DO DEVELOPED EXPORTING COUNTRIES CONTRIBUTE TO FOOD SECURITY? THE CASE OF THE EC

Food Security and Poverty,

THE ECONOMIC IMPLICATIONS OF CHEMICAL USE RESTRICTIONS IN AGRICULTURE

Agricultural and Food Policy, Crop Production/Industries,

Preference erosion effects on the agricultural sector of the EU’s Mediterranean Partner Countries

This paper analyses preference erosion effects on the agricultural sector of the EU’s Mediterranean Partner Countries (MPCs) with the partial equilibrium multi-commodity multi-region world trade model AGRISIM. Supposing that the preferences to the MPCs granted by the EU remain as of 2001 then the effects are evident for high protected markets like beef in Turkey, milk and rice in Morocco and olive oil in the MPCs. Supposing a free trade area between the EU and the MPCs, then the impacts are high for beef, milk and sugar. The farmers’ income decreases, but the consumers and the taxpayers benefit from lower prices and the overall welfare in all MPCs increases.preference erosion, multilateral liberalisation, Mediterranean Partner Countries, AGRISIM, Agricultural and Food Policy, Q17, Q18, Q13,

THE REAL RATE OF PROTECTION: THE STABILIZING EFFECT OF PRICE POLICIES AND DIRECT PAYMENTS

Traditional indicators of protection refer to the level effect of price policies on income and ignore the stabilizing effect. We derive a measure of the real rate of protection which incorporates these dual dimensions. The income stabilizing effects of price policy protection lead to a greater level of real protection than would be measured conventionally. Computed real protection rates for the European Union wheat market over the pre- and post-MacSharry reform periods were found to be some 3-5 percent greater than traditional indicators. Moreover, the compensatory payments to farmers following the 1992 reforms had a major risk reducing impact.International Relations/Trade,

Using the Ricardian Technique to estimate the impacts of climate change on Crop Farming in Pakistan

This study uses the Ricardian valuation technique to estimate the effect of climate change on the crop farming sector in Pakistan. As a main contribution this paper uses a large household level dataset comprising 3336 farming entities to analyze long-term climate impacts on farm net crop revenues. In particular temperature increases in key growing seasons can be harmful. Annual losses for crop farming ranging from 100-200US$can be expected. Given an average crop net income of 450US$ per hectare, these impacts can be devastating for farmers. The climate impacts will vary across geographic regions. Temperature is found to be the detrimental factor for farming in Pakistan. Precipitation changes seem to have a rather negligible effect.Crop Production/Industries, Environmental Economics and Policy,

Explaining German imports of olive oil: evidence from a gravity model

In this study the case of olive oil imports of Germany is examined since olive oil is a traditional Mediterranean commodity and Germany is the biggest importer in the EU. A gravity model has been employed so as to analyse those factors that explain the German imports of olive oil that were identified in a preceding analysis of the German olive oil supply chain. The results of two random-effects models corrected for serial correlation and heteroskedasticity suggest that being a Mediterranean Partner country of the EU has the highest impact on trade flows to Germany, thus supporting further Euromediterranean trade integration. The level of trade to Germany is positively related to existence of direct marketing channels and to tourism implying that these factors should be explored more in the future by the Mediterranean countries so as to boost their exports.gravity model, olive oil, Germany, International Relations/Trade,

Evolution of olive oil import demand structures in nonproducing countries: the cases of Germany and the UK

Consumption patterns of olive oil have changed over recent years influencing the supply chain. The consumption has increased in countries where olive oil is not part of the traditional diet as for example Germany and the UK, where the average consumption grew by 11 and 13% respectively during the period 1995-2003. The opening of new non-traditional markets has shifted exports and re-structured the supply chain. Mediterranean countries have been the traditional suppliers of olive oil with the EU Mediterranean Member States being the main exporters and with the non-EU Mediterranean countries trying to gain market shares in the EU markets in an attempt to benefit from the preferential access due to the Barcelona Agreement. This paper tries to identify which factors influenced olive oil demand of non-traditional consumers using Germany and the UK as case studies with the help of a gravity model. The results of the random effects models corrected for serial correlation and heteroskedasticity indicate that the Barcelona Agreement has boosted the non-EU Mediterranean exports to Germany and the UK while olive oil exports are positively related to direct marketing strategies and tourism, implying that these factors have the largest impact on the olive oil exports from producing countries and consequently on the overall supply chain.Olive oil, gravity model, import demand, Germany, UK, Agricultural and Food Policy, Food Consumption/Nutrition/Food Safety,

Modelling agricultural policy reforms in the Mediterranean basin - Adjustments of AGRISIM

In recent years the Mediterranean countries encounter a number of changes of the agricultural policy that could influence significantly their agricultural sector and thus their overall economy. They are faced with the ongoing trade liberalisation, the Reform of the Common Agricultural Policy (CAP) of the European Union (EU), since the EU is one of the major trade partners of the Mediterranean countries and the establishment of a Free Trade Area between the EU and the Mediterranean Countries after 2010. The latest is/will be accomplished through the Euro- Mediterranean Association Agreements, was decided in the Summit of Barcelona in 1995 and is particularly up- to date after 2005, 10 years after the establishment of the Barcelona Agreement. These changes are expected above all to influence the trade flows between the EU and the Mediterranean Partner Countries (MPC) and therefore, to have impacts on the production, consumption, domestic and border prices and welfare. Aim of the paper is to discuss methodological issues connected with the modelling of policy changes in the Mediterranean basin and to provide more insights on the modification of the model AGRISIM so as to make it a suitable tool to analyse the trade flows in the Mediterranean basin.MPCs, Euro- Mediterranean Association, Agricultural and Food Policy,

CAP Reform and the Mediterranean EU-Member States

In the previous years the Mediterranean Member States of the EU came across the Reform of the CAP and especially last year faced the second wave of the Reform for three typical Mediterranean products, namely cotton, olive oil and tobacco. In this paper a partial equilibrium model is used to simulate the impacts of decoupling, as a key point of the decided CAP Reform. The second wave of the Reform appears to be of crucial importance for the southern EU countries and although the producer's income is reduced, there are positive welfare effects.decoupling, partial equilibrium model, CAP reform, Greece, Italy, Spain, Agricultural and Food Policy, Q18, Q17, D59,

Analysing agricultural productivity growth in a framework of institutional quality

This paper addresses the question whether the institutional environment of transition countries in Eastern Europe affects productivity growth in the agricultural sector. Situated in a neoclassical growth framework, a dynamic panel model for the period 1996-2005 provides evidence that poor institutional quality leads to a slowdown in agricultural productivity growth. Productivity growth is limited by a high degree of corruption, which is of particular importance given that corruption has been proven to be most prevalent in Eastern European countries. Moreover, agricultural productivity in countries where privatisation and transferability of land is restricted is found to grow at a slower rate than countries supporting market-oriented land reforms. Interestingly, the results suggest that a high degree of openness leads to a loss in agricultural productivity, suggesting that timing and sequencing of trade reforms matter. An improvement of the poor institutional quality is thus of central importance to accelerate productivity growth in Eastern European countries. --Eastern Europe,Transition,Productivity growth