Regional Value Chains for Processed Foods in The Pacific Alliance
Journal Title: Revista CEA - Year 2024, Vol 10, Issue 23
Abstract
Purpose: The present study focused on identifying opportunities for production linkages to establish regional value chains in the processed foods sector in Chile, Colombia, Mexico, and Peru—the countries that make up the Pacific Alliance (PA). Design/Methodology: This study applied a qualitative methodology. The authors selected products in the food sector that presented a positive trade balance in one of the four PA member states between 2017 and 2021. These products were classified as final goods or inputs according to their industrial manufacturing processes, and value chains were organized. Subsequently, the role of each country was established, either as manufacturer of final goods or supplier of inputs in the chain. The products were classified using the 4-digit Harmonized Tariff System. Findings: Thirteen value chains of final goods and thirty-two inputs with export potential were identified. Remarkably, the four PA member states can be manufacturers of final goods in at least three of the chains. Mexico can be a manufacturer of final goods in twelve of the chains. With respect to inputs, all the four member states can participate in seven out of the thirteen chains; and at least three of them can participate in the other six. Conclusions: In general, it was observed that the countries in the Pacific Alliance have the potential to establish value chains for processed foods. In addition, Mexico stands out as the top manufacturer of final goods in this industry. Each one of the four member states can supply a wide range of inputs. Originality: This paper highlights the role that each PA member state can play as a manufacturer of final products or supplier of inputs with strengths in exports to establish production linkages.
Authors and Affiliations
Edgar Javier Gómez Parada, Jimmy González Escobar,Gyseidys González Polo
Keywords
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