An Analysis of Global Silk Trade: Linking Coordination to Technological Improvements and Exports

Sammanfattning: Many studies have over the years utilized gravity models derived from trade theories to investigate how various factors affect trade in agricultural goods. Although technological improvements could be considered in such models, few studies have considered this topic in depth, leaving a void to fill. To partly fill this void, this study has chosen the silk sector to analyze the impact of technological improvements – more specifically yield increases through the introduction of silkworm hybrids – on silk exports. This sector is particularly interesting as it is highly labor-intensive, generates a high-value added and requires little land area for cultivation, thereby having the potential to reduce poverty. Additionally, as the supply of silk from the main exporter China has decreased in recent years, there is a possibility for other countries to overtake China’s earlier role. By dint of data and information collected from publications and over 30 research institutions, 26 silk exporting countries are qualitatively and quantitatively analyzed over the period 2000-2010. In the qualitative analysis, the study classifies countries’ silk sectors according to their performance in research, and in grainage – i.e. silkworm egg provision – by drawing on arguments from two studies considering technological improvements in African cotton sectors. In the quantitative analysis, a gravity model is used. The study concludes that there is a significantly positive relationship between introduced silkworm hybrids and silk exports. Moreover, for a country to increase its silk exports, the country should aim to make funding available for research and grainage, and to foster collaboration between research institutions.