Determinants of Lao’s export with the major trading partner: the case of coffee exportation.

Abstract

When we want to gain more place on global market share, we need to know what will be the challenging for us first. This study aims to identify the impact variables on the coffee exportation from Laos to its main trading partners. The study covers 25 years’ panel data from 1995 to 2019 with 13 countries observation. The method of study is utilized the Fixed Effect and Random Effect under a gravity model to conduct the estimation. The results show the demand of Lao coffee products, partners population, the real effective exchange rate, distance and common trade agreements had a significant impact on Lao coffee exportation.