ANALISIS INTEGRASI PASAR SPASIAL KOMODITI PANGAN ANTAR PROVINSI DI INDONESIA

Food prices stabilization through the food production and trade to fulfillment consumption in terms of both availability and accessibility food is government major problem. Government’s ability to determine an appropriate pricing policy depends on market structure, behavior and effectiveness. Trade barriers and market failure reduction, improved access information would make market integration effective and efficient. This study aims to analyze the market integration and the price transmission elasticity that occurs between regions in Indonesia. Using Ravallion integration analysis and a span from 2009 to 2013 on 33 provinces retail prices data in Indonesia to capture level integration and price transmission between regions. The results showed in the rice shows that Jakarta and South Sulawesi region is becoming the leading market and Jakarta for sugar market those integrated with most areas in Indonesia. Sugar and rice have a better degree of integration than soya. Integration analysis with Ravallion models cannot explain two areas integrated or not. It is necessary to study towards further for East Java in terms of either regional autonomy policy or any market failure that occurs in order to find a policy solution to be more integrated. Key words : Food, Market integration, Ravallion model

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ANALISIS INTEGRASI PASAR SPASIAL KOMODITI PANGAN ANTAR PROVINSI DI INDONESIA

JURNAL EKONOMI DAN KEBIJAKAN PEMBANGUNAN ◽

10.29244/jekp.3.2.2014.136-157 ◽

2018 ◽

Vol 3 (2) ◽

pp. 136-157

Author(s):

Arnanto Arnanto ◽

Sri Hartoyo ◽

Wiwiek Rindayati

Keyword(s):

Market Integration ◽

Market Failure ◽

Food Prices ◽

Price Transmission ◽

Pricing Policy ◽

Sugar Market ◽

Retail Prices ◽

Food Market ◽

Integrated Or ◽

Integration Analysis

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Market Integration and Price Transmission in the Vertical Supply Chain of Rice: An Evidence from Bangladesh

Agriculture ◽

10.3390/agriculture10070271 ◽

2020 ◽

Vol 10 (7) ◽

pp. 271

Author(s):

Limon Deb ◽

Yoonsuk Lee ◽

Sang Hyeon Lee

Keyword(s):

Supply Chain ◽

Market Integration ◽

Threshold Effect ◽

Price Transmission ◽

Causality Test ◽

Threshold Autoregressive ◽

Market Participants ◽

Long Run ◽

Short Run ◽

Retail Prices

As a staple food, rice has an enormous market in Bangladesh in terms of market participants and the volume of the product. As the price of rice is always a sensitive factor for producers, poor consumers and policy makers, this paper investigates market integration and price transmission along the vertical supply chain of rice. Johansen’s test of co-integration confirmed that farm, wholesale and retail prices are co-integrated in the long-run. A causality test revealed that prices were found to be at wholesale levels for both the upstream and downstream markets. The asymmetry error correction model (ECM) has discovered short-run and long-run asymmetry in price transmission in the vertical supply chain where both producers and consumers were being affected due to positive and negative asymmetry. Threshold autoregressive (TAR) and momentum threshold autoregressive (M-TAR) models have confirmed threshold co-integration as well as threshold effect on asymmetry in price transmission. The results highlight the inevitability of policy implementations and increased public interventions to reduce asymmetry for engendering greater pricing efficiency in Bangladesh rice markets.

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International Market Integration and Competitiveness of Indian Sugar

Global Business Review ◽

10.1177/0972150920988646 ◽

2021 ◽

pp. 097215092098864

Author(s):

A. N. Vijayakumar ◽

David Bozward

Keyword(s):

Market Integration ◽

International Markets ◽

Price Transmission ◽

Vector Error Correction ◽

Domestic Markets ◽

Vector Error ◽

The Us ◽

The World ◽

Sugar Market ◽

Great Energy

Globalization and liberalization policies facilitated national and international commodity markets to integrate with each other. This integration facilitated price transmission and market efficiency of commodities at domestic markets, leading traders across the globe to exploit opportunities. India is one of the vibrant and emerging economies in the world absorbing these economic features and integrating its markets with the world. This article, focusing on the Indian sugar market, explores market integration of sugar prices with the US, UK and global average prices and also contributes a policy dimension to enhance the competitiveness of the Indian sugar sector. The article, using Johansen’s co-integration with a vector error correction model (VECM), finds the existence of market integration of Indian sugar prices with international prices. However, the average Indian sugar prices are higher than those in other markets, with the support of government price protection policies. These higher prices motivated to increase sugar production in the country. The lower cane prices of Brazil, Australia and Thailand pose challenges in international markets for Indian sugar. Despite this, the Indian sugar sector has a competitive advantage in becoming a great energy source by focusing on ethanol production, which would lead to reducing its international dependency for oil supplies. In addition, the sector can also contribute to rural socio-economic development through adopting technology to produce other by-products rather than merely concentrating on sugar.

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GLOBAL FOOD MARKET – NEW FACTORS INFLUENCING DEVELOPMENT

AGROFOR ◽

10.7251/agreng1602013d ◽

2016 ◽

Vol 1 (2) ◽

Cited By ~ 1

Author(s):

Grzegorz DYBOWSKI ◽

Anna BUGAŁA

Keyword(s):

Free Market ◽

Food Prices ◽

Price Transmission ◽

Food Sector ◽

Self Sufficiency ◽

Food Market ◽

Time Price ◽

Food Needs ◽

Short Time ◽

Global Food

During the long period before 2002 the global index of real food prices showeddownward tendency. This resulted from the dynamic economic growth,technological progress and supporting of agriculture in many OECD countries. Thesupply factors mainly determined global food price levels. Meeting food needs indeveloping countries was highly dependent onimports. This increased the role offood exporting countries which drove towards liberalization of international trade.In the years of sharp price increase followed by financial crisis, the new marketforces appeared such as: support granted to biofuels in US and EU, competition forland of food and non-food agricultural products, links between food and fuelmarkets, increase in demand for food in emerging economies. In effect demandfactors determining food market development prevailed over the supply ones.However, the duality existing in the global economic system has been alsospreading to the global food sector. The developing countries could hardly benefitfrom high prices on international agricultural markets because they had nopotential to start additional production in a short time. Price transmission from theglobal food market to local agricultural sectors was insufficient as well. This hasbrought about the loss of reliabilities of free market as a source of food for stateswith scaresnational food supply. The policy response of many developing countrieshas resulted in tendencies to increase self-sufficiency in food production.

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Modeling Market Integration and Asymmetric Price Transmission Dynamics of Yam Markets in Ghana

Journal of Economics and Behavioral Studies ◽

10.22610/jebs.v12i3(j).2710 ◽

2020 ◽

Vol 12 (3(J)) ◽

pp. 23-31

Author(s):

Isaac Abunyuwah

Keyword(s):

Market Integration ◽

Agricultural Development ◽

Wholesale Price ◽

Price Transmission ◽

Policy Intervention ◽

Threshold Autoregressive ◽

Price Increases ◽

Regional Markets ◽

Asymmetric Price Transmission ◽

Integration Analysis

Functioning agricultural markets are fundamental to unlock economic growth and to accelerate agricultural development. Understanding the behavior of agriculture markets is crucial for price, poverty and livelihood policy strategies in agrarian economies. To assess price transmission and market efficiencies of Ghanaian yam markets spatial market integration analysis of five major yam markets: Techiman, Tamale, Wa, Kumasi and Accra was conducted. Monthly wholesale price data between January 2006 and June 2018 were used. Results from the momentum threshold autoregressive (M-TAR) model indicated the presence of co-integration and price transmission asymmetries. Thus, price increases in Techiman reference market are more rapidly transmitted to the other regional markets than price reductions. It is recommended that the source of this type of asymmetry be investigated as it favors middlemen at the expense of producers and retailers/consumers for appropriate marketing policy intervention.

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Impact of increasing agricultural domestic support on China’s food prices considering incomplete international agricultural price transmission

China Agricultural Economic Review ◽

10.1108/caer-01-2016-0001 ◽

2017 ◽

Vol 9 (4) ◽

pp. 535-557

Author(s):

Fan Yang ◽

Kirsten Urban ◽

Martina Brockmeier ◽

Eddy Bekkers ◽

Joseph Francois

Keyword(s):

Policy Instruments ◽

Trade Deficit ◽

World Trade Organisation ◽

Food Prices ◽

Price Transmission ◽

Content Type ◽

Food Market ◽

Domestic Support ◽

The Impact

Purpose The purpose of this paper is to develop a modelling approach that enables the analysis of long-term food security policies. Specifically, the authors explore the effect of China’s agricultural domestic support on its agricultural and food market by also considering the impact of incomplete price transmission. Design/methodology/approach The authors extend the standard Global Trade Analysis Project (GTAP) modelling framework. First, the authors incorporate incomplete price transmission into the GTAP model by generating tariff-equivalent price transmission elasticities. Second, the authors improve the current representation of China’s agricultural domestic support in the GTAP model and the underlying database by considering the production requirements and the trade-distorting effect of different policy instruments. Running a set of simulations, the authors examine first how the incorporation of incomplete price transmission affects the model’s results and second how increased agricultural domestic support affects China’s agricultural and food market accounting for incomplete price transmission. Findings Considering incomplete price transmission mitigates the domestic price increases as responses to high international agricultural prices, which also lead to an increase in China’s trade deficit and prohibits net food sellers from receiving high prices. In the long term, an increase in China’s agricultural domestic support to its World Trade Organisation de minimis commitment level would increase domestic agricultural production and reduce its demand pressure on the international market. Originality/value This paper contributes to the literature by examining the impact of increased agricultural domestic support on the domestic market while innovatively accounting for incomplete food price transmission. The authors combine econometric estimated price transmission elasticities and an extended GTAP framework to underscore the importance of enhancing the model’s ability in accounting for incomplete price transmission when analysing the impact of agricultural policies.

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THE EU SUGAR MARKET PROFILE AND ITS MAIN DRIVERS

Proceedings of the 7th International Scientific Conference Rural Development 2015 ◽

10.15544/rd.2015.111 ◽

2015 ◽

Author(s):

Lubos SMUTKA ◽

Irena BENEŠOVÁ ◽

Patrik ROVNÝ ◽

Renata MATYSIK-PEJAS

Keyword(s):

Market Failure ◽

Current System ◽

Quota System ◽

Considerable Debate ◽

Sugar Market ◽

The Common ◽

The One ◽

Production Capacities ◽

The Given ◽

The Eu

Sugar is one of the most important elements in human nutrition. The Common Market Organisation for sugar has been a subject of considerable debate since its establishment in 1968. The European agricultural market has been criticized for its heavy regulations and subsidization. The sugar market is one of the most regulated ones; however, this will change radically in 2017 when the current system of production quotas will end. The current EU sugar market changed is structure during the last several decades. The significant number of companies left the market and EU internal sugar market became more concentrated. The aim of this paper is presentation characteristics of sugar market with respect to the supposed market failure – reduction in competition. The analysis also identifies the main drivers and determinants of the EU especially quota sugar market. In relation to paper’s aim the following results are important. The present conditions of the European sugar market have led to market failure when nearly 75 % (10 million tonnes) of the quota is controlled by five multinational companies only. These multinational alliances (especially German and French one) are also taking control over the production capacities of their subsidiaries. In most countries, this causes serious problems as the given quota is controlled by one or two producers only. This is a significant indicator of market imperfection. The quota system cannot overcome the problem of production quotas on the one hand and the demand on the other; furthermore, it also leads to economic inefficiency. The current EU sugar market is under the control of only Sudzucker, Nordzucker, Pfeifer and Langen, Tereos and ABF.

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Processes of import substitution in the market of meat and dairy products in the context of economic policy

Russian Economic Journal ◽

10.33983/0130-9757-2019-3-60-74 ◽

2019 ◽

pp. 60-74

Author(s):

T.N. Belova ◽

V.S. Konkina

Keyword(s):

Agricultural Production ◽

Import Substitution ◽

Foreign Market ◽

Food Prices ◽

Negative Effects ◽

Complex Dynamic ◽

Dairy Markets ◽

Food Market ◽

Potential Risks ◽

Key Indicators

In article the complex assessment of modern policy of import substitution in the sphere of the agrofood market based on balance of its positive and negative effects is given. According to Rosstat and the Federal Customs Service the complex dynamic analysis of the meat and dairy markets in the context of key indicators — the price, import, export is carried out. Relationships of cause and effect of change of a condition of the food market in connection with introduction of economic sanctions are revealed. The conclusion that the policy of import substitution has to consider the potential risks and threats connected as with the possible accompanying growth of the food prices and deterioration of the food status of the least provided groups of the population, and with technical and technological dependence of domestic agricultural production on a foreign market is drawn. The main directions in which programs of support and stimulation are necessary are formulated.

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