Effect of Agricultural Exports and Imports on Economic Growth in Bangladesh: A Study on Agribusiness Supply Chain

HASAN,, M. M. , HOSSAIN,, B. S. , SAYEM,, M. A. , & AFSAR,, M. (2022). Effect of Agricultural Exports and Imports on Economic Growth in Bangladesh: A Study on Agribusiness Supply Chain. The Journal of Distribution Science, 20(11), 79-88, https://doi.org/https://doi.org/10.15722/jds.20.11.202211.79

copy

Abstract

Purpose: The purpose of this study was to determine the effect of agricultural exports and imports on economic growth in Bangladesh and propose an upgraded and customized model of the supply chain for agribusiness growth in Bangladesh to achieve plain sailing and systematic operation and financial gains at home and abroad. Research design, data, and methodology: All data in the research have been collected from secondary sources. Gross domestic product was used as the dependent variable and exports and imports of agricultural products were used as independent variables. Pairwise Granger causality was utilized to see the impact of the variable responsible for the economic growth in Bangladesh and the causal relationship between the variables analyzed was measured using Johansen co-integration test. Results: From the empirical analysis, the researchers observed that agricultural commodity imports and exports have a unidirectional impact on economic growth in Bangladesh and a long-run causal link with economic growth in Bangladesh. The suggested supply chain model of agribusiness aids in achieving smooth operations, systematic management, and monetary gains both domestically and internationally. Conclusions: This paper contributes to the development of a more effective and profitable agribusiness supply chain in Bangladesh systematically through their theoretical and practical implications.

keywords: Agribusiness, Supply Chain Model, Imports, Exports, Economic Growth

Reference

Ahmed, H., & Uddin, M. G. S. (2009). Export, imports, remittance and growth in Bangladesh: An empirical analysis. Trade and Development Review, 2(2), 79-92.

Akhter, M. (2015). The impact of export and import on economic growth in Bangladesh. World Vision Research Journal, 9(1), 66-81.

Alaoui, A. E. (2015). Causality and co-integration between export, import, and economic growth: Evidence from Morocco. Journal of World Economic Research, 3(4), 83-91.

Bakari, S., & Mabrouki, M. (2017). Impact of exports and imports on economic growth: New evidence from Panama. Journal of Smart Economic Growth, 2(1), 67-79.

Bertodo, R. (2002). Some developing trends in manufacturer-supplier relationships. International Journal of Manufacturing Technology and Management, 4(1-2), 21-35.

Chopra, S., Meindl, P., & Kalra, D. V. (Eds.). (2016). Supply Chain Management: Strategy, Planning, and Operation (6th ed.). India: Pearson Education India.

Din, M. (2004). Exports, imports, and economic growth in South Asia: Evidence using a multivariate time-series framework. Pakistan Development Review, 43(2), 105-124.

Faridi, M. Z. (2012). Contribution of agricultural exports to economic growth in Pakistan. Pakistan Journal of Commerce and Social Sciences (PJCSS), 6(1), 133-146.

Gazi, M. A. I. (2020). Supply chain management for agro products in Bangladesh: Logistics support for capturing the market by ensuring balanced distribution. International Journal of Management, Accounting and Economics, 7(6), 277-297.

10.

Ghimire, A., Lin, F., & Zhuang, P. (2021). The impacts of agricultural trade on economic growth and environmental pollution: Evidence from Bangladesh using ARDL in the presence of structural breaks. Sustainability, 13(15), 8336.

11.

Gilani, S. W. (2015). The impact of agricultural imports and exports on agricultural productivity. Journal of economics and sustainable development, 6(11), 109-116.

12.

Ginting, A. M. (2017). Analysis of the effect of exports on indonesia’s economic growth. Trade Research and Development Scientific Bulletin, 11(1), 1-20.

13.

Hasan, M. M., Hossain, B. M. S., & Sayem, M. A. (2022). Determining the impact of economic factors to the gross domestic product in Bangladesh. International Journal of Economics and Financial Issues, 12(1), 37-40.

14.

Hussain, M. A. (2014). Economic growth, exports and imports in Pakistan: Granger causality analysis. The Journal of Business in Developing Nations, 13(2014), 31-62.

15.

Jain, J., Dangayach, G. S., Agarwal, G., & Banerjee, S. (2010). Supply chain management: Literature review and some issues, Journal of Studies on Manufacturing, 1(1), 11-25.

16.

Jie, F., Parton, K. A., & Cox, R. J. (2013). Linking supply chain practices to competitive advantage: An example from Australian agribusiness. British Food Journal, 115(7), 1003-1024. doi.org/10.1108/BFJ-10-2010-0181

17.

Kellogg, E., Kodl, R., & Garcia, P. (1986). The effects of agricultural growth on agricultural imports in developing countries. American Journal of Agricultural Economics, 68(5), 1347-1352.

18.

Li, S., & Lin, B. (2006). Accessing information sharing and information quality in supply chain management. Decision Support Systems, 42(3), 1641-1656.

19.

Li, Y., Chen, Z., & San, C. (2010). Research on the relationship between foreign trade and the GDP growth of East China-empirical analysis based on causality. Modern Economy, 1(02), 118-124. doi:10.4236/me.2010.12012

20.

Love, J., & Chandra, R. (2005). Testing export-led growth in Bangladesh in a multivariate VAR framework. Journal of Asian Economics, 15(6), 1155-1168.

21.

Mamun, K. A. A., & Nath, H. K. (2005). Export-led growth in Bangladesh: A time series analysis. Applied Economics Letters, 12(6), 361-364.

22.

Mohsen, A. S. (2015). Effects of exports and imports on the economic growth of Syria. Euro-Asian Journal of Economics and Finance, 3(4), 253-261.

23.

Murugesan, B. (2019). An empirical analysis of agricultural exports on economic growth in India. Economic Affairs, 64(3), 481-486.

24.

Parmar, V., & Shah, H. G. (2016). A literature review on supply chain management barriers in manufacturing organization. International Journal of Engineering Development and Research, 4(1), 26-42.

25.

Parwez, S. (2013). Food supply chain management in Indian agriculture: Issues, opportunities and further research. African Journal of Business Management,14(8), 572-581.

26.

Quddus, A., & Kropp, J. D. (2020). Constraints to agricultural production and marketing in the lagging regions of Bangladesh. Sustainability, 12(10), 3956.

27.

Rahman, M. (2017). Role of agriculture in Bangladesh economy: Uncovering the problems and challenges. International Journal of Business and Management Invention, 6(7), 36-40.

28.

Rahmanto, M. H. E., & Sugiharti, R. R. (2021). The influence of agricultural imports, foreign ivestations, exchange value on Indonesian economic growth. Journal of Applied Economics in Developing Countries, 6(1), 27-36.

29.

Ramos, F. F. R. (2001). Exports, imports, and economic growth in Portugal: Evidence from causality and co-integration analysis. Journal of Economic Modeling, 18(2001), 613-623.

30.

Sahay, B. S., Gupta, J. N., & Mohan, R. (2006). Managing supply chains for competitiveness: The Indian scenario. Supply Chain Management: An International Journal, 11(1), 15-24.

31.

Sanjuan-Lopez, A. I., & Dawson, P. J. (2010). Agricultural exports and economic growth in developing countries: A panel co-integration approach. Journal of Agricultural Economics, 61(3), 565-583.

32.

Shirazi, N. S., & Manap, T. A. (2005). Export-led growth hypothesis: Further econometric evidence from South Asia. The Developing Economies, XLIII(4), 472-488.

33.

Siaw, A., Jiang, Y., Pickson, R. B., & Dunya, R. (2018). Agricultural exports and economic growth: A disaggregated analysis for Ghana. Theoretical Economics Letters, 8(11), 2251.

34.

Swinnen, J. (2005). The dynamics of vertical coordination in the Central and Eastern European agri-food sectors. Economics of Agriculture, 4(02), 07-20.

35.

Swinnen, J. (2006). The dynamics of vertical coordination in agro-food chains in Europe and Central Asia: Case studies. Washington DC, USA: World Bank Publications.

36.

Uğur, A. (2008). Import and economic growth in Turkey: Evidence from multivariate VAR analysis. East-West Journal of Economics and Business, XI (1&2), 54-75.

37.

Ullah, S. B., & Asif, J. (2009). Cointegration and causality between exports and economic growth in Pakistan. European Journal of Social Sciences, 10(2), 264-272.

38.

Wong, H. T. (2008). Exports and domestic demand: Some empirical evidence in ASEAN-5. Labuan Bulletin of International Business and Finance (LBIBF), 6(2008), 39-55.

39.

World Bank. (2020). Bangladesh - Agriculture, Value Added (annual % Growth). Retrieved from https://tradingeconomics.com/bangladesh/agriculture-value-added-annual-percent-growth-wb-data.html

40.

World Bank. (2021). World Development Indicators Database. Retrieved from https://data.worldbank.org/indicator/NY.GNP.PCAP.CD?locations=BD

바로가기메뉴

Article Contents

Vol.20 No.11

Effect of Agricultural Exports and Imports on Economic Growth in Bangladesh: A Study on Agribusiness Supply Chain

Abstract

Reference

The Journal of Distribution Science