Shrimp Trade Competitiveness of Malaysia and Selected ASEAN Countries

Abstract

This article investigates the level, composition, and sustainability of the trade competitiveness position of Malaysia among some of the world producers of shrimp commodities in Association of Southeast Asian Nations (ASEAN). The growth rate in the shrimp balance of trade (BOT) surplus had increased the most in Malaysia whereas Singapore recorded the highest growth rate in the shrimp BOT deficit. The trend of the relative trade advantage indices indicates that, among the ASEAN-5, Malaysia and Thailand maintained trade competitiveness in fresh shrimp while Indonesia remained competitive in exporting preserved shrimp. Further, the analytic hierarchy process exerts that Thailand possesses the highest competitiveness ranking in shrimp. To be as competitive as Thailand, Malaysia needs to develop a target area of concentration for shrimp production. This will help the government to introduce and implement policies to mitigate the alleged coastal destructions and environmental pollutions and to provide transparency in the shrimp supply chains.

KEYWORDS:

• shrimp aquaculture
• relative trade advantage
• target area of concentration
• environment
• analytic hierarchy process

Acknowledgments

This research project was fully sponsored by the Ministry of Higher Education, Malaysia, Grant 9355100.

Notes

Source. FAO FishStat (2009).

Note. Number in parenthesis is the growth rate.

Source. Department of Fisheries.

Source. Ministry of Agriculture and Agro-Based Industry Malaysia (2010).

Note. USD $1 = RM 3.005 on April 7, 2011.

Source. http://www.gtis.com/gta (accessed on February 25, 2010).

HSC = Harmonized System Code.

HSC = Harmonized System Code.

HSC = Harmonized System Code.

HSC = Harmonized System Code.

Note. **and ***denote the coefficients are significant at the 5% and 1% levels, respectively.

HSC = Harmonized System Code.

Additional information

Notes on contributors

Mohd Mansor Ismail

Mohd Mansor Ismail is a laboratory head at the Institute of Agricultural and Food Policy Studies, Universiti Putra Malaysia.

Amin Mahir Abdullah

Amin Mahir Abdullah is a lecturer in the Department of Agribusiness and Information Systems, Faculty of Agriculture, Universiti Putra Malaysia.