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Abstract

Landed costs of a commodity include production costs and domestic marketing costs (f.o.b. costs) and international freight charges. Production costs are the main component of landed costs and are a major reason for cost advantages (or disadvantages) among exporting countries. F.o.b. costs at real exchange rates averaged over seven years (1980-86) were compared with f.o.b. costs at mid-1986 exchange rates. Results show that the ranking of most countries did not change markedly, except in the case of wheat.

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