Analyzing Affective Economical Factors on Demand Export of Iran\'s Pistachio

Authors

Abstract

Abstract
Iran always has first rank of pistachio production and exports in the world, but Iran’s share in world markets decreased after that United State entered in this market. It was to the point that in spite of increasing its pistachio exports, its world value share decreased from 58 percent in 2000 to 31 percent in 2008. It shows that Iran's position weaken in international market. Therefore, considering affective factors on the export demand during the past years, could improves Iran's position in the world market. Thus, the greatest importer countries of Iran’s pistachio during 1997-2006 were selected and the Iran pistachio export demand function was estimated with panel data. The results showed that Iran’s pistachio export price and the shock caused by Aflatoxin poisoning in 2004, have significantly negative effect, and the world price and real per capita income have significantly positive effect on imports of Iran’s pistachio. Also, variable exchange rate showed insignificant effects. Therefore, considering investments on production and marketing of pistachio (i.e. suitable implanting, growing and harvesting methods and also considering Aflatoxin poison) could improve export share of Iran in long-run.

JEL Classification: F12, Q17

Keywords:
Export Demand Function, Iran, Panel Data, Pistachio