The Export of Shrimp and its Effect on Traditional Exports of Ecuador

Abstract

Traditional exports encompass the most significant sectors of non-oil exports in Ecuador; Its progressive growth has led to the diversification of the economy and the reduction of dependence on oil in the country. During recent years, the export of Ecuadorian shrimp has stood out as the undisputed leader, occupying a preeminent position in the international market. The objective of this research focused on analyzing shrimp exports and their effect on traditional exports of Ecuador, period 2015-2022; Therefore, the evolution of shrimp exports was described, and the growth of the other items of traditional exports was identified, in order to formulate an econometric model that identifies the elasticities of the products in traditional exports. The methodology used had a mixed, non-experimental approach, in a longitudinal-evolutionary degree; Likewise, a causal comparative research base was used that allowed analyzing the cause-effect relationship of Ecuadorian shrimp exports in a specific time range within the category of traditional exports; The documentary research method was applied, adopting deductive and analytical approaches; The data were processed using an econometric time series model, under the ordinary least squares (OLS) method, requiring the use of Gretl software. The results showed that shrimp has “inelastic” elasticity, since when shrimp increases by 1%, its exports, traditional exports will increase by 0.49 percentage points; The other products of traditional exports, for every 1% increase, will contribute the amount of 0.43 percentage points. It is concluded that, although shrimp export is inelastic, it has an important effect on traditional exports, due to its predominant participation and significant contribution to this sector and to the national economy.