1. World problems
  2. Lack of processing industry for primary commodities

Lack of processing industry for primary commodities

  • Lack of vertical economic diversification

Incidence

Since nominal tariff rates increase with the degree of processing, and since there is a long-standing vertical integration of industry (often with transnational corporation involvement) that already has control of all or most processing, developing countries have difficulty increasing their national participation in processing. In addition, absence of capital and technical knowledge leaves little for developing countries to attempt development on their own in these areas.

Broader

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Aggravates

Strategy

Value

Uneconomic
Yet to rate
Undiversified
Yet to rate
Lack
Yet to rate

SDG

Sustainable Development Goal #9: Industry, Innovation and Infrastructure

Metadata

Database
World problems
Type
(D) Detailed problems
Subject
  • Economics » Economic
  • Industry » Commodities
  • Industry » Industry
  • Societal problems » Scarcity
  • Content quality
    Presentable
     Presentable
    Language
    English
    Last update
    Nov 4, 2022