Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market

Daniel Hernandez Soto; Alicia Casique Guerrero; Jose Porfirio Gonzalez Farias

doi:doi:10.11648/j.ijae.20220704.13

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Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market

Daniel Hernandez Soto, Alicia Casique Guerrero, Jose Porfirio Gonzalez Farias

Published in International Journal of Agricultural Economics (Volume 7, Issue 4)

Received: 2 July 2022 Accepted: 18 July 2022 Published: 26 July 2022

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Abstract

Mexico is the main mango exporter in the world, while Canada is the eleventh importer and to cover its domestic demand, it imports mango mainly from Mexico. It is important to mention that, between 2003 and 2021, the annual growth rate of Mexican mango imports in Canada averaged 4.19%. On this basis, the purpose of this research is to determine the economic viability of increasing Mexican mango imports in Canada at an average annual growth rate of 10%. In order to carry out the work, the international mango market between Mexico and Canada was represented in an econometric model, through a partial equilibrium analysis, to simulate a rate of 10%. The results show that an increase in the exported quantity of Mexican mango to the Canadian market at an annual growth rate of 10% is not viable from an economic perspective. Likewise, the results of the simulated scenario show that the Benefit/Cost Ratio (B/C R) in mango production for Michoacán, Sinaloa, Nayarit and Oaxaca would be 1.1264, 1.2475, 0.8543 and 1.1053, respectively. On the other hand, the simulation scenario shows that the annual growth rate of Mexican mango exports to the Canadian market should not be greater than 1.2966%, since increases in magnitudes less than this rate causes the total value of the traded quantity to increase. In the same way, increases greater than a rate of 1.2966% causes that the total value of the traded quantity to decrease.

Published in	International Journal of Agricultural Economics (Volume 7, Issue 4)
DOI	10.11648/j.ijae.20220704.13
Page(s)	163-174
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2022. Published by Science Publishing Group

Keywords

Mango, International Trade, Viability

References

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[2]	Government of Canada (GC). (2022). Trade Data Online. Canada.
[3]	Ministry of Economy. (2022). Tariff Information System Via Internet (SIAVI). Mexico.
[4]	Torres G., R. (2011). International Trade Theory. SXXI. Mexico 200-202, 226-228.
[5]	Williams, G. W. (2022), International Agribusiness Trade Analysis. Texas A&M University. USA.
[6]	Krugman, P. R. & Wells, R. (2013). Introduction to Economics. Spain. Reverté. 14-16.
[7]	Carbaugh. R. J. (2009). International Economy. Cengage Learning. Mexico. 15-21, 30-31, 68-70.
[8]	Krugman, P. R., Obstfeld, M. & Melitz, M. J. (2012). International Economy. Spain, Pearson. 22-28.
[9]	Hernandez S., D. & Martinez D., M. A. (2009) Procedure for a partial equilibrium analysis of the Mexican mango (Mangifera indica) exports to USA. Journal Fitotecnia Mexicana. 32 (3). 251-256.
[10]	Hernandez S., D., Lopez Ch., F. J. & Casique G., A. (2020). A Partial Equilibrium Analysis of Mexican Mango Exports to the United States. Journal Agricultura, Sociedad y Desarrollo. 17 (1). 171-199.
[11]	Hernandez S., D., Alejos G., A. A. & Casique G., A. (2021). Impacts on Profitability for the Mexican Strawberry Producers due to an Increase in Exports to USA. International Journal of Agricultural Economics. 6 (1). Pp. 1-11. Doi: 10.11648/j.ijae.20210601.11.
[12]	Williams, G. W., Capps, O. & Bessler, D. A. (2004). Florida orange grower returns from orange juice advertising. TAMRC Consumer and Product. USA.
[13]	Hernandez S., D. & Gonzalez F., J. P. (2022). Competitiveness analysis of exporting Mexican avocado to United States of America. Journal of Globalization, Competitiveness and Governability. 16 (1). Pp. 66-80. Doi: 10.3232/GCG.2022.V16.N1.03.
[14]	Capps, O., Williams, G. W. & Dang, T. (2010). Effects of lamb promotion on lamb demand and imports. Reports 90492, Texas A&M University. Agribusiness, Food, and Consumer Economic Research Center. 2010.
[15]	Hernandez S., D., Cornejo S., M. C. & Galvan M., P. (2022). Profitability of Mexican avocado production in the face of an increase in exports to the Canadian market. International Journal of Applied Agriculture Sciences. 8 (2). Doi: 10.11648/j.ijaas.20220802.15.
[16]	Gujarati, D. N. & Porter, D. C. (2010). Basic Econometrics. McGraw Hill. USA. 673-674.
[17]	Ministry of Agriculture. (2022). Agrifood and Fisheries Information Service (SIAP). Mexico.
[18]	Rodriguez C., V.; Bao G., R. & Cardenas L., L. (2015). Formulation and evaluation of projects. Limusa. Mexico. 375-377.

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APA Style

Daniel Hernandez Soto, Alicia Casique Guerrero, Jose Porfirio Gonzalez Farias. (2022). Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market. International Journal of Agricultural Economics, 7(4), 163-174. https://doi.org/10.11648/j.ijae.20220704.13

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ACS Style

Daniel Hernandez Soto; Alicia Casique Guerrero; Jose Porfirio Gonzalez Farias. Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market. Int. J. Agric. Econ. 2022, 7(4), 163-174. doi: 10.11648/j.ijae.20220704.13

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AMA Style

Daniel Hernandez Soto, Alicia Casique Guerrero, Jose Porfirio Gonzalez Farias. Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market. Int J Agric Econ. 2022;7(4):163-174. doi: 10.11648/j.ijae.20220704.13

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@article{10.11648/j.ijae.20220704.13,
  author = {Daniel Hernandez Soto and Alicia Casique Guerrero and Jose Porfirio Gonzalez Farias},
  title = {Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market},
  journal = {International Journal of Agricultural Economics},
  volume = {7},
  number = {4},
  pages = {163-174},
  doi = {10.11648/j.ijae.20220704.13},
  url = {https://doi.org/10.11648/j.ijae.20220704.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijae.20220704.13},
  abstract = {Mexico is the main mango exporter in the world, while Canada is the eleventh importer and to cover its domestic demand, it imports mango mainly from Mexico. It is important to mention that, between 2003 and 2021, the annual growth rate of Mexican mango imports in Canada averaged 4.19%. On this basis, the purpose of this research is to determine the economic viability of increasing Mexican mango imports in Canada at an average annual growth rate of 10%. In order to carry out the work, the international mango market between Mexico and Canada was represented in an econometric model, through a partial equilibrium analysis, to simulate a rate of 10%. The results show that an increase in the exported quantity of Mexican mango to the Canadian market at an annual growth rate of 10% is not viable from an economic perspective. Likewise, the results of the simulated scenario show that the Benefit/Cost Ratio (B/C R) in mango production for Michoacán, Sinaloa, Nayarit and Oaxaca would be 1.1264, 1.2475, 0.8543 and 1.1053, respectively. On the other hand, the simulation scenario shows that the annual growth rate of Mexican mango exports to the Canadian market should not be greater than 1.2966%, since increases in magnitudes less than this rate causes the total value of the traded quantity to increase. In the same way, increases greater than a rate of 1.2966% causes that the total value of the traded quantity to decrease.},
 year = {2022}
}

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TY  - JOUR
T1  - Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market
AU  - Daniel Hernandez Soto
AU  - Alicia Casique Guerrero
AU  - Jose Porfirio Gonzalez Farias
Y1  - 2022/07/26
PY  - 2022
N1  - https://doi.org/10.11648/j.ijae.20220704.13
DO  - 10.11648/j.ijae.20220704.13
T2  - International Journal of Agricultural Economics
JF  - International Journal of Agricultural Economics
JO  - International Journal of Agricultural Economics
SP  - 163
EP  - 174
PB  - Science Publishing Group
SN  - 2575-3843
UR  - https://doi.org/10.11648/j.ijae.20220704.13
AB  - Mexico is the main mango exporter in the world, while Canada is the eleventh importer and to cover its domestic demand, it imports mango mainly from Mexico. It is important to mention that, between 2003 and 2021, the annual growth rate of Mexican mango imports in Canada averaged 4.19%. On this basis, the purpose of this research is to determine the economic viability of increasing Mexican mango imports in Canada at an average annual growth rate of 10%. In order to carry out the work, the international mango market between Mexico and Canada was represented in an econometric model, through a partial equilibrium analysis, to simulate a rate of 10%. The results show that an increase in the exported quantity of Mexican mango to the Canadian market at an annual growth rate of 10% is not viable from an economic perspective. Likewise, the results of the simulated scenario show that the Benefit/Cost Ratio (B/C R) in mango production for Michoacán, Sinaloa, Nayarit and Oaxaca would be 1.1264, 1.2475, 0.8543 and 1.1053, respectively. On the other hand, the simulation scenario shows that the annual growth rate of Mexican mango exports to the Canadian market should not be greater than 1.2966%, since increases in magnitudes less than this rate causes the total value of the traded quantity to increase. In the same way, increases greater than a rate of 1.2966% causes that the total value of the traded quantity to decrease.
VL  - 7
IS  - 4
ER  -

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Author Information

Daniel Hernandez Soto

Economics and Management Sciences Department, Celaya Institute of Technology, Celaya, Mexico
Alicia Casique Guerrero

Economics and Management Sciences Department, Celaya Institute of Technology, Celaya, Mexico
Jose Porfirio Gonzalez Farias

Economics and Management Sciences Department, Celaya Institute of Technology, Celaya, Mexico

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APA Style

Daniel Hernandez Soto, Alicia Casique Guerrero, Jose Porfirio Gonzalez Farias. (2022). Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market. International Journal of Agricultural Economics, 7(4), 163-174. https://doi.org/10.11648/j.ijae.20220704.13

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ACS Style

Daniel Hernandez Soto; Alicia Casique Guerrero; Jose Porfirio Gonzalez Farias. Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market. Int. J. Agric. Econ. 2022, 7(4), 163-174. doi: 10.11648/j.ijae.20220704.13

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AMA Style

Daniel Hernandez Soto, Alicia Casique Guerrero, Jose Porfirio Gonzalez Farias. Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market. Int J Agric Econ. 2022;7(4):163-174. doi: 10.11648/j.ijae.20220704.13

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@article{10.11648/j.ijae.20220704.13,
  author = {Daniel Hernandez Soto and Alicia Casique Guerrero and Jose Porfirio Gonzalez Farias},
  title = {Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market},
  journal = {International Journal of Agricultural Economics},
  volume = {7},
  number = {4},
  pages = {163-174},
  doi = {10.11648/j.ijae.20220704.13},
  url = {https://doi.org/10.11648/j.ijae.20220704.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijae.20220704.13},
  abstract = {Mexico is the main mango exporter in the world, while Canada is the eleventh importer and to cover its domestic demand, it imports mango mainly from Mexico. It is important to mention that, between 2003 and 2021, the annual growth rate of Mexican mango imports in Canada averaged 4.19%. On this basis, the purpose of this research is to determine the economic viability of increasing Mexican mango imports in Canada at an average annual growth rate of 10%. In order to carry out the work, the international mango market between Mexico and Canada was represented in an econometric model, through a partial equilibrium analysis, to simulate a rate of 10%. The results show that an increase in the exported quantity of Mexican mango to the Canadian market at an annual growth rate of 10% is not viable from an economic perspective. Likewise, the results of the simulated scenario show that the Benefit/Cost Ratio (B/C R) in mango production for Michoacán, Sinaloa, Nayarit and Oaxaca would be 1.1264, 1.2475, 0.8543 and 1.1053, respectively. On the other hand, the simulation scenario shows that the annual growth rate of Mexican mango exports to the Canadian market should not be greater than 1.2966%, since increases in magnitudes less than this rate causes the total value of the traded quantity to increase. In the same way, increases greater than a rate of 1.2966% causes that the total value of the traded quantity to decrease.},
 year = {2022}
}

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TY  - JOUR
T1  - Determination of the Economic Viability of Increasing Exports of Mexican Mango to the Canadian Market
AU  - Daniel Hernandez Soto
AU  - Alicia Casique Guerrero
AU  - Jose Porfirio Gonzalez Farias
Y1  - 2022/07/26
PY  - 2022
N1  - https://doi.org/10.11648/j.ijae.20220704.13
DO  - 10.11648/j.ijae.20220704.13
T2  - International Journal of Agricultural Economics
JF  - International Journal of Agricultural Economics
JO  - International Journal of Agricultural Economics
SP  - 163
EP  - 174
PB  - Science Publishing Group
SN  - 2575-3843
UR  - https://doi.org/10.11648/j.ijae.20220704.13
AB  - Mexico is the main mango exporter in the world, while Canada is the eleventh importer and to cover its domestic demand, it imports mango mainly from Mexico. It is important to mention that, between 2003 and 2021, the annual growth rate of Mexican mango imports in Canada averaged 4.19%. On this basis, the purpose of this research is to determine the economic viability of increasing Mexican mango imports in Canada at an average annual growth rate of 10%. In order to carry out the work, the international mango market between Mexico and Canada was represented in an econometric model, through a partial equilibrium analysis, to simulate a rate of 10%. The results show that an increase in the exported quantity of Mexican mango to the Canadian market at an annual growth rate of 10% is not viable from an economic perspective. Likewise, the results of the simulated scenario show that the Benefit/Cost Ratio (B/C R) in mango production for Michoacán, Sinaloa, Nayarit and Oaxaca would be 1.1264, 1.2475, 0.8543 and 1.1053, respectively. On the other hand, the simulation scenario shows that the annual growth rate of Mexican mango exports to the Canadian market should not be greater than 1.2966%, since increases in magnitudes less than this rate causes the total value of the traded quantity to increase. In the same way, increases greater than a rate of 1.2966% causes that the total value of the traded quantity to decrease.
VL  - 7
IS  - 4
ER  -

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