Determinants of South Africa's exports for leather products

Abstract

This paper analysed the determinants of South African exports of raw hides and skins (other than fur skins) and leather (H41) using annual data covering the period 1997 to 2004 for 32 main trading partners. The results show that importer’s GDP, South Africa’s GDP, importer’s population, South Africa’s population, infrastructure of South Africa and importing country and some regional trade agreements are the main determinants of raw hides and skins (other than fur skins) and leather exports. The paper then investigated if there is unexploited trade potential. The investigation revealed that among others, South Korea, United Kingdom, USA, Zambia and Zimbabwe have unexploited export potential. It is important to focus efforts on the unexploited trade potential to accelerate growth and alleviate poverty in South Africa.