Structural Reforms and Agricultural Export Performance: An Empirical Analysis

This study empirically investigates the effects of structural reforms on bilateral trade flows of agricultural products. Specifically, the study jointly analyzes the impacts of three different reforms including financial reform, trade reform, and agricultural reform on agricultural trade. The results suggest that less restrictive credit constraints, reduced tariff rates, and less government interventions are likely to generate increase in total agricultural exports. The evidence further indicates that the impacts of the reforms vary considerably across less aggregated products as well as across reform forms. The results provide a solid policy foundation for pursuing structural reforms in order to stimulate trade and economic growth, given the fact that the index level of reforms has not reached the level of full liberalization yet