The Study Of Comparative Advantage Of Sino-US Land-intensive Agricultural Products

Along with China’s accession to WTO, its agricultural market will open further. The competition of agricultural products has shifted from domestic to international. China’s agriculture will be impacted by the international market. Land-intensive agricultural products as cereals (mainly rice, corn, wheat), oilseeds category, cotton-based fiber products, sugar-based products, etc., they are materials that essential for human’s survival and strategic resources that matter people’s livelihood. Its produce and supply not only refer to the food security, but also relate to the "three rural" issue, especially for the country with a large population like China.Since2001, the exports and market share of China’s land-intensive agricultural products began declining. Chinese soybean exports as well as international market share decreased significantly since2010, while cereals and cotton since2008and2004respectively. In contrast, exports of land-intensive agricultural products from the U.S. have occupied a high share in the international market, some land-intensive agricultural products even accounted for half share of the international export market. According to this background, analyzing of the Sino-US land-intensive agricultural products’revealed comparative advantage comparatively and assessing the true comparative advantage of Sino-US land-intensive agricultural products properly have important implications for the structural adjustment of China’s agricultural structure.This thesis adopts the analysis approach which combines the theory with demonstration to compare and analyze the comparative advantages of Sino-US land-intensive agricultural products. Firstly, it calculates the RCA index of major Sino-US land-intensive agricultural products according to the Sino-US trade data from the United Nations database, then analyzes. It analyzes the real comparative advantage of major Sino-US land-intensive agricultural products from indicators such as land productivity, cost, and price. Then it starts with analysis of the factors affecting the real comparative advantage of Sino-US major land-intensive agricultural products, and concludes with recommendations for each factor. This thesis is divided into six chapters:chapter one, general introduction. Including the background, study of domestic and abroad, research methods, the lack and innovation. Chapter two, the theoretical analysis. It is divided into theoretical basis, the assessment indicators and the impact of the comparative advantages of Sino-US land-intensive agricultural products. The part of the theoretical basis includes absolute advantage theory, the theory of comparative advantage, factor endowment theory, and mutual demand theory. Chapter three, comparative analysis of revealed comparative advantage of Sino-US land-intensive agricultural products. Mainly through the Sino-US trade data of2001-2013years from the United Nations Commodity Trade Statistics Database analyzes revealed comparative advantage of primarily land-intensive agricultural products exports and the trends. Chapter four, comparative analysis of real comparative advantage of Sino-US land-intensive agricultural products. This part analyzes real comparative advantages of Sino-US land-intensive agricultural products through the land productivity indicators,cost and price indicators. Chapter five, analysis of reasons of difference in the real comparative advantage for Sino-US land-intensive agricultural products. It analyzes the Sino-US differences in production scale, industrial management organization model, the degree of agricultural mechanization, fertilizer use, irrigation levels, and agricultural infrastructure and agricultural support policies. Chapter six, advices for improving the comparative advantage of our land-intensive agricultural products. It offers recommendations separately for each part of the fifth chapter.The basic conclusions of this thesis are:The producing comparative advantage of American rice, corn and soybean is higher than that of Chinese rice, corn and soybean obviously, while the producing comparative advantage of Chinese wheat and cotton is higher than the United States. On the trend, the gap of the producing comparative advantage between the two countries is gradually becoming smaller. By analysis of influencing factors on the real comparative advantage, conclude the suggestions to improve our comparative advantage in land-intensive agricultural products, mainly from the following aspects:to encourage the development of appropriate scale and land transfer operations; to improve industrial management organizational model; to raise the level of agricultural mechanization,to reduce the volume of fertilizer use, to improve irrigation efficiency; to improve rural infrastructure, to construct high-standard farmland; to adjust support structure and improve agricultural insurance.