Characterizing Agricultural Export Trade in Africa’s Oil-Rich Nations
Abstract
Existing literature on agriculture predominantly focuses on its growth impact. Limited studies, often country-specific, examine agricultural output determinants using varied methodologies. Notably, Crude Oil Producing Countries in Africa (COPCA) have been underexplored despite their agricultural potential, particularly post-oil discovery. This study addresses the imperative to reevaluate agriculture and agricultural export trade as viable alternatives to oil economies amid the global push for decarbonization. Our primary contribution is identifying key determinants of agricultural export trade in 18 COPCA countries using four Generalized Method of Moments (GMM) models. Results indicate low agricultural output and exports, with insignificant impacts from domestic and global commodity prices, agricultural employment, exchange rates, inflation, trade openness, and domestic agricultural investment. Policy bias favoring the oil sector likely crowds out agricultural productivity
Keywords
Export trade; Agricultural output; SDG 7; Trade policies; COPCA; GMM
References
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