The full text of this article
An analysis of country specific determinants of vertical and horizontal intra-industry trade in the food processing sector of India
by Poornima Varma
International Journal of Trade and Global Markets (IJTGM), Vol. 8, No. 4, 2015
Abstract: Intra-Industry Trade (IIT) has become a widespread phenomenon with a growing role in international trade, though agricultural trade is usually neglected in empirical works. This is especially true for India, where the food processing sector is showing potential and an expansion in trade. The present study therefore analyses the country specific determinants of two types of IIT - vertical IIT (VIIT) and horizontal IIT (HIIT) - by applying both static - Panel-Corrected Standard Errors (PCSE) - and dynamic Generalised Methods of Moments System (GMM-SYS) panel data techniques. The analysis confirmed the theoretical notions that the differences in tastes and preferences promote greater VIIT, whereas the differences lead to less HIIT between India and partner countries. Similarities in capital formation and GDP are found to be equally important for both VIIT and HIIT. The study also confirmed that higher the economic size, higher the VIIT and HIIT between the countries. The results also suggest that FTA is important in promoting IIT, especially the VIIT.
is only available to individual subscribers or to users at subscribing institutions.
Go to Inderscience Online Journals
to access the full text.
Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.
Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Trade and Global Markets (IJTGM):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email email@example.com