Import and export of horticultural products in Portugal

TL;DR

This paper analyzes Portugal's horticultural import and export data from 2006 to 2010, applying convergence models and statistical tests, revealing weak regularity due to policy inconsistencies.

Contribution

It applies panel data models and convergence theory to Portuguese horticultural trade, highlighting the sector's lack of regularity and policy coherence.

Findings

Convergence observed in all estimations.

Data shows non-stationarity and weak regularity.

Lack of coherent national policy impacts trade stability.

Abstract

With this work it is analyzed the import and export of horticultural products between Portugal and the other world countries. It is used data about Portuguese international trade of vegetables from 2006 to 2010. The data were obtained from the INE (Statistics Portugal), gently given by the AICEP (Trade & Investment Agency). It is did some estimations taking into account the models from the convergence theory, with panel data and using methods by fixed effects, random effects and dynamic effects, for the Portuguese import and export of vegetables, separately. It is found convergence in all estimations. The volatility was also tested. All the tests show no stationary of the data. So, in statically means the data show weak regularity. In this way all the conclusion, must be did very carefully. This lack of regularity is a result of lack of a national coherent policy for the sector.