Comparative Advantage Analysis in Agribusiness: an empirical approach from the top ten exporters

Abstract

Agribusiness is one of the main export sectors in most countries. In Brazil, it is the main one, as it is responsible for ensuring the trade balance is positive, which is evidence that Brazil specializes in the production and export of products in this sector. This is associated with productive efficiency in the allocation of production factors. It is in this sense that the analysis of revealed comparative advantages (RCA) emerges, an empirical approach, originating from Ricardian theory, which allows verifying, based on secondary data, whether the country presents RCA when exporting a given item or set of items. This article aims to analyze the agribusiness VCR of the ten largest exporters in the world. The results indicate that some of these countries do not have VCR and even those that are the largest exporters are not necessarily those with the highest VCR, as is the case with the United States. Brazil, specifically, stands out as a leader in this analysis, which shows its vocation in agribusiness production.