The Impacts of Lesser Developed Countries on Southern Region Agricultural Exports

Abstract

Lesser developed countries (LDCs) serve as both customers and competitors for agricultural commodities produced in the Southern region of the United States. This paper focuses on the impacts of LDCs on exports of the major agricultural commodities produced in the South (cotton, rice, tobacco, poultry, and, to a lesser extent, citrus and peanuts). First the importance of LDCs as export markets for Southern commodities is explored. Then the role LDCs play as producers and exporters of these commodities is considered. Finally, these separate roles are combined into an index of LDC competitiveness with Southern agricultural commodities. Data analysis shows that Southern agricultural interests truly are divided over the role LDCs play in Southern agriculture, where poultry and rice rank highest, and peanuts lowest, in terms of a LDC markets/competition index. Thus, it is not surprising that calls for protectionism (e.g., the Bumpers' Amendment) should arise from the South.

Hopes and Fears: The New World Trade Negotiations and Southern Agriculture

“…Major southern commodities are now examined individually to identify (1) leading world exporting countries, and to determine whether the U.S. is among these leading exporters; and (2) leading world importing countries, and to determine whether the U.S. is exporting to these leading markets. This research procedure is consistent with a similar analysis that examined the impact of developing countries on key southern commodities, since developing countries are both important markets and competitors for the South, and this balance varies depending on the commodity (Marchant and Ruppel, 1993). Following data analyses, results of interviews with commodity experts are presented to assess the impacts of the GATT-UR as well as identify issues for the next round of global trade negotiations.…”

Alabama Forest Products and the Potential Impacts of FTAA Price Changes

“…Hanson (1994) predicts NAFTA will hurt the Southeast but benefit states along the US border and in the Midwest. Marchant and Rupel (1993) predict little pressure on US agricultural prices in NAFTA. predicts substantial adjustment in Alabama manufacturing industries with a slight wage increase in an applied specific factors model similar to the present one.…”