The Research Of Enhancing Fujian And Taiwan Agricultural Products International Trade Competitiveness

The relations of both Fujian and Taiwan have been profound.Especially in2001,with the successive accession to the WTO,the two sides integrate into the orbit ofeconomic globalization. At the same time,both sides are also facing some newopportunities and challenges. Because the geographical and climatic conditions ofboth sides are very similar, both sides’ agricultural products are similar andcompetitive in the international trade. Respond to accession to the WTO’s impact onagriculture,both sides begin to develop export-oriented agriculture. However,agricultural products’ varieties and export areas of both sides are similar, what leads tothe mutual competition on the international market.To solve this problem,more andmore people begin to be interested in it.In view of this, to find the favorable factors ofexpanding cross-strait international agricultural trade, strengthen the level ofagricultural cooperation between Fujian and Taiwan and further expand the depth andconnotations of the cross-strait international agricultural trade,analyzing thecompetitiveness of agricultural products between Fujian and Taiwan no doubt has avery important theoretical value and practical significance.In this paper, we mainly compared and analyzed the agricultural productsdevelopment status between Fujian and Taiwan. we clearly know the overallcompetitiveness of agricultural products and their respective competitive advantagesby the use of international market share, trade competitiveness index and revealedcomparative advantage index.And we draw another conclusion that as the total scaleof trade and trade dependence between Fujian and Taiwan continues to expand.Thisindicates that Fujian and Taiwan agricultural products have a certain degree ofcompetition in the international market,and this competition expresses an upwardtrend in recent years, while maintaining some products of their respective comparativeadvantages and product similarity being improved.Overall, Fujian and Taiwanagricultural products, although there is a competition, but also has a strong tradecomplementarity. By enhancing the cooperation between Fujian and Taiwan,it isbeneficial to improve the international competitiveness of both sides’ agriculturalproducts,and we also give some strategic recommendations for direct investment,reasonable selection of the focus on cooperation in industry and cooperation, enhancecommunication and collaboration between the industry associations, strengthenexchanges and cooperation of agricultural technology between Fujian and Taiwan,and the implementation of multi-strategies.The results show that the international market share of Taiwan’s agriculturalproducts is greater than Fujian’s,but Fujian agricultural products’ export is morepotential.With the resources of Taiwan decreasing,the market’s shrinking, theagricultural labor force’s reduction and the rising cost of agriculturalproducts,Taiwan’s agricultural products are basically lack of comparative advantage,comparative advantage of most of the products showing a clear downward trend, andthis trend is continuing.Comparing with Taiwan,Fujian has excellent climaticconditions,rich natural resources,abundant biological species and labor-abundant andinexpensive,so Fujian has a strong comparative advantage.But Fujian lack modernagricultural production factors.Given the long-term downward trend of thecompetitiveness of agricultural products between Fujian and their facing challenges ofglobalization,Fujian and Taiwan should abide these principles: the complementaryadvantages,eliminating the conflict and rational division of labor, actively strengthen communication and cooperation in agricultural technology, capital and labor. Theformation that the entire agricultural industry chain complementary division of laborof Taiwan and Fujian was able to largely avoid the vicious competition of two sides asa result of the structural convergence, better fulfill the optimization of both sides’agricultural resources distribution, work together to improve the internationalcompetitiveness of the agricultural trade between Fujian and Taiwan, and ultimatelyforming a win-win situation.