Determinants of Latin American and the Caribbean agricultural trade: A gravity model approach

Balogh, Jeremiás Máté; Aguiar, Giovanna Maria Borges

doi:10.17221/405/2021-agricecon

Cited by 10 publications

(10 citation statements)

References 25 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Within the common cultural sphere, consumer preferences for goods are highly similar, which will increase the demand for exported goods. 6 , 29 and indicate importing country fixed effects and time fixed effects, respectively. is a stochastic error term.…”

Section: Methodsmentioning

confidence: 99%

Exploring the Inhibitory Effect of RASFF on China-EU Trade of Rice-Based Products

Zhang

Jiang

et al. 2022

GM Crops & Food

View full text Add to dashboard Cite

Rice-based products exported from China to Europe have repeatedly encountered technical trade barriers. Using panel data from 24 states of the European Union during 2001–2017, this study builds a theoretical model to investigate the impact of implementation, intensity and structure of the Rapid Alert System for Food and Feed (RASFF) on China-EU rice-based product trade. The study found that RASFF has a serious inhibitory effect on the trade of traditional rice-based products because of detecting GM ingredients, showing an obvious lag effect, diffusion effect and structure effect. The negative effect occurs in entry process, and the inhibitory effect of border rejection and information notifications results in time lag, but the marginal effect of alerts for market links is insignificant. Moreover, the positive information disclosure effect of technical barriers implemented by individual members is much smaller than the negative diffusion effect. Finally, countermeasures and suggestions are proposed, including the source supervision of the test, the supervision of GM variety approval and GM seed production, the establishment of an early-warning and rapid-response mechanism to technical barriers of agricultural products, and food enterprise information.

show abstract

Section: Methodsmentioning

confidence: 99%

Exploring the Inhibitory Effect of RASFF on China-EU Trade of Rice-Based Products

Zhang

Jiang

et al. 2022

GM Crops & Food

View full text Add to dashboard Cite

show abstract

“…To this end, a gravity-type equation is used to estimate the volume traded, an approach supported by solid theoretical foundations. [36][37][38][39][40] Within the quantity impact framework, NTM effects are measured by the sign and coefficient of the NTM variable included with the rest of variables that can influence trade flows. NTMs can be included as dummy variables (presence/ absence).…”

Section: Assessing Trade Impactsmentioning

confidence: 99%

“…The present research uses the quantity impact method, which is based on the assessment of trade flows that are directly affected by NTMs. To this end, a gravity‐type equation is used to estimate the volume traded, an approach supported by solid theoretical foundations 36–40 . Within the quantity impact framework, NTM effects are measured by the sign and coefficient of the NTM variable included with the rest of variables that can influence trade flows.…”

Section: Literature Reviewmentioning

confidence: 99%

Trade impacts of external border measures under the European Union's plant health legislation

Barreiro‐Hurle,

García‐Alvarez‐Coque,

Martinez‐Gomez

et al. 2023

Pest Management Science

View full text Add to dashboard Cite

BackgroundThis article assesses whether the European Union's (EU's) plant health regulations have had an impact on imports. A dynamic modelling approach was applied, using a two‐step generalized method of moments estimator for panel data, and covering an 8‐year period (2013–2020). The estimated equation includes volumes of trade, economic drivers, the trading partner, and variables capturing categories of import requirements (phytosanitary certificates, exemptions, restrictions) with regards to external border measures for enhanced biosecurity.ResultsFrom the analysis we can conclude that the import regime and its recent changes have had a limited impact, if any, on trade flows of the affected products. The most significant impact is found for products classified as high‐risk plants, while the extension of the phytosanitary certificate requirement to new products seems to have had negligible effects on trade.ConclusionTherefore, the plant protection regime for extra‐EU trade seems to be not trade distorting while supplying a framework to enhance plant health in the EU. © 2023 The Authors. Pest Management Science published by John Wiley & Sons Ltd on behalf of Society of Chemical Industry.

show abstract

“…A series of trade reforms, including the North American Free Trade Agreement (NAFTA), has helped Mexico increase its international agricultural trade since the 1990s (Balogh & Borges Aguiar, 2022; Ghazalian, 2017). Mexico became a net exporter of agricultural products in 2016, exporting a wide variety of fresh fruits and vegetables, along with alcoholic beverages and meat (Banco de México, 2023).…”

Section: Introductionmentioning

confidence: 99%

Land competition and welfare effects from Mexico's proposal to ban genetically engineered corn

Beckman,

Nava,

Williams

et al. 2024

American J Agri Economics

View full text Add to dashboard Cite

Since joining the North American Free Trade Agreement, Mexico has increased its meat production and exports and become more dependent on imported feedstuffs such as genetically engineered (GE) corn. Mexico recently banned the use of GE corn in corn‐based foods and called for a gradual substitution away from the use of GE corn for other uses (e.g., feed). This paper considers how a complete ban on GE corn might affect Mexican households using a computable general equilibrium (CGE) model to simulate the impact over the medium run (5 years). Results indicate that Mexico decreases corn imports by 76.9% and increases corn production by 65.6%—an increase that would require 3.3 million hectares more land for corn. The policy leads to a 24.8% increase in Mexico's corn price and up to a 6% increase in the prices of other agricultural products. But Mexico might have difficulty shifting land to corn; as such, we consider an alternative scenario that restricts land movements. We find that impacts are further exacerbated in this scenario—for example, corn prices triple. Our final contribution is to pair these results with a compensating variation calculation based on the almost ideal demand system. We find that Mexican households would need to spend, on average, between 6.7 and 13.9% more on food, depending on the scenario, to compensate for the resulting price escalations. Ultimately, our results show that a move toward greater food sovereignty in Mexico is ultimately borne by consumers via higher food prices.

show abstract

Determinants of Latin American and the Caribbean agricultural trade: A gravity model approach

Cited by 10 publications

References 25 publications

Exploring the Inhibitory Effect of RASFF on China-EU Trade of Rice-Based Products

Exploring the Inhibitory Effect of RASFF on China-EU Trade of Rice-Based Products

Trade impacts of external border measures under the European Union's plant health legislation

Land competition and welfare effects from Mexico's proposal to ban genetically engineered corn

Contact Info

Product

Resources

About