Skip to main content

Measuring Agribusiness Competitiveness: An Application to African Countries

  • Chapter
  • First Online:
Africa’s Competitiveness in the Global Economy

Part of the book series: AIB Sub-Saharan Africa (SSA) Series ((AIBSSA))

Abstract

Agribusiness has a major role to play in transforming the agriculture sector in Africa. Increasing demand for high-value food products around the world, the production and export of these goods represents an opportunity to increase both income and employment. To capture the benefits of this trend and capitalize on this opportunity, agribusiness in Africa must become more competitive. In addition to improving competitiveness, increasing agricultural productivity and food security are also major challenges in African agricultural development. In this chapter, we develop an indicator for agribusiness competitiveness that enables objective comparison across countries and time. This comparison will also benefit policy makers to make strategic decisions on value chain development. Additionally, we present policy implications and lessons for increasing the competitiveness of agribusiness in African countries.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Institutional subscriptions

References

  • AFRICA’S, C. C. (2015). Assessing Africa’s Competitiveness: Opportunities and Challenges to Transforming Africa’s Economies. The Africa Competitiveness Report 2015, 3.

    Google Scholar 

  • Africa Renewal Online. (2014, February). We Need More Agribusiness in Africa. Carlos Lopes. http://www.un.org/africarenewal/magazine/special-edition-agriculture-2014/we-need-more-agribusiness-africa

  • Ahmadi-Esfahani, F. Z. (2006). Constant Market Shares Analysis: Uses, Limitations and Prospects. The Australian Journal of Agricultural and Resource Economics, 50(4), 510–526.

    Article  Google Scholar 

  • Balassa, B. (1965). Trade Liberalization and Revealed Comparative Advantage. The Manchester School, 33, 99–123.

    Article  Google Scholar 

  • Byerlee, D., & Kelley, T. (2004). Surviving on the Margin: Agricultural Research and Development Strategies for Poverty Reduction in Marginal Areas. Washington, DC: World Bank.

    Google Scholar 

  • Chodavarapu, S., Giertz, A., & Jaeger, P. (2016). Agribusiness in South Asia. World Bank, Washington, DC: © World Bank. https://openknowledge.worldbank.org/handle/10986/25116 License: CC BY 3.0 IGO.

  • Diao, X., Hazell, P., & Thurlow, J. (2010). The Role of Agriculture in African Development. World Development, 38(10), 1375–1383.

    Article  Google Scholar 

  • Dalum, B., Laursen, K., & Villumsen, G. (1998). Structural Change in OECD Export Specialisation Patterns: De-Specialisation and ‘Stickiness’. International Review of Applied Economics, 2, 423–443.

    Article  Google Scholar 

  • Esterhuizen, D. (2006). An Evaluation of the Competitiveness of the South African Agribusiness Sector. Doctoral Dissertation.

    Google Scholar 

  • Esterhuizen, D., van Rooyen, J., & D’Haese, L. (2008). An Evaluation of the Competitiveness of the Agribusiness Sector in South Africa. Journal of Competitiveness Studies, 16(1/2), 31.

    Google Scholar 

  • Felipe, J., & Kumar, U. (2011). Unit Labor Costs in the Eurozone: The Competitiveness Debate Again. Levy Economics Institute of Bard College Working Paper 651.

    Google Scholar 

  • Gehlhar, M. J., & Pick, D. H. (2002). Food Trade Balances and Unit Values: What Can They Reveal About Price Competition? Agribusiness, 18(1), 61–79.

    Article  Google Scholar 

  • Geoffrey, S. K., Hillary, N. K., Kibe, M. A., Mariam, M., & Mary, M. C. (2014). Challenges and Strategies to Improve Tomato Competitiveness Along the Tomato Value Chain in Kenya. International Journal of Business and Management, 9(9), 205.

    Article  Google Scholar 

  • Gorton, M., & Davidova, S. (2001). The International Competitiveness of CEEC Agriculture. The World Economy, 24(2), 185–200.

    Article  Google Scholar 

  • Harrison, R., & Lynn Kennedy, P. (1997). A Neoclassical Economic and Strategic Management Approach to Evaluating Global Agribusiness Competitiveness. Competitiveness Review: An International Business Journal, 7(1), 14–25.

    Article  Google Scholar 

  • Humphrey, J. (2007). The Supermarket Revolution in Developing Countries: Tidal Wave or Tough Competitive Struggle? Journal of Economic Geography, 7(4), 433–450.

    Article  Google Scholar 

  • Jambor, A., & Babu, S. C. (2016). Competitiveness of Global Agriculture: Policy Lessons for Food Security. New York: Springer Publications. Forthcoming Publication.

    Book  Google Scholar 

  • Latruffe, L. (2010). Competitiveness, Productivity and Efficiency in the Agricultural and Agri-Food Sectors. Paris: OECD Publishing.

    Book  Google Scholar 

  • Loo, M. K. L. (2012). Competitiveness: Top Five Nations Last Decade and Next Decade. International Journal of Business and Management Studies, 1(3), 391–412.

    Google Scholar 

  • Masters, W. A., & Winter-Nelson, A. (1995). Measuring the Comparative Advantage of Agricultural Activities: Domestic Resource Costs and the Social Cost-Benefit Ratio. American Journal of Agricultural Economics, 77(2), 243–250.

    Article  Google Scholar 

  • Rapsomanikis, G. (2014). The Economic Lives of Smallholder Farmers; An Analysis Based on Household Surveys. Rome: Food and Agriculture Organization.

    Google Scholar 

  • Siudek, T., & Zawojska, A. (2014). Competitiveness in the Economic Concepts, Theories and Empirical Research. Acta Scientiarum Polonorum. Oeconomia, 13(1), 91–108.

    Google Scholar 

  • Shilpi, F., & Umali-Deininger, D. (2008). Market Facilities and Agricultural Marketing: Evidence from Tamil Nadu, India. Agricultural Economics, 39(3), 281–294.

    Google Scholar 

  • Vollrath, T. L. (1991). A Theoretical Evaluation of Alternative Trade Intensity Measures of Revealed Comparative Advantage. Weltwirtschaftliches Archive, 130(2), 265–279.

    Article  Google Scholar 

  • Yogesh, M. S., & Chandrashekar, H. M. (2014). Opportunities for Strengthening of Agribusiness Sectors in Rural India. International Journal of Management Research and Reviews, 4(4), 498.

    Google Scholar 

  • Yu, R., Cai, J., & Leung, P. S. (2009). The Normalized Revealed Comparative Advantage Index. Annals of Regional Science, 43(1), 267–282.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2018 The Author(s)

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Babu, S.C., Shishodia, M. (2018). Measuring Agribusiness Competitiveness: An Application to African Countries. In: Adeleye, I., Esposito, M. (eds) Africa’s Competitiveness in the Global Economy. AIB Sub-Saharan Africa (SSA) Series. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-67014-0_7

Download citation

Publish with us

Policies and ethics