An Economic Study for Foreign Trade of Egyptian Orange

Abstract

Foreign trade is one of the main pillars of the Egyptian economic structure, which is of great importance in financing economic and social development plans in the current period. It is noteworthy in recent times the state's efforts towards the development of Egyptian exports in general and agricultural in particular. The problem of research is that despite the importance of Egyptian exports of fresh oranges for international exports, the statistics indicate that the average Egyptian exports of Egyptian fresh orange were estimated at 862.4 thousand tons during the period (2013-2017), 12.4% compared to the global counterpart of about 6931.8 thousand tons During the same period. Egypt's exports of fresh oranges decreased by 1108.9 thousand tons in 2013 to about 662.1 thousand tons in 2017, a decline of about 40.29%, Which is not simple, which called for the attention of researchers to study the various aspects related to the external trade of fresh Egyptian orange in the most important global markets and identify the problems and constraints that led to that decline to try to reach solutions and recommendations contribute to this problem. The main objective of the research is to analyze and study the foreign trade of Egyptian oranges and shed light on the most important problems facing Egyptian oranges in global import markets, not only in addition to studying the factors affecting the demand of Egyptian oranges in their import markets Main results obtained: The average of the world's fresh orange exports reached 6931.8 thousand tons during the period 2013-2017. Spain came first in the export of fresh oranges with an average period of about 1699.2 thousand tons with a percentage of about 24.5% during the same period. While South Africa ranked second with an average period of about 1141.4 thousand tons, representing about 16.5% of the average quantity exported globally during the same period, while Egypt came in third place with an average period of about 862.4 thousand tons by 12.4% of the average quantity exported globally. The average quantity of Egyptian fresh orange exports reached about 862.4 thousand tons during the period (2013-2017). Saudi Arabia came first in the import of Egyptian fresh orange during the period of study with an average of 177.8 thousand tons at a rate of about 20.6% (2013-2017), while Russia came in second place with an average of 171.9 thousand tons by about 19.9% during the same period of study. The UAE is ranked third with an average of about 60.3 thousand tons at a rate of about 7% during the study period. The most important market for the traditional Egyptian fresh orange of Saudi Arabia and Russia during the period (2013-2017). While the most promising markets in the export of Egyptian fresh orange were the Netherlands and China during the same period. Studying the determinants of demand for fresh oranges in Egypt's main importing markets during the period (2013-2017) indicates the existence of the inverse relation between the average per capita share of the imported quantity of the main imported Egyptian market for Egyptian orange and the average export price of the major exporting countries during the period (2013-2017). Where the average export price during the study period increased by 1%, the average per capita in the countries importing fresh orange is about 1.5%. The value of elasticity of price demand is about 1.5. It indicates that orange is a flexible commodity, which is a real problem in export. As the price increases, countries start looking for other countries as alternatives to the high price, which makes it important to try to reconsider methods and quality of the Egyptian product (Egyptian orange). Customs restrictions have also had a positive effect on the increase in the average per capita share of the major importers of fresh Egyptian orange. Where the average per capita share of the imported quantity of fresh orange has increased, and customs restrictions have been abolished. In other words, if the importing country does not impose customs restrictions, the per capita share of the importing countries will increase by 6.2 kg/person, while if the customs restrictions are imposed, the per capita average will be around 4.2 kg/person during the study period. As shown in the same table, the average per capita income during the study period increased by 1%. The value of income elasticity is about 0.8, which is a food commodity, as it is necessary for the importing citizen of fresh orange during the study period. The research pointed out that the most important problems facing the export of Egyptian orange during 2017 are both problems of production and harvesting, marketing problems, problems of transport and unloading, problems related to credit, and problems related to trade restrictions.