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Estimating of the International Trade Technical Efficiency of Russian Agricultural Sector

Student: Abramov Vladislav

Supervisor: Tatyana A. Ratnikova

Faculty: Faculty of Economic Sciences

Educational Programme: Applied Economics (Master)

Final Grade: 7

Year of Graduation: 2019

The aim of work lies in the analysis of the International trade technical efficiency of russian agricultural sector. In order to analyse efficiency of trade, data of russian export flows to more than 80 countries during 2001-2017 were considered. Using stohastic frontier aproach 5 different models were estimated, resulting in technical efficiency scores for each country. The ranking of countries by technical efficiency together with marginal effects of the efficiency determinants were derived with the help of the most flexible model. It turns out that technical efficiency of trade in agriculture negatively depends on level of corruption, existance of common border between countries and positively depends on the size of the trade parter. Estimated average level of efficiency is quite low (24%) and there was no significant trade efficiency growth during considered period. Moreover, the estimated potential trade volume in sector exceeds actual level approximately by 4 times. The results of this work may be useful for managing optimal trade policy of agricultural products in Russia.

Full text (added May 23, 2019)

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