Analysis Of The Level Of Industrial Integration

Abstract

This study aimed to analyze the prospects of industrial integration within the framework of the Agadir Agreement, focusing on examining the factors that promote or hinder this integration. By analyzing trade exchange data among member states, as well as sectoral specialization, the study utilized the Grubel-Lloyd index to measure intra-industry trade, incorporating the inter-trade index and distinguishing between horizontal and vertical intra-industry trade. The study concluded that the Agadir Agreement faces significant challenges in achieving full industrial integration, particularly due to weak trade integration among member states and unstable trade patterns. It also highlighted disparities in the level of intra-industry integration among member states, emphasizing that differences in trade policies and production capacities between countries pose obstacles to successful industrial integration.