Greece has a comparative advantage in exports in 43 out of a total of 97 product categories, which if the state and the business world in this country promote could lead to the doubling of Greek exports’ share in the local economy, a recent conference held by the Greek International Business Association (SEVE) heard.
With exports amounting to 10.3 percent of the country’s gross domestic product last year, Greece retains a comparative advantage in 12 product categories over its main competitors (Spain, Portugal, Italy and Turkey), the survey titled “Three-Year Action Plan for the Targeted Strengthening of Greek Exports per Sector and Market” suggested at the recent “Export Summit: Roadmap to Growth.”
These categories are fur and leather, fruit and vegetable products, cotton, tobacco products and substitutes, salt, olive oil, fresh fruit, fisheries, aluminum, copper, dairy products, soap and candles.
The survey, presented by Tassos Alexandridis, SEVE’s vice president, is based on the use of an index named Revealed Comparative Advantage (RCA). This indicates the sectors in which a country specializes in production and therefore retains the edge over another country or group of countries. The RCA index is formed by taking into account the countries that import products from Greece as well as the share of exports going to each country.
Compared with the other 34 member states of the Organization of Economic Cooperation and Development (OECD), where more than 90 percent of Greek exports head to, Greece retains an advantage in 43 out of a total of 97 categories of products. The category of fur and leather products ranks top with a particularly high coefficient (32.621 points).
The survey will later continue on a secondary level, with the formation of a chart to combine products and markets. The aim is to have policy directions emerge toward new products, and new markets for them, as well as for new enterprises to consider the production of commodities for export.Ekathimerini.com