Orange Juice Dumping Ruling

The U.S. Department of Commerce and International Trade Administration found that Cutrale, Citrosuco, Montecitrus and other Brazilian firms dumped orange juice in the United States over the period from October 2003 through September 2004. This dumping contributed to a build up of Florida orange juice inventories and resulted in low orange juice prices.dumping, orange juice, Brazil, Agribusiness, International Relations/Trade,

Allocation of Advertising and Research Dollars In the Florida Orange-Juice Industry

In this study, an OJ model was developed to examine the optimal advertising-research mix to maximize Florida grower revenue net of the costs of these activities. The model is based on assumed coefficients reflecting the impacts of prices, advertising and research. The effects of prices on demand and supply, as well as the effect of advertising on demand, were set based on findings of prior studies. The effect of research on supply is less certain, and a range of research effects was considered. A range of advertising effects was also considered given the study’s focus. The model solutions for the various advertising and research assumptions considered indicate that optimal advertising expenditures are significantAgribusiness,

The Impact of Generic-Orange Juice Advertising

In this study, the impacts of Florida Department of Citrus (FDOC) orange juice (OJ) advertising on U.S., OJ demand and the price received by Florida growers are examined.Florida orange juice, advertising impacts, Agribusiness, Demand and Price Analysis,

Relationship between the Unemployment Rate and the Demand for Orange Juice

This study examined the relationship between the unemployment rate and the demand for OJ. Based on the demand estimates obtained, the hypothesis that unemployment is having a significant negative impact on OJ demand cannot be refuted. Over the sample period, the unemployment rate increased by about 4.5 points, resulting in a 7.7% to 12.6% decline in OJ demand, based on the alternative model estimates. The unemployment rate, however, has trended upward in recent years, raising the possible that it may be reflecting to some extent the impact of other trend related factors such as preferences for reduced calories.unemployment rate, demand, orange juice, Agribusiness,

Impacts of the European Union Tariff On the Florida Price for Grapefruit Juice

GJ exports account for a major part of Florida as well as U.S. GJ sales, accounting for 41.5% and 36.9% of total Florida GJ sales in 2008-09 and 2009-10. The largest export market in many of the recent years has been the EU. The EU imposes a 12% ad valorem tariff on GJ imports, resulting in a higher price for GJ there and a lower volume demanded than would be expected otherwise. Based on the analysis of this study, it is estimated that removal of the EU tariff would result in increased sales of GJ in the EU, benefitting consumers in Europe, and a higher price for Florida growers. The Florida grower price and annual revenue were estimated to increase by $.06 per SSE gallon and$3.6 million, respectively, if the EU tariff were removed.European Union, tariff, grapefruit juice price, Agribusiness,

Impact of Income on Price and Income Responses in the Differential Demand System

An extension of the Rotterdam model is developed that makes the model’s income flexibility and marginal propensities to consume varying coefficients. Frisch’s duality relationships that the second partial derivatives of demand with respect to income and prices are independent of the order of differentiation are imposed with the marginal propensities to consume specified as functions of income and price, and the Slutsky coefficients specified as functions of income only. A uniform substitute specification is used to analyze the conditional demands for a group of beverages.demand, Rotterdam model, varying parameters, Agribusiness, Agricultural Finance, Production Economics, C51, D12, Q11,

Impacts of a Ban on the Sales of Florida Honey Tangerines in California Due to Citrus Black Spot

Citrus black spot (CBS) was discovered in March of 2010 near Immokalee in Collier County. CBS may adversely impact citrus growers both through demand and supply impacts. This paper has focused on the demand side of the equation. The analysis has also focused on Florida honey tangerines and the market in California. This market accounts for about 17.7% of Florida honey tangerine sales. If Florida product were banned from California in fear of CBS spreading there, the FOB price for Florida honey tangerines is estimated to decline by $3.48 to$4.40 per box, all else constant. The on-tree price would be expected to decline by the same amounts. However, with respect to production costs, all else would not be constant. Growers would be expected to bear increased grove care costs to control CBS. Thus, with higher grove care costs and the same production next season, the grower price for Florida honey tangerines net of grove care costs would decline by more than the $3.48 to$4.40 per box levels.citrus black spot, honey tangerine, California, Agribusiness,

European Demand for Orange Juice

The demand for OJ in Europe, and in particular the own-price elasticity of demand, has been difficult to estimate due to lack of good data. Europe, however, is the largest OJ market in the world (USDA, Foreign Agricultural Service), and cannot be ignored in analyzing the U.S. and Florida OJ situations, given OJ is an internationally traded commodity. Thus, estimates of the impacts of factors such as own-price on Europe’s OJ demand are critical for understanding the market. The estimates in this study, although rough, provide some guidance for the magnitude of the price response in Europe, but to keep them in perspective, they are based on a relatively small number of observations and a proxy variable, suggesting that, as more and hopefully better data become available, further research on this topic are needed.demand, orange juice, Europe, Agribusiness,

Impact of Income on Price and Income Responses in the Differential Demand System

An extension of the differential demand system model is developed that allows the demand system’s income and price responses to vary with income level. The model’s income flexibility and marginal propensities to consume (MPCs) out of income are made functions of real income measured by the Divisia volume index. The income flexibility is a factor of proportionality underlying all price effects and a change in this term impacts the sensitivity of all demands to prices. Price effects are also made a function of the MPCs using a uniform substitute specification. The model was used to analyze the conditional demands for a group of beverages. The findings indicate that changes in conditional total beverage expenditures result in various income and price elasticity changes across individual beverage products.Differential demand system, beverages, income impacts on price and income responses, Consumer/Household Economics,

Changes in the Structure of the Florida Processed Orange Industry and Potential Impacts on Competition

The Florida processed orange industry has become more concentrated in the last two decades raising questions on competitive behavior, particularly with respect to the purchase by processors of fruit from Florida orange growers. The purpose of this paper is to examine the changes in market structure of the Florida orange industry at the processor as well as retail and grower levels. The results suggest that the increase in concentration in the Florida orange processing industry, as well as the increase in concentration at the retail grocery store level, has increased the likelihood of non-competitive pricing behavior involving these industrial sectors.Industrial Organization,