|29th IBIMA Conference
3 - 4 May 2017
The Intra-Industry Trade in Agro-Food Products - The Case of Romania
The paper analyzed the dynamics of Romania's trade and agro-food trade emphasizing the intra trade-industry in agro-food products with all its trade partners and mainly with the EU-28 in the period 2007-2015 based on the data provided by National Institute of Statistics and UN Comtrade Database. The dynamics of export, import and trade balance was analyzed using the indices with fixed basis, and the intensity of trade transactions by means of Grubel-Lloyd intra-industry trade index (GLIIT) and Brülhart marginal intra-industry trade indices (MIIIT) A and B. Romania's trade has registered a continuous growth of export and import value, and it is a net importing country. In the analyzed period, agro-food export value increased 5.27 times while agro-food import value increased by 81.3 %, resulting an increased import coverage by export from 0.57 to 0.86. A continuous growth of GLIIT was noticed for almost all the agro-food products, reflecting a high intensity of intra-industry trade, and mainly with the EU. The MIIT A index values also reflected a higher intensity of marginal intra-industry trade, while MIIT B values confirmed a high performance of agro-food industry. Romania's entry into the EU has stimulated the growth of agro-food intra-industry trade, production diversification, more economic stability, lower adjustment costs and more power to face the fluctuations of the international trade.