Time Series Properties and Their Influence on the Results of Price Transmission – Case Study of the Czech Pork Market

This paper deals with an examination of the selected time series and an examination of price transmission in the selected agri-food chain. The analysis is connected with the working question of whether the selection of time series influences the results of price transmission. The analysis is focused on the pork agri-food chain in the Czech Republic; the time series of farm-gate price, wholesale price and consumer price is examined. First of all, the main properties of the selected time series are examined; subsequently, price transmissions based on time series of different frequency and in different periods are analyzed. The price transmission analysis is based on multivariate time series analysis; to be precise, the Vector error correction model and co-integration analysis are employed. The analysis shows that the choice of time series of different frequency should not significantly influence the results of price transmission, whereas the choice of time period might be crucial. The results presented in this paper are outputs of the research project “P402/11/P591 Modelling of price transmission and its asymmetry in agri-food chain – theoretical-empirical implications” supported by Czech Science Foundation

Examination of existence of the law of one price at Czech meat markets

This paper deals with the problem of the law of one price. The topic is examined on wholesaler level of pig meat and beef meat agri-food chains in the Czech Republic. The aim of the paper is to examine whether the law of one price holds at these markets. To fulfill the aim the multivariate time series analysis is employed, concretely co-integration analysis and Vector error correction model (VECM). The analysis is based on time series of wholesale price in individual regions of the Czech Republic which contain bi-weekly data in period from May 2004 to June 2011. The analysis shows that the law of one price does not hold at both markets. However, if the transaction costs are omitted there might be found some regions where it works. Finally, some dominant as well as submissive regions were detected at both pig meat as well as beef meat market

Selected EU Countries Crop Trade Competitiveness from the Perspective of the Czech Republic

The question of the sources of agricultural competitiveness is widely discussed on the farm and sectoral levels in the European Union. This paper assesses the competitiveness of the plant production using the combination of trade measures and strategic management measures in the selected European countries related to the Czech Republic. Thus, the paper evaluates and identifies the sources of competitiveness of plant production. In the case of Belgium and the Netherlands, labour and capital factors have a significant influence on production; in the case of the new member states, these factors are less important, and, conversely, market competitiveness factors are more crucial. The continuous convergence process between Belgium and the Netherlands is illustrated. The divergence between the Netherlands and the rest of the countries is also visible. There is a stable connection between the Czech Republic and Austria, France, and Slovakia. It can be mentioned that there is no statistically significant difference in the comparative advantage between 2005 and 2019, except in the case of France. Analysing sources of competitiveness among the countries of interest is a possible tool for the future direction of trade policies

Czech Comparative Advantage in Agricultural Trade with Regard to EU-27: Main Developmental Trends and Peculiarities

The paper, based on RCA, LFI and GL indices, and logistic regression analysis, allowed us to track the dynamics of the comparative advantage/disadvantage of the Czech Republic in individual commodity aggregates in relation to individual EU partners, and to comprehend the role of the main production factors. The only production factor with a statistically significant effect is capital. Trade with countries richly endowed with agricultural land and capital, in most cases, appeared not favorable for the Czech Republic in terms of having a comparative advantage over them, if measured with LFI index. The values of the GL index disclosed that trade with these countries is mostly of an inter-industry character. The analysis revealed the following top-3 mostly competitive Czech aggregates: S3-08 (animal feed stuff), S3-06 (sugar and sugar preparations), along with S3-04 (cereals and cereal preparations). Some aggregates appeared to not have any comparative advantage: S3-01 (meat, meat preparations), S3-05 (vegetables and fruits), and S3-41 (animal oils and fats). Speaking of developmental trends, from 2000 to 2019 the Czech Republic has managed to improve its position in agri-food trade within the EU-27 by 43.81% if measured with LFI, and by 51.63% if measured with RCA. These positive changes also appeared to be statistically significant

Czech Comparative Advantage in Agricultural Trade with Regard to EU-27: Main Developmental Trends and Peculiarities

The paper, based on RCA, LFI and GL indices, and logistic regression analysis, allowed us to track the dynamics of the comparative advantage/disadvantage of the Czech Republic in individual commodity aggregates in relation to individual EU partners, and to comprehend the role of the main production factors. The only production factor with a statistically significant effect is capital. Trade with countries richly endowed with agricultural land and capital, in most cases, appeared not favorable for the Czech Republic in terms of having a comparative advantage over them, if measured with LFI index. The values of the GL index disclosed that trade with these countries is mostly of an inter-industry character. The analysis revealed the following top-3 mostly competitive Czech aggregates: S3-08 (animal feed stuff), S3-06 (sugar and sugar preparations), along with S3-04 (cereals and cereal preparations). Some aggregates appeared to not have any comparative advantage: S3-01 (meat, meat preparations), S3-05 (vegetables and fruits), and S3-41 (animal oils and fats). Speaking of developmental trends, from 2000 to 2019 the Czech Republic has managed to improve its position in agri-food trade within the EU-27 by 43.81% if measured with LFI, and by 51.63% if measured with RCA. These positive changes also appeared to be statistically significant

Selected EU Countries Crop Trade Competitiveness from the Perspective of the Czech Republic

The question of the sources of agricultural competitiveness is widely discussed on the farm and sectoral levels in the European Union. This paper assesses the competitiveness of the plant production using the combination of trade measures and strategic management measures in the selected European countries related to the Czech Republic. Thus, the paper evaluates and identifies the sources of competitiveness of plant production. In the case of Belgium and the Netherlands, labour and capital factors have a significant influence on production; in the case of the new member states, these factors are less important, and, conversely, market competitiveness factors are more crucial. The continuous convergence process between Belgium and the Netherlands is illustrated. The divergence between the Netherlands and the rest of the countries is also visible. There is a stable connection between the Czech Republic and Austria, France, and Slovakia. It can be mentioned that there is no statistically significant difference in the comparative advantage between 2005 and 2019, except in the case of France. Analysing sources of competitiveness among the countries of interest is a possible tool for the future direction of trade policies

Report on Information and Material Flow - Analysis for the selected case studies

The overall objective of the VALUMICS project is to produce a comprehensive suite of approaches and tools that will enable decision makers to evaluate the impact of strategic and operational policies on resilience, integrity and sustainability of European food value chains. GOALS This report presents the results from Task 4.4 - information and material flow analysis. The objective of Task 4.4 is to analyse the information and material flows in the selected case studies and to study their impact on supply chain decision making. METHODS The research draws on existing literature and national statistics for the material flow analysis. Sankey diagrams are used to represent the material flows. Several stakeholder interviews were conducted for understand the decision-making mechanisms in the Norwegian farmed salmon and Czech wheat case studies. MAIN OUTCOMES This deliverable provides the methodological approach for conducting the material and information flow analysis for different case studies selected in VALUMICS. Material flow analyses from nine case studies from the five European food value chains are presented: Farmed salmon to fillet (Norway), Cattle to beef (UK, Germany), Dairy (France, Germany, UK), Wheat to bread (France, Czech Republic), Tomato to processed tomato (North Italy). Material flows for the tomato case study are reported by market channels while for other case studies, the material flows are reported focussing on the entire value chain from production to distribution stages. Information needs connected to supply chains decision mechanisms are presented for two case studies: Farmed salmon (Norway) and Wheat (Czech Republic) which are used as an example to illustrate the methodological approach in alignment with WP5 (Task 5.2) and WP7 (Task 7.2 - Agent Based Modelling). NEXT STEPS The decision mechanisms for different value chain agents will be further developed in Task 5.2 and WP7 – Agent Based Modelling. The material flows will form an input to Task 4.6 – Risk and resilience assessment and to the scenario development in WP8.Thakur, M., Johansen, U., Jafarzadeh, S., Čechura, L., Rumankova, L., Kroupova, Z. Z., Jaghdani, T.J., Loveluck, W., Mehta, S., Aditjandra, P., Gresham, J., Esposito, G., Samoggia, A.,  lafsd ttir, G., Gudbrandsdottir, I., Schan, C. S., Sj berg, I., Richardsen, R., Haug, K. (2020). Report on Information and Material Flow Analysis for the selected case studies. The VALUMICS project funded by EU Horizon 2020 G.A. No 727243. Deliverable: D4.3, SINTEF Ocean, Trondheim, 70 pages. DOI 10.5281/zenodo.510584