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Improved productivity of agricultural enterprises is central to achieving inclusive growth, poverty reduction and enhanced living standard of most people in Sub Sahara Africa. Motivated by the declining state of agricultural productivity in this region, we pursued the questions of whether agro-processing activities and export of raw agricultural materials have backward linkages effect on agricultural production activities. And, if the relationship exists, how it can be more effectively used? Results from panel data indicate that while agro-processing activities has positive effect on agricultural productivity, increased export of agricultural raw materials negatively influence productivity growth in agriculture. Simulation revealed that policies that concomitantly and yearly improve agro-processing activities by 2.5% and decrease export of agricultural raw materials by the same percentage will lead to acceptable progressive growth in total factor productivity in agriculture in this region.
Productive Complex of Defence and Security in Brazil: dimension, sectorial and technological impacts
Joaquim Jose Martins Guilhoto, Paulo Cesar Morceiro, Milene Simone Tessarin
University of Sao Paulo (USP), Brazil
Besides the strategic role in the search of technological autonomy, the defence and security activities are vital to the maintenance of nacional sovereignty, to the population safety and to reduce public insecurity, enhancing the life quality of its people.
This study has as its main objective, to measure, quantitatively, the value chain and the socioeconomic importance of the industry of defence and security in Brazil. For that, it will be done the unprecedented measuration of the GDP of the Defence and Security Complex (public and private) in the country from 2009 to 2014. There are a few papers on the brazilian’s defence and security sector. The country still needs basic information and evaluation of its public politics aimed to these sectors.
It will also be evaluated the impacts on economic and social variables of 23 priority projects of investment of the Army, Navy and Air Force, defined by the Plan on Articulation and Defence Equipment (PADE) of the Armed Forces of Brazil which holds an estimated budget of US$ 193,8 billions, to be fulfilled between the years of 2012-2031. The governmental demand of goods and services destined to military purposes, particularly in the initial versions of the projects, play a important role in the creation of a variety of critical technologies that spillovers to economy.
In 2014, the GDP of the Complex of Defence and Security was approximately US$ 85.8 billion, an amount corresponding to 3.7% of Brazil's GDP in the same year. These numbers are significant and largely is due to the downstream activities of the value chain, as in 2014, the Defence and Security activities generated about 1.7 million direct jobs, which pay salaries 100% higher than the salary average of the Brazilian economy.
Also stands out the results found that the sectors directly affected by investment projects are medium-high and high tech industries and knowledge intensive services. While they are at the technological forefront, it is expected to generate technological spillovers to the Brazilian industry. The importance of investments of the armed forces in technology and knowledge intensive sectors is highlighted because the current Brazilian production structure is concentrated in low-intensive services sectors in knowledge and commodities. Thus, the actions of the public sector in strategic areas towards technological autonomy have the potential of generate inovations and structural changes.
Natural Resources Economies, Design and Engineering capacity building and Global Commodity Value Chain in Africa: evidence from the oil and gas sector in Algeria.
University of Lille1, France
Natural Resources sectors in African economies have been crowding out manufacturing and the incomes from export of natural resources has not been converted into knowledge assets. At the same time, within the NR sector, the upgrading of has been done through large use of multinational corporations. In so doing, countless opportunities to integrate GVC were lost throughout the period of the high growth of this sector. This contribution tries to examine how globalization of innovation processes open up new possibilities for African countries to move along the Global Value Chain. Strengthening the knowledge base in fields of design and engineering and promoting learning are part of building innovation capabilities and strength in the natural resource based industries and in manufacturing in general. A crucial question is to what extent the D&E capacity of the NR sector can be enhanced through GVCC integration while NIS are still in the construction stage and Design and engineering capabilities are still in preliminary forms. Empirical work looks the missed opportunities