Investigating Importance of Iran and Main Country’s market, Namely Soybean Importer Goal Countries and Soybean Production Relation with this State

مجله اقتصاد و توسعه کشاورزی

Article 8, Volume 26, Issue 2, July 2012, Pages 141-149   

Document Type: Research Article

DOI: 10.22067/jead2.v1391i2.15833

Authors

A. Amjadi^{* 1}; H. Rafiee²; N. Moghaddas²

¹Group Manager of support Policies, Planning Research Institute, Agricultural Economic and Rural Development, Tehran, Iran

²Agricultural Economic, University of Tehran

Abstract

According to amount of oil seeds import in Iran are more than 80% of domestic needs, in this study, import comparative advantage in soybeans using RCA and RSCA index is calculated in 1961-2008 periods for Iran and ten important importer countries. Iran’s Competition state is investigated. Also long run relation between production and import comparative advantage index is estimated using Johansen test and Vector Error Correction Model (VECM). Results show that Iran has import comparative advantage in soybean import, but shock effects on amount of this index, adjusted in more time than others. Therefore, exporter countries will have less willingness for export to Iran. In this aspect, importance of domestic production’s increase for domestic needs will be imperative. Also results showed that with increasing domestic production in long run, amount of Iran’s import comparative advantage will be decreased and therefore with decreasing import to country, less exchange will be out of our country.

Keywords

Import Advantage; Domestic Production; Long Run Relation; Soybean; Iran