A strategy that has the potential to contribute to the achievement of the targets established under SDG 8 (“Decent Work and Economic Growth”) involves the development of sustainable tourism to create productive job and livelihood opportunities and to promote local culture and products. [...] Read more.

A strategy that has the potential to contribute to the achievement of the targets established under SDG 8 (“Decent Work and Economic Growth”) involves the development of sustainable tourism to create productive job and livelihood opportunities and to promote local culture and products. In the province of East Nusa Tenggara (NTT), Indonesia, ikat weaving is an integral part of the cultural heritage of the region, with ikat characterized by unique design motives and the use of natural dyes. Unfortunately, in some areas, the use of natural dyes is diminishing as a result of competition with synthetic dyes and the limited availability of raw materials, particularly for the production of blue dye. The development of Indigofera spp. to produce natural, plant-based blue dye has significant potential to contribute to community incomes and employment. This study outlines a strategy for developing the use of Indigofera spp. as a natural dye and describes its potential for contributing to community incomes, especially on Timor Island, NTT. The study shows that weavers currently use indigo plants that grow naturally in gardens and yards. Although the community has a tradition of using these plants, informed by local wisdom, to develop the cultivation and processing of this plant through the application of the appropriate techniques, including innovative approaches to producing indigo paste, could enable the development of Indigofera spp. cultivation on a larger scale. The study shows that the availability of suitable land is high (±370 thousand ha), with 80% of the suitable land being categorized as critical. The study proposes a development based on the analysis of strengths, weaknesses, opportunities, and threats to assess the manner in which these opportunities could be leveraged with the support and participation of local communities and other stakeholders by leveraging the culture and wisdom of the community regarding the use of Indigofera spp. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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15 pages, 1060 KiB

Open AccessArticle

Promotion of European Wines in Third Countries within the Common Market Organisation Framework: The Case of France

by Angelo Puccia, César M. Mora Márquez and Julia M. Núñez-Tabales

Economies 2022, 10(2), 41; https://doi.org/10.3390/economies10020041 - 2 Feb 2022

Cited by 1 | Viewed by 2969

Abstract

The international wine market has undertaken important structural changes in the first decades of the 21st century, both in terms of demand and offer. In order to mitigate the effect deriving from the increase in competition, the European Union (EU) continues to allocate [...] Read more.

The international wine market has undertaken important structural changes in the first decades of the 21st century, both in terms of demand and offer. In order to mitigate the effect deriving from the increase in competition, the European Union (EU) continues to allocate important resources to increase the competitiveness of the winemaking sector by means of its Common Agricultural Policy (CAP) and the Common Market Organization (CMO). This paper aims to understand which factors have an influence on the correct implementation of the CMO measure of promotion in the principal wine exporter country: France. A fuzzy-set model (fs/QCA) has been utilized, studying a period of 10 years since 2009. Results show that is it possible to obtain a better execution ratio of measure of promotion by adapting some key factors, such as CMO budget allocation. These findings could support French national and regional authorities in the task of planning. Moreover, other Member States (MS) could also benefit, since in the new CAP approach, a higher participation in strategic plans is required for them by the EU. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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27 pages, 2110 KiB

Open AccessArticle

Spatial Market Integration: A Case Study of the Polish–Czech Milk Market

by Monika Roman and Zdeňka Žáková Kroupová

Economies 2022, 10(1), 25; https://doi.org/10.3390/economies10010025 - 13 Jan 2022

Cited by 5 | Viewed by 4490

Abstract

Analyses of spatial market integration contributes to the knowledge about market efficiency and provides information to policymakers, as the spatial integration of markets contributes to competitiveness and economic development. Although the integration of agri-food markets is widely discussed in the economic literature, research [...] Read more.

Analyses of spatial market integration contributes to the knowledge about market efficiency and provides information to policymakers, as the spatial integration of markets contributes to competitiveness and economic development. Although the integration of agri-food markets is widely discussed in the economic literature, research on the dairy sector is relatively limited. This paper fulfils the research gap with an in-depth investigation of spatial milk and dairy product market integration between two neighboring countries—Poland and Czechia—using regional data, and including both production and processing levels. The econometric analysis of time series covering the period 2001–2021 reveals that only long-run milk and skimmed milk powder (SMP) price relationships are between the Czech Republic and Poland. The results of the study confirm that the factors influencing spatial price relationships between the Czech Republic and Poland are: strong trade ties, the common moment of accession to the EU, a close distance between markets, and region specialization. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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17 pages, 553 KiB

Open AccessArticle

Effects of Insurance Adoption and Risk Aversion on Agricultural Production and Technical Efficiency: A Panel Analysis for Italian Grape Growers

by Simone Russo, Francesco Caracciolo and Cristina Salvioni

Economies 2022, 10(1), 20; https://doi.org/10.3390/economies10010020 - 10 Jan 2022

Cited by 6 | Viewed by 4282

Abstract

This article aims to evaluate the effect of insurance on production, technical efficiency, and input use of Italian specialised-quality grape growers. A panel instrumental variable stochastic frontier approach is applied over the years 2008–2017 using data from the Farm Accountancy Data Network. The [...] Read more.

This article aims to evaluate the effect of insurance on production, technical efficiency, and input use of Italian specialised-quality grape growers. A panel instrumental variable stochastic frontier approach is applied over the years 2008–2017 using data from the Farm Accountancy Data Network. The results show the requirement to correct for the endogeneity that stems from insurance adoption. Insurance has an enhancing effect on production and efficiency and reduces the use of intermediate inputs. It suggests that insurance helps to diminish the risk-averse farmers’ suboptimal input use due to the presence of uncertainty. Crop insurance leads risk-averse farmers to behave as if they were risk neutral and employs the profit-maximising input vector. Therefore, by reducing the risks linked to the uncertainty of outcomes, crop insurance leads grape growers to go in the direction of profit maximisation. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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19 pages, 767 KiB

Open AccessArticle

Socio-Economic Impact of the Interest-Free Community Investment Fund: A Case Study of Rural Sindh, Pakistan

by Pervaiz Ahmed Memon, Muhammad Ramzan Kalhoro, Kiran Tariq, Paras Sindhu and Suman Shaikh

Economies 2022, 10(1), 18; https://doi.org/10.3390/economies10010018 - 7 Jan 2022

Cited by 1 | Viewed by 3196

Abstract

This study aims to measure the impact of an intervention, the Community Investment Fund (CIF), on the socio-economic life of rural women. CIF is a community-managed fund aimed at improving the living standards of women by empowering them to undertake income-generating projects to [...] Read more.

This study aims to measure the impact of an intervention, the Community Investment Fund (CIF), on the socio-economic life of rural women. CIF is a community-managed fund aimed at improving the living standards of women by empowering them to undertake income-generating projects to become financially more stable and self-governed in the Khairpur, Shikarpur, Kandhkot-Kashmore and Jacobabad districts of Sindh, Pakistan. This study used a quasi-experimental design approach that involved two groups, i.e., the treatment group (beneficiaries) and control group (non-beneficiaries). The sample size of this study was 708 respondents including the treatment and control group. The results of comparison of mean indicate that there is a significant difference between treatment and control group in terms of socio-demographic variables (including monthly income and consumption, saving amount, total asset value, an asset purchased value and household diet) and women empowerment’s indicators, thereby suggesting that CIF has resulted in women empowerment. Concerning the results of the poverty scorecard, the higher graduation of beneficiaries (treatment group) asserts that the intervention of CIF has also a positive impact on targeted beneficiaries. In particular, the findings indicate that 72% of beneficiaries (treatment group) have graduated from one poverty band to another higher band compared to 59.4% of non-beneficiaries (control group) in poverty score. In addition, the findings of the logistic regression analysis confirmed that participation in the CIF program empowers women beneficiaries. This study will support policymakers to further improve CIF so that it can become more effective and sustainable. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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17 pages, 1811 KiB

Open AccessArticle

External and Internal Shocks and the Movement of Palm Oil Price: SVAR Evidence from Malaysia

by Mohd Azlan Shah Zaidi, Zulkefly Abdul Karim and Noor Amirah Zaidon

Economies 2022, 10(1), 7; https://doi.org/10.3390/economies10010007 - 27 Dec 2021

Cited by 6 | Viewed by 5269

Abstract

Movements in palm oil price give important signals to various stakeholders of the palm oil industry in Malaysia. Thus, understanding external and internal factors that may affect the palm oil price is vital to the industry players for sustainability of their activities. This [...] Read more.

Movements in palm oil price give important signals to various stakeholders of the palm oil industry in Malaysia. Thus, understanding external and internal factors that may affect the palm oil price is vital to the industry players for sustainability of their activities. This study investigates relative importance of external and internal shocks on the movement of palm oil price in Malaysia. Employing a structural vector autoregressive (SVAR) model on quarterly data from 1990 to 2019, the findings reveal that external shocks are more dominant in affecting the palm oil price. Shocks to the crude oil price, the prices of substitution goods (soybeans oil, rapeseed oil, and sunflower oil), the world palm oil price, and foreign income significantly affect the palm oil price in the short and medium run. The results also indicate that a shock to soybean oil price has a more profound effect on the palm oil price than a shock to rapeseed oil or sunflower oil prices, respectively. Likewise, shocks to incomes from India as well as from Netherlands create greater impacts on the palm oil price than a shock to income from the other trading partners, respectively. The study has shown the importance of external factors in affecting the palm oil industry. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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17 pages, 719 KiB

Open AccessArticle

Economic Impact of Tariff Rate Quotas and Underfilling: The Case of Canned Fruit Exports from South Africa to the EU

by Chiedza L. Muchopa

Economies 2021, 9(4), 155; https://doi.org/10.3390/economies9040155 - 18 Oct 2021

Cited by 1 | Viewed by 3403

Abstract

Export trade provided for under tariff rate quotas (TRQs) is an important contributor to improving South Africa’s export access to European markets. The performance of exporter-administered TRQs has not received much research attention in the context of the below par market access utilisation [...] Read more.

Export trade provided for under tariff rate quotas (TRQs) is an important contributor to improving South Africa’s export access to European markets. The performance of exporter-administered TRQs has not received much research attention in the context of the below par market access utilisation of a given opportunity. The present study analysed how the country performed in terms of utilising its TRQ for canned pears, apricots, and peaches provided by the European Union (EU) for the period 2010 to 2019. The permit allocation system for TRQs in South Africa is described for further understanding of aspects of the TRQ system likely to affect quota fill. Performance was assessed in terms of yearly quota utilisation rates as well as welfare measured in equivalent variation calculated in a computable general equilibrium (CGE) trade model. The analysis found that the canned fruit TRQ exhibited a fill rate average of 61% for the past 10 years (2010–2019) and 49% for the period 2015–2019, thus falling far short of the goal of achieving full market access availed by the EU within the protocols of liberalised trade. The welfare effects of trade liberalisation confirmed the underutilisation of the TRQ indicated by a welfare loss, considering the difference in gains of an underutilised quota (USD 2497) and a fully utilised quota (USD 2530). The study highlights the importance of full utilisation of preferences. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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12 pages, 2421 KiB

Open AccessArticle

Cross-Correlations in Meat Prices in Brazil: A Non-Linear Approach Using Different Time Scales

by Derick Quintino, José Telo da Gama and Paulo Ferreira

Economies 2021, 9(4), 133; https://doi.org/10.3390/economies9040133 - 22 Sep 2021

Cited by 4 | Viewed by 2521

Abstract

Brazil is one of the world’s largest producers and exporters of cattle, chicken and swine. Therefore, co-movements of Brazilian meat prices are important for both domestic and foreign stakeholders. We propose to analyse the cross-correlation between meat prices in Brazil, namely, cattle, swine [...] Read more.

Brazil is one of the world’s largest producers and exporters of cattle, chicken and swine. Therefore, co-movements of Brazilian meat prices are important for both domestic and foreign stakeholders. We propose to analyse the cross-correlation between meat prices in Brazil, namely, cattle, swine and chicken, including also in the analysis information from some commodities, namely maize, soya beans, oil, and the Brazilian exchange rate. Our sample covers the recent period which coincided with extensive macroeconomic and institutional changes in Brazil, from 2011 to 2020, and is divided in two periods: (i) presidential pre-impeachment (P1), occurring in August 2016, and; (ii) post-impeachment (P2). Our results indicate that in P1, only the prices of swine and chicken showed a positive and strong correlation over time, and that cattle showed some positive correlation with chicken only in the short run. In P2, there was also a positive and consistent correlation between swine and chicken, and only a positive association with swine and cattle in the long run. For more spaced time scales (days), the changes in the degree of correlation were significant only in the long run for swine and cattle. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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10 pages, 267 KiB

Open AccessArticle

Modeling the Price Volatility of Cassava Chips in Thailand: Evidence from Bayesian GARCH-X Estimates

by Jittima Singvejsakul, Yaovarate Chaovanapoonphol and Budsara Limnirankul

Economies 2021, 9(3), 132; https://doi.org/10.3390/economies9030132 - 17 Sep 2021

Cited by 8 | Viewed by 3472

Abstract

Thailand is a significant global exporter of cassava, of which cassava chips are the main export products. Moreover, China was the most important export market for Thailand from 2000 to 2020. However, during that period, Thailand confronted fluctuations in the cassava product price, [...] Read more.

Thailand is a significant global exporter of cassava, of which cassava chips are the main export products. Moreover, China was the most important export market for Thailand from 2000 to 2020. However, during that period, Thailand confronted fluctuations in the cassava product price, and cassava chips were a product with significant price volatility, adapting to changes in export volumes. This study aims to analyze the volatility of the price of cassava chips in Thailand from 2010 to 2020. The data were collected monthly from 2010 to 2020, including the price of cassava chips in Thailand (Y), the volume of cassava China imported from Thailand (X1), the price of the cassava chips that China imported from Thailand (X2), the price of the cassava starch that China imported from Thailand (X3), the substitute crop price for maize (X4), the substitute crop price for wheat (X5), and Thailand’s cassava product export volume (X6). The volatility and the factors affecting the volatility in the price of cassava chips were calculated using Bayesian GARCH-X. The results indicate that the increase in X1, X2, X3, X4, and X6 led to an increase in the rate of change in cassava chip price volatility. On the other hand, if the substitute crop price for wheat (X5) increases, then the rate of change in the volatility of the cassava chip price decreases. Therefore, the government’s formulation of an appropriate cassava policy should take volatility and the factors affecting price volatility into account. Additionally, the government’s formulation of agricultural policy needs to consider Thailand’s macro-environmental factors and its key trading partners, especially when these environmental factors signal changes in the price volatility of cassava. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

18 pages, 1836 KiB

Open AccessArticle

Economic Evaluation of the Management of Municipal Firms at the Level of Rural Local Self-Governments (Case Study)

by Peter Ágh, Roman Vavrek, Marek Dvořák and Viera Papcunová

Economies 2021, 9(3), 130; https://doi.org/10.3390/economies9030130 - 9 Sep 2021

Cited by 2 | Viewed by 2500

Abstract

The municipality generally uses its property to perform self-governing functions, and public or business activities. In the conditions of the Slovak Republic, the municipality operates either as a legal entity in its own name or carries out business activities with the help of [...] Read more.

The municipality generally uses its property to perform self-governing functions, and public or business activities. In the conditions of the Slovak Republic, the municipality operates either as a legal entity in its own name or carries out business activities with the help of a contributory and budgetary organization or business firm established by the municipality. Revenues from business activities form an important part of the revenue of local self-government budgets. The aim of this paper was an economic evaluation of the management of municipal firms at the level of rural local self-governments in the conditions of the Slovak Republic on the basis of selected economic indicators. At the same time, we analyzed the relationship between selected economic indicators in relation to the size, lifespan and number of employees of the firm. The analysis was performed in the time period 2015–2019 on a sample of municipal firms at the level of rural local self-governments. For the analysis, we used selected mathematical–statistical methods (Shapiro–Wilk test, Kruskal–Wallis test, and regression analysis). The analysis showed that the differences in the profitability of municipal firms from the point of view of the region in which they operate as well as from the point of view of the number of employees is not statistically significant. Statistical significance was not demonstrated even within the volume of revenue of municipal firms from the point of view of the region in which the municipal firm operates. The volume of revenues of municipal enterprises with the population of the municipality as well as the length of time of operation on the market is growing, but these are not the only factors on which these results depend. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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21 pages, 1461 KiB

Open AccessArticle

Assessment of the Financial Autonomy of Rural Municipalities

by Astrida Miceikienė, Laima Skauronė and Ričardas Krikštolaitis

Economies 2021, 9(3), 105; https://doi.org/10.3390/economies9030105 - 16 Jul 2021

Cited by 7 | Viewed by 3491

Abstract

The present study demonstrates the possibilities for assessment of the financial autonomy of rural municipalities using the TOPSIS method. The study aimed to design and empirically verify the model for assessment of the financial autonomy of rural municipalities. As a result of the [...] Read more.

The present study demonstrates the possibilities for assessment of the financial autonomy of rural municipalities using the TOPSIS method. The study aimed to design and empirically verify the model for assessment of the financial autonomy of rural municipalities. As a result of the empirical study, an integrated system for assessment of the financial autonomy of rural municipalities was designed. The applicability of the TOPSIS method is demonstrated by the assessment of the financial autonomy of rural municipalities performed for two regions of Lithuania in the period 2009–2019. The empirical study showed that medium-low level of financial autonomy was characteristic of all the rural municipalities in the selected regions. On one hand, the findings suggested the presence of “convenient dependence” of the rural municipalities on the centralised allocation. On the other hand, they signalled the lack of the incentives for the rural municipalities to make use of the capacities and create sustainable, stable economic and social prospects. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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15 pages, 475 KiB

Open AccessArticle

Import Risks of Agricultural Products in Foreign Trade

by Lina Baranauskaitė and Daiva Jurevičienė

Economies 2021, 9(3), 102; https://doi.org/10.3390/economies9030102 - 5 Jul 2021

Cited by 5 | Viewed by 7925

Abstract

This paper aims to identify the main risk groups according to their significance on imports of agricultural products. After analysis of the scientific literature, eight groups of risks associated with agricultural products import were determined: supply risks, demand risks, production risks, management plus [...] Read more.

This paper aims to identify the main risk groups according to their significance on imports of agricultural products. After analysis of the scientific literature, eight groups of risks associated with agricultural products import were determined: supply risks, demand risks, production risks, management plus operational risks, logistical plus infrastructural risks, political risks, policy plus regulatory risks and financial risks. In order to assess the importance of all import risk groups, three Multicriteria decision support methods (MCDM)—SAW, TOPSIS and Geometric means—for expert evaluation are used. The article introduces a new import risks assessment framework CIRA (Country’s Imports Risk Assessment) contributing to the systematic approach of a country’s international trade risks management. The results order risk groups according to their importance in the following order: production (the most crucial risk group), logistical plus infrastructural, financial, management plus operational, political, supply, policy plus regulatory and demand risks. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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20 pages, 2535 KiB

Open AccessArticle

Mapping Online Geographical Indication: Agrifood Products on E-Commerce Shelves of Mercosur and the European Union

by Guilherme Silva Fracarolli

Economies 2021, 9(2), 84; https://doi.org/10.3390/economies9020084 - 28 May 2021

Cited by 3 | Viewed by 4176

Abstract

The agrifood products market has never before contained as many niches than it does at this moment in history. The use of geographical indication (GIs) is one of the oldest ways of granting protection for and promoting these goods. Although they date back [...] Read more.

The agrifood products market has never before contained as many niches than it does at this moment in history. The use of geographical indication (GIs) is one of the oldest ways of granting protection for and promoting these goods. Although they date back thousands of years, only since the Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement has there been a common understanding in regard to their use. Although the GI system has the same structure globally, each region shows different performance. Therefore, the influence of institutions in this market is still an enigma to be explored. In this work, we sought to compare the performance of Mercosur and the European Union in relation to GI products and categories in this exchange arena by analyzing e-retail supermarkets. To do so, we collected data from 44 online supermarkets from both economic blocs and analyzed the relevant attributes of the products offered. Then, we compared both blocs through the use of graphics and economic sociology tools. We present novel results relating to differences in GI performance, discuss the reasons for such differences and examine the construction of the market. Our results show that the EU had significantly more products than Mercosur and had a wider variety of GI products on e-retail shelves. Moreover, in the EU, the advertised products originated mainly from within the economic bloc, whereas the majority of GI products advertised in Mercosur originated primarily from abroad. This difference indicates to dominance of the EU’ systems, demonstrating that its institutions are effective in terms of trade and commerce development mechanisms. However, in both blocs, a restricted number of categories and registers were found. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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21 pages, 1645 KiB

Open AccessArticle

Sustainable Economy and Development of the Rural Territory: Proposal of Wine Tourism Itineraries in La Axarquía of Malaga (Spain)

by Gorka Zamarreño-Aramendia, Elena Cruz-Ruiz and Elena Ruiz-Romero de la Cruz

Economies 2021, 9(1), 29; https://doi.org/10.3390/economies9010029 - 4 Mar 2021

Cited by 25 | Viewed by 4296

Abstract

The certification of Malaga and Ronda wine route, within the model of certified wine routes in Spain, has given a new boost to wine tourism in Malaga. The study focuses on La Axarquía, located on the Eastern Costa del Sol in Southern Spain, [...] Read more.

The certification of Malaga and Ronda wine route, within the model of certified wine routes in Spain, has given a new boost to wine tourism in Malaga. The study focuses on La Axarquía, located on the Eastern Costa del Sol in Southern Spain, which has been a reference point in the wine business since ancient times and has its own identity. This research aims at elaborating a diagnosis of the territory related to the possibilities offered by the area, from the perspective of the heritage resources and services provided by the winemakers outlining two efficient enotourism itineraries that enhance the value of the territory’s resources. The methodology used starts with the study of the territory in order to profile the existing resources, a task that was complemented by the analysis of the documentary sources required in order to understand the peculiarities of the territory. From there, a process of interviews was carried out between April and November 2019 with 100% of the winemakers and around 70% of the territory’s agents. The results of the research are specified in a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis, which has allowed evaluating the possibilities of the enotourist development in La Axarquía, which is complemented with a proposal of two possible itineraries that will promote such development of the rural territory. The conclusions convey the possibilities of the territory of a tourist segment which puts its resources to good use and moves forward the deseasonalization and destructuring of tourism in Malaga, especially on the Eastern Costa del Sol, according to criteria of efficiency and profitability with wine as a reference, although it could be applied to other gastronomic and cultural resources linked to the tourist sector in other geographical areas. Full article

(This article belongs to the Special Issue Economic Factors of the Development of Agricultural Markets and Rural Areas)

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