Comparative Advantage Analysis of HoaLoc-Mango Production in the Mekong Delta Region, Vietnam

Abstract

The objective of this research is to determine the comparative advantage of the HoaLoc-mango export routes in terms of social price. This is assessed by calculating the domestic resource cost per shadow exchange rate (DRC/SER). A total of 457 sample observations were gathered from various stakeholders in the agricultural sector, including farmers, cooperatives, collectors, wholesalers, export enterprises, and processing firms, via the use of questionnaires. The findings suggest that the three export channels of HoaLoc-mango distribution channels exhibit a comparative advantage, as shown by a DRC/SER ratio of less than one. In the first export channel, the DRC/SER ratios for seasons 1, 2, and 3 are 0.56, 0.55, and 0.51, respectively. In export channel 2, the values for seasons 1, 2, and 3 are 0.45, 0.43, and 0.36, respectively. The DRC/SER ratios for seasons 1, 2, and 3 in export channel 3 are 0.46, 0.44, and 0.32, respectively. Season 3 is regarded as a beneficial cropping season within the year, since it demonstrates the maximum comparative advantage across all three export channels. Channels 2 and 3 provide a superior comparative advantage in comparison to channel 1. It is recommended that policy makers and government entities implement incentive policies aimed at enhancing product quality, eliminating both border and non-tariff barriers, and effectively leveraging the comparative advantage derived from favorable climatic, soil, and water conditions. These factors play a crucial role in fostering the sustainable development and economic advancement of HoaLoc-mango.