Ranking of Socio-economic Variables affecting the Bilateral Trade of Saffron in Iran and Business Partners

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Hendizadeh Hengameh; KARBASI ALIREZA; MOHTASHAMI TOKTAM; SAHABI HOSSEIN

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Journal: JOURNAL OF SAFFRON RESEARCH Year:2019 | Volume:7 | Issue:1 Page(s): 55-67

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Title

Ranking of Socio-economic Variables affecting the Bilateral Trade of Saffron in Iran and Business Partners

Author(s)

Hendizadeh Hengameh | KARBASI ALIREZA | MOHTASHAMI TOKTAM | SAHABI HOSSEIN | Issue Writer Certificate

Keywords

Bilateral tradeQ1

Gravity patternQ2

Gross domestic productQ1

World trade indexQ1

Abstract

Bilateral trade or mutual trading or two-way business is a business that is between two countries and usually under government negotiations. Bilateral trade is generally arranged for political reasons or due to problems that arise in payments. Foreign trade in agricultural products plays an important role in expanding the export and import of various countries due to its high and stable value. Among the agricultural products, saffron is one of the most important export commodities of agriculture, which contributes greatly to the creation of agricultural value added. To maintain Iran's position as the largest producer and exporter of saffron in world markets and to further develop the export of this valuable product, recognizing and determining the importance of the factors affecting it can be an important step in this direction. Therefore, the present study seeks to assess the ranking of socioeconomic variables affecting the Bilateral trade of saffron in Iran and its trading partners during the period of 2007-2016. So aiming for the purpose gravity of pattern was used. Variables of import prices per g, export prices per g, volumes of inputs, export volumes, Gross domestic product (GDP), real exchange rate, World trade index, population, distance, common language and export insurance of the factors affecting the Bilateral trade of saffron in Iran. The results of the gravity model showed that GDP variable increase income and economic power of the country and this is for the importing country cause increases imports from the exporting country. Also, the results showed that variables of import volume, transport cost and distance had a negative impact on Bilateral trade. Common language variables and export insurance statistically it is meaningless and the positive two variables indicate their direct relationship with Bilateral trade. It is suggested due to the important role of distance in trade, mostly with trading countries that are less distant.

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APA: Copy

Hendizadeh, Hengameh, KARBASI, ALIREZA, MOHTASHAMI, TOKTAM, & SAHABI, HOSSEIN. (2019). Ranking of Socio-economic Variables affecting the Bilateral Trade of Saffron in Iran and Business Partners. JOURNAL OF SAFFRON RESEARCH, 7(1 ), 55-67. SID. https://sid.ir/paper/240460/en

Vancouver: Copy

Hendizadeh Hengameh, KARBASI ALIREZA, MOHTASHAMI TOKTAM, SAHABI HOSSEIN. Ranking of Socio-economic Variables affecting the Bilateral Trade of Saffron in Iran and Business Partners. JOURNAL OF SAFFRON RESEARCH[Internet]. 2019;7(1 ):55-67. Available from: https://sid.ir/paper/240460/en

IEEE: Copy

Hengameh Hendizadeh, ALIREZA KARBASI, TOKTAM MOHTASHAMI, and HOSSEIN SAHABI, “Ranking of Socio-economic Variables affecting the Bilateral Trade of Saffron in Iran and Business Partners,” JOURNAL OF SAFFRON RESEARCH, vol. 7, no. 1 , pp. 55–67, 2019, [Online]. Available: https://sid.ir/paper/240460/en

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