Skip to main content
    • Aa
    • Aa

The Declining Role of Latin America in Global Agricultural Trade, 1963–2000


In the second half of the twentieth century, Latin American countries lost a substantial part of their importance in worldwide exports of agricultural and food products. Given this context, the objective of this article is to analyse the determinants of the evolution of agricultural exports from Latin America, paying special attention to the influence of regional processes of economic integration on exports and to their degree of participation in intra-industrial trade. We propose a gravity model with a data panel of total exports and product groups for six Latin American countries towards 39 destinations between 1963 and 2000.

Spanish abstract

En la segunda mitad del siglo XX, los países latinoamericanos han perdido una parte sustancial de su importancia en las exportaciones mundiales de productos agrarios y alimentos. En este contexto, nuestro trabajo tiene como objetivo analizar los determinantes de la evolución de las exportaciones agrarias de América Latina, prestando especial atención a la influencia en ellas de los procesos regionales de integración económica y a su grado de participación en el comercio intra-industrial. Se plantea un modelo de gravedad con un panel de datos de las exportaciones totales y por grupos de productos, de seis países latinoamericanos hacia 39 destinos, entre 1963 y 2000.

Portuguese abstract

Na segunda metade do século XX, países latino-americanos perderam uma parte substancial de sua importância nas exportações mundiais de produtos agrícolas e alimentícios. Dado este contexto, o objetivo de nossa pesquisa é analisar os fatores determinantes da evolução das exportações de produtos agrícolas oriundos da América Latina, focando especialmente na influência de processos regionais de integração econômica nas exportações e na participação destas no comércio intra-industrial. Propomos um modelo gravitacional com um painel de dados com o total das exportações e grupos de produtos exportados por seis países latino-americanos para 39 destinos diferentes entre 1963 e 2000.

Linked references
Hide All

This list contains references from the content that can be linked to their source. For a full set of references and notes please see the PDF or HTML where available.

James E. Anderson and Eric Van Wincoop , ‘Gravity with Gravitas: A Solution to the Border Puzzle’, American Economic Review, 93: 1 (2003), pp. 170–92

Raúl Serrano and Vicente Pinilla , ‘Causes of World Trade Growth in Agricultural and Food Products 1951–2000: A Demand Function Approach’, Applied Economics, 42: 27 (2010), pp. 3503–18

The Long-Run Decline in the Share of Agricultural and Food Products in International Trade: A Gravity Equation Approach of its Causes’, Applied Economics, 44: 32 (2012), pp. 4199–210

Robert Feenstra , ‘Using the Gravity Equation to Differentiate among Alternative Theories of Trade’, Canadian Journal of Economics, 34: 4 (2001), pp. 430–47

Raúl Serrano and Vicente Pinilla , ‘Changes in the Structure of World Trade in the Agri-food Industry: The Impact of the Home Market Effect and Regional Liberalization from a Long-term Perspective, 1963–2001’, Agribusiness, 30: 2 (2014), pp. 165–83

Scott Leonard Baier and Jeffrey H. Bergstrand , ‘Do Free Trade Agreements Actually Increase Members' International Trade?’, Journal of International Economics, 71: 1 (2007), pp. 7295

Miguel Martín-Retortillo and Vicente Pinilla , ‘Why Did Agricultural Labour Productivity Not Converge in Europe from 1950 to 2005?’, Cliometrica, 9: 3 (2015), pp. 359–96

Anne Krueger , ‘Agricultural Incentives in Developing Countries: Measuring the Effect of Sectoral and Economy-wide Policy’, World Bank Economic Review, 2: 3 (1988), pp. 255–71

William Coyle , ‘Understanding the Determinants of Structural Change in World Food Markets’, American Journal of Agricultural Economics, 80: 5 (1998), pp. 1051–61

Eugenio Díaz-Bonilla and Lucio Reca , ‘Trade and Agroindustrialisation in Developing Countries: Trends and Policy Impacts’, Agricultural Economics, 23: 3 (2002), pp. 219–29

Jeffrey H. Bergstrand , ‘The Gravity Equation in International Trade: Some Microeconomic Foundations and Empirical Evidence’, Review of Economics and Statistics, 67: 3 (1985), 474–81

Jeffrey H. Bergstrand , ‘The Generalised Gravity Equation, Monopolistic Competition, and the Factor-Proportions Theory in International Trade’, Review of Economics and Statistics, 71: 1 (1989), pp. 143–53

Jarko Fidrmuc , ‘The Core and Periphery of the World Economy’, Journal of International Trade & Economic Development, 13: 1 (2004), pp. 89106

Jeffrey Frankel , ‘Trading Blocs and the Americas: The Natural, the Unnatural, and the Super-Natural’, Journal of Development Economics, 47: 1 (1995), pp. 6195

Masahiro Endoh , ‘Trade Creation and Trade Diversion in the EEC, the NAFTA and the CMEA: 1960–1994’, Applied Economics, 31: 2 (1999), pp. 207–16

Andrew K. Rose , ‘Do We Really Know that the WTO Increases Trade?’, American Economic Review, 94: 1 (2004), pp. 98114

Jason H. Grant and Kathryn A. Boys , ‘Agricultural Trade and the GATT/WTO: Does Membership Make a Difference?’, American Journal of Agricultural Economics, 94: 1 (2012), pp. 124

Trevor S. Breusch and Adrian R. Pagan , ‘The Lagrange Multiplier Test and its Application to Model Specification in Econometrics’, Review of Economic Studies, 47: 1 (1980), pp. 239–53

Isidro Soloaga and Alan L. Winters , ‘Regionalism in the Nineties: What Effect on Trade?’, North American Journal of Economics and Finance, 12: 1 (2001), pp. 129

Souleymane Coulibaly , ‘Evaluating the Trade Effect of Developing Regional Trade Agreements: A Semi-Parametric Approach’, World Bank Policy Research Working Paper 4220 (2007)

Daniel M. Lambert and Shahera McKoy , ‘Trade Creation and Diversion Effects of Preferential Trade Associations on Agricultural and Food Trade’, Journal of Agricultural Economics, 60 (2009)

W. Harley Grant , and Daniel M. Lambert , ‘Do Agricultural Trade Agreements Increase Members Agricultural Trade?’, American Journal of Agricultural Economics, 90 (2008)

Xinshen Diao , Terry Roe and Agapi Somwaru , ‘What Is the Cause of Growth in Regional Trade: Trade Liberalization or RTAs?’, World Economy, 24 (2001), pp. 5179

Jean-Christophe Bureau , ‘The Utilisation of Trade Preferences for Developing Countries in the Agri-food Sector’, Journal of Agricultural Economics, 58: 2 (2007)

Carlos Carrillo-Tudela and Carmen Li , ‘Trade Blocs and the Gravity Models: Evidence from Latin American Countries’, Journal of Economic Integration, 19 (2004)

Jane Korinek . and Mark Melatos , ‘Trade Impacts of Selected Regional Trade Agreements in Agriculture’, OECD Trade Policy Working Papers, 87 (2009)

Yutaka Kurihara , ‘APEC: International Trade and Output’, Pacific Economic Review, 8: 3 (2003)

Dragan Miljkovic and Rodney Paul , ‘Agricultural Trade in North America: Trade Creation, Regionalism and Regionalisation’, The Australian Journal of Agricultural and Resource Economics, 47: 3 (2003)

Thomas L. Vollrath , ‘Consumer Demand and Cost Factors Shape the Global Trade Network in Commodity and Manufactured Foods’, Canadian Journal of Agricultural Economics, 54: 4 (2006)

Steven S. Zahniser , ‘Regionalism in the Western Hemisphere and Its Impact on U. S. Agricultural Exports: A Gravity-model Analysis’, American Journal of Agricultural Economics, 84: 3 (2002)

Recommend this journal

Email your librarian or administrator to recommend adding this journal to your organisation's collection.

Journal of Latin American Studies
  • ISSN: 0022-216X
  • EISSN: 1469-767X
  • URL: /core/journals/journal-of-latin-american-studies
Please enter your name
Please enter a valid email address
Who would you like to send this to? *



Altmetric attention score

Full text views

Total number of HTML views: 7
Total number of PDF views: 37 *
Loading metrics...

Abstract views

Total abstract views: 167 *
Loading metrics...

* Views captured on Cambridge Core between September 2016 - 24th August 2017. This data will be updated every 24 hours.