Study On OFDI Reverse Technology Spillover Effect On Agriculture Value Chain Status

As we know, the distribution of Global Agricultural Value Chain status is in line with the Smile Cun’e. China’s agriculture is in the bottom of this curve and it suffers from the unequal treatment of profit distribution. Therefore it’s high time for China to facilitate the pace of agricultural value chain upgrading and promote its position in the global agricultural value chain. With the scale of Chinese agricultural foreign direct investment expanding year by year, it enables China to utilize foreign resources of water, land as well as technology, which will surely enhance Chinese position in global agricultural chain.This thesis focuses on the effect OFDI exerts on the home country’s promotion of the status in Global Agricultural Value Chain. Firstly, we would review the current research on Global Agricultural Value Chain, agricultural OFDI and reverse technology spillover effect of OFDI. And then based on the gain the precedent research, we gain our own research ideas. Secondly, we will explain the two agricultural technology advance models from global agricultural value chain perspective. In order to measure OFDI reverse spillover effect, we will then design a triangle cycle model. This would help us figure out the conductive route of OFDI reverse spillover effect from the perspective of Global Agricultural Value Chain. Thirdly, we would measure export technical complexity of Chinese agricultural product by using2000-2013SITC5-digit bilateral trade data, In order to measure the position of Chinese agricultural in Global Agriculture Value Chain, we would also figure out the export technical complexity of G20and compare the difference between China and G20. Then we would carry out static and dynamic regression analysis of G20panel data from2001-2011on the basis of research from Hausmann(2007), Zhu and Fu(2010), in order to figure out OFDI reverse technology spillover effect on the level of export goods technology. Finally, we would come up with policy recommendations based on our theoretical and empirical analysis results.