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Abstract
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Article Information:
Determinants of Export Participation in East African Agricultural Manufacturing Firms
Niringiye Aggrey, Lubanga Timothy, Okwi Paul and Kaija Darlison
Corresponding Author: Niringiye Aggrey
Submitted: 2010 March, 27
Accepted: 2010 April, 13
Published: 2010 August, 30 |
Abstract:
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The main objective of this study was to analyze the determinants of export participation of
agricultural manufacturing firms in East A frica. In order for E ast African agricultural manufacturing firms to
achieve global competitiveness, they need to have an indication of the factors that influence their export
participation. Regression results using probit estimation procedure indicate that capital, foreign ownership and
training in Uganda, average education, location in Nakuru and proportion of unskilled workers in Kenya, and
firm size and location in Arusha and Mwanza in Tanzania, positively influences export participation of
agricultural manufacturing firms. To promote exports, Tanzania should design strategies to grow small firms
into large ones using measures such as loan guarantee schemes for small and medium firms, tax holidays for
joint ventures and mergers, etc. The Ugandan government should also provide incentives for capital imports
such as maintaining the current zero rating of capital imports. Lastly, Ugandan government should design
strategies aimed at attracting foreign direct investment, such as improving economic productivity through the
provision of infrastructure and labour force training.
Key words: Capital, export, manufacturing, participation, size, training,
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Cite this Reference:
Niringiye Aggrey, Lubanga Timothy, Okwi Paul and Kaija Darlison, . Determinants of Export Participation in East African Agricultural Manufacturing Firms. Current Research Journal of Economic Theory, (3): Page No: 112-118.
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ISSN (Online): 2042-485X
ISSN (Print): 2042-4841 |
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