**3. Honey exports and imports of Serbia, Romania and Italy**

of exported honey from the selected countries by using the Balassa index. Research included a 10-year period. For this purpose, there were used data from Faostat, UN Comtrade and ITC

The main body of our analysis deals with computation and comparison of the honey sector competitiveness in Serbia, Romania and Italy, to measure the comparative advantage of the honey export. The existence and extent of correlations among trade indexes is also performed. The basic concept of comparative advantage was erected in 1965 and the original Balassa

> *Xij* \_\_\_ *X*it \_\_\_*Xnj* \_\_\_ *X*nt

where *X***ij** is export of product *j* (honey in this case) from countries (Serbia, Romania and Italy, in this analysis); *X***it** is total export of Serbia, Romania and Italy; *X***nj** is total export of honey from world and *X***nt** is total export of the world. For values *B* > 1, the comparative advantage in honey export of the country examined is revealed. In other words, there is comparative advantage in honey export by the country when the share of honey exported on total export

(*Xnj*/*Xnt*). Ref. [18] made the correction of the index of comparative advantage and he presented it as relative trade advantage (RTA). Relative trade advantage (RTA) stands for the difference between the relative advantages of export (RXA) and the relative merits of import (RMA).

*RXA = B,* (3)

where *Mij* is import of honey from Serbia, Romania and Italy, *Mit* is total import from Serbia, Romania and Italy, *Mnj* is total import of honey from the world and *Mnt* is total import from world. The interpretation of the relative import advantage index is symmetrical with respect to the relative advantages of export (or B) Index: the country examined is relatively more "vulnerable" to honey import (compared to its entire economy) when the share of honey imported on total import of the country (*Mij*/*Mit*) is bigger than the share of honey world import on total world import (*Mnj*/*Mnt*). Calculating more accurate comparative advantages, Ref. [18] has created another index as the natural logarithm (ln) of the relative advantages of exports and imports (ln RXA and ln RMA). The difference obtained between the relative advantages of exports and imports is the revealed competitiveness (RC) and is

*RC* = lnRXA - lnRMA. (5)

*Mij* \_\_\_ *M*it \_\_\_ \_\_\_ *Mnj M*nt 

/*Xit*) is bigger than the share of honey world export on total world export

 *RTA = RXA - RMA*, (2)

, (4)

, (1)

(0409 product code), but also data provided by National Statistics Bodies.

model is given in Ref. [17]:

8 Honey Analysis

of the country (*Xij*

expressed as:

*B* =

*RMA* =

Results of the research show that within the analysed period the value of exports and imports increased on both the global level and in the analysed countries (**Table 1**). Comparing the change in import and export along the time span we have used the average annual growth rate (*g*), computed as:

$$\mathbf{g} = \begin{pmatrix} \tilde{\sqrt{f}} \\ \tilde{\bar{\chi}} \end{pmatrix} - \mathbf{1}\_{\prime\prime}$$

where *f* is the final value of the series (year 2015), *i* is the initial value of the series (2006) and *n* is the time length (9 years). The interpretation of this formula is: a 5% of average growth rate means that, starting from the initial value (at 2006) *i*, it is necessary an annual increase of 5% to obtain the final value (at 2015) *f*. Average annual export growth rates in value show that Serbia had the highest average growth—37.9%. However, even with such a high value, Serbia did not achieve significant results in absolute terms, so that the average annual export amounted to USD 6.5 million with considerable oscillations per years. Romania had the highest average value of export amounting to USD 38.6 million, although over the last few years, exports increased considerably, at 9% per year, on average. The value of honey exports from Italy was growing at the rate higher than Romania but far lower than Serbia (15.1% per year) with the average value of exports being USD 31.7 million. Import data, in value, shows that Romania had the highest average annual growth rate—50.2% with average annual imports of USD 3.6 million that is however lower than the export value, with positive trade balance (exportimport) of USD 35 million, on average. This makes Romania a net exporter of honey in value. Serbia imported certain quantities of honey in some years; however, they were insignificant, amounting to the average of USD 76,000. Also Serbia is a net exporter with a positive trade balance of USD 65,000, on average. Italy had the highest average value of imports amounting to USD 56.9 million with a considerable increase in imports over the last few years. Unlike Romania and Serbia, Italy is a net importer, in value, of honey with the average (2006–2015) value of import exceeding by UDS 25 million the export.

Switching from values to quantity traded (**Table 2**), the research show that over 2006–2015 period the quantity of exports and imports increased on both the global level and in the selected countries. In terms of export and import quantities, Serbia had the highest average annual growth rate—32.8%. Note that, as export quantity has grown less than export value, the unit value of exported Serbian honey grown, in nominal terms, over that period. However, the average annual quantity of honey exported from Serbia falls considerably behind Romania


**Table 1.** Exported and imported value in period 2006–2015 (US dollar thousand).


**Exporters**

World

Romania

Italy Serbia **Importers**

World

Italy Romania

Serbia

24

 45

 21 **Table 1.** Exported and imported value in period 2006–2015 (US dollar thousand).

 59

 158

 74

 9

 240

 10

 120

 76

 19.6

 159

 775

 2006

 1545

 2383

 3656

 5144

 5546

 8302

 6183

 3569.9

 50.2

28,305

 25,098

 44,864

 51,967

 53,363

 57,967

 56,116

 75,188

 91,183

 84,534

 56,858.5

 12.9

 828,801

 921,846

 1251,716

 1281,993

 1508,615

 1717,049

 1760,692

 2037,321

 2325,266

 2327,362

 1596,066.1

 12.2

537

 1221

 2116

 3220

 7537

 5120

**Imported value**

 12,908

 14,881

 8690

 9670

 6590

**Average**

**(%)**

**Growth rate** 

 37.9

12,339

 16,038

 19,478

 17,674

 31,236

 32,639

 38,392

 59,117

 46,385

 43,800

 31,709.8

 15.1

 20,593

 16,322

 24,933

 41,802

 41,953

 41,230

 44,593

 54,572

 53,919

 46,020

 38,593.7

 9.3

 830,290

 894,356

 1294,224

 1252,091

 1488,906

 1701,343

 1768,323

 2076,365

 2329,733

 2355,486

 1599,111.7

 12.3

 **2006**

 **2007**

 **2008**

 **2009**

 **2010**

 **2011**

 **2012** **Exported value**

 **2013**

 **2014**

 **2015**

 **Average**

**Growth rate** 

**(%)**

10 Honey Analysis

**Table 2.** Exported and imported quantity in period 2006–2015 (tons). and Italy amounting to 1530 tons. Romania had the highest average value of exports amounting to 10,000 tons. Within the analysed period, only small oscillations in exported quantities are shown, which points to the fact that production and supply on international market were balanced. The quantity of honey exports from Italy was growing at the rate of 10.3% per year with average quantity of exports amounting to 6544 tons.

Average annual growth rates of the quantity of honey imports show that Romania had the highest value—50.2% with average annual imports of 1343 tons. Nevertheless, the quantity exported from Romania is higher of 8725 tons than the imported (80% of total Romanian trade of honey). Serbia imported certain quantities of honey in some years, however, they are quite insignificant amounting to the average of 17.7 tons and confirming that Serbia is a net exporter of honey. Italy had the highest average quantity of imports amounting to 16,200 tons, far bigger than its export quantity of 9600 tons, making evident that Italy is a net importer of honey.

**Table 3** emerges in the analysed period that there was an increase in the average price of honey at the rate of 7% per year on the global level. Within such period, Italy reached, on average, the highest export price of honey amounting to USD 4722 per ton, with considerable increase over the last few years. Serbia was exporting honey at the average price of USD 4023 per ton and had very low growth rate within the analysed period. Romania had the lowest average export price of honey amounting to USD 3746 with an average growth rate of 7.9% per year. At the end of the first section, we discussed on the relation between quality and price, suggesting that the former may be somehow reflected in the latter. Even if this concept is reasonable and commonly accepted, this may not apply when comparing prices across countries. In other words, the three-time series of unit value of exported honey are not comparable, that in turn means that higher export prices from a country does not necessarily imply higher quality. Even if quality is a component of the export price this may be also strongly affected by inflationary dynamics and by disposable income of the partners (importers) countries where honey is exported; also transport and other trade costs may play a role in determining export price. For these reasons, time series of exported honey unit values may be interesting if compared, for the same country, over time (and not across countries).

Italy's exports represent 1.86% of world exports for this product its ranking in world exports is 17 (**Table 4**). The average distance of importing countries is 1530 km and the export concentration is 0.22. Serbia's exports represent 0.41% of world exports for this product its ranking in world exports is 32. The average distance of importing countries is 1199 km and the export concentration is 0.17. Romania's exports represent 1.96% of world exports for this product its ranking in world exports is 15. The average distance of importing countries is 1635 km and the export concentration is 0.26. Italy's imports represent 3.65% of world imports for this product its ranking in world imports is 7. The average distance of supplying countries is 2577 km and the market concentration is 0.18. Serbia's imports represent 0.01% of world imports for this product its ranking in world imports is 110. The average distance of supplying countries is 4438 km and the market concentration is 0.34. Romania's imports represent 0.27% of world imports for this product its ranking in world imports is 37. The average distance of supplying countries is 2096 km and the market concentration is 0.2.


and Italy amounting to 1530 tons. Romania had the highest average value of exports amounting to 10,000 tons. Within the analysed period, only small oscillations in exported quantities are shown, which points to the fact that production and supply on international market were balanced. The quantity of honey exports from Italy was growing at the rate of 10.3% per year

Average annual growth rates of the quantity of honey imports show that Romania had the highest value—50.2% with average annual imports of 1343 tons. Nevertheless, the quantity exported from Romania is higher of 8725 tons than the imported (80% of total Romanian trade of honey). Serbia imported certain quantities of honey in some years, however, they are quite insignificant amounting to the average of 17.7 tons and confirming that Serbia is a net exporter of honey. Italy had the highest average quantity of imports amounting to 16,200 tons, far bigger than its export quantity of 9600 tons, making evident that Italy is a net importer of

**Table 3** emerges in the analysed period that there was an increase in the average price of honey at the rate of 7% per year on the global level. Within such period, Italy reached, on average, the highest export price of honey amounting to USD 4722 per ton, with considerable increase over the last few years. Serbia was exporting honey at the average price of USD 4023 per ton and had very low growth rate within the analysed period. Romania had the lowest average export price of honey amounting to USD 3746 with an average growth rate of 7.9% per year. At the end of the first section, we discussed on the relation between quality and price, suggesting that the former may be somehow reflected in the latter. Even if this concept is reasonable and commonly accepted, this may not apply when comparing prices across countries. In other words, the three-time series of unit value of exported honey are not comparable, that in turn means that higher export prices from a country does not necessarily imply higher quality. Even if quality is a component of the export price this may be also strongly affected by inflationary dynamics and by disposable income of the partners (importers) countries where honey is exported; also transport and other trade costs may play a role in determining export price. For these reasons, time series of exported honey unit values may be

interesting if compared, for the same country, over time (and not across countries).

countries is 2096 km and the market concentration is 0.2.

Italy's exports represent 1.86% of world exports for this product its ranking in world exports is 17 (**Table 4**). The average distance of importing countries is 1530 km and the export concentration is 0.22. Serbia's exports represent 0.41% of world exports for this product its ranking in world exports is 32. The average distance of importing countries is 1199 km and the export concentration is 0.17. Romania's exports represent 1.96% of world exports for this product its ranking in world exports is 15. The average distance of importing countries is 1635 km and the export concentration is 0.26. Italy's imports represent 3.65% of world imports for this product its ranking in world imports is 7. The average distance of supplying countries is 2577 km and the market concentration is 0.18. Serbia's imports represent 0.01% of world imports for this product its ranking in world imports is 110. The average distance of supplying countries is 4438 km and the market concentration is 0.34. Romania's imports represent 0.27% of world imports for this product its ranking in world imports is 37. The average distance of supplying

with average quantity of exports amounting to 6544 tons.

honey.

12 Honey Analysis

**Table 3.** Exported unit value US dollar/tons.

