Measuring the impacts of the CAP in Spain: A CGE model approach

The Mid Term Review introduced a decoupling of agricultural support from production decisions, although with opt-out clauses for specific payments in particular sectors. The ‘Health Check’ seeks to deepen the degree of decoupling, whilst importantly for Spain, offers the option of extending this model of support to the fruit and vegetables sectors. Employing a computable general equilibrium model, this paper sets out to quantitatively assess the agro-food and macroeconomic impacts of the Mid Term Review and Health Check proposals in Spain. With greater decoupling, agricultural output falls slightly, whilst resources are reallocated in favour of arable activities.CAP, CGE modelling, ORANI, mid term review, health check., Agricultural and Food Policy, C68, Q18.,

The Euro-Med FTA and an Agro-Food Deal: Potential Impacts in Greece

We employ a heavily modified ‘agricultural’ variant of the GTAP model and a realistic baseline scenario to assess the impact on the Greek economy from a hypothetical ‘hub and spoke’ and a ‘FTA’ EUMED agro-food and fisheries trade agreement. Long run estimates show that Greek agro-food and fisheries sectors are not seriously affected, where surprisingly, trade diversionary losses to Greece from the FTA scenario are minor given minimal south-south trade links between Mediterranean Partner Countries (MPC). Further research shows that under complete CAP decoupling, notable additional welfare gains for MPC are realised, whilst Greece stands to lose approximately €300 million.Barcelona Declaration, Computable General Equilibrium (CGE), Global Trade Analysis Project (GTAP), International Relations/Trade,

EU import restrictions on genetically modified feeds; impacts on Spanish, EU and global livestock sectors

Over the last decade, much controversy has surrounded the usage of genetically modified organism (GMO) technology in commercial agriculture. More specifically, it is feared that GMOs may introduce new allergens into the food chain or contribute to antibiotic resistance. At the current time, the European Union (EU) adopts a zero tolerance policy toward «non-approved» GMO imports, whilst the approval process has not kept pace with the proliferation of new GMO varieties. In the EU livestock sectors, this apparent mis-match threatens to interrupt supplies of high protein feed inputs (e.g., soymeal) from countries with more relaxed regulations regarding GMOs. Employing a well known multi-region computable general equilibrium framework, this study quantitatively assesses the impact of a hypothetical EU import ban on unapproved GMO varieties of soybean and maize imports on livestock, meat and dairy sectors. The model code is heavily modified to improve the characterisation of the agricultural sectors and land usage, whilst a realistic baseline is employed to update the global database to 2008, the year the hypothetical ban is implemented. In the «worst case» scenario, there are significant competitive losses in EU livestock, meat and dairy sectors. In Spain, the negative impacts are particularly pronounced given the importance of pig production in agriculture. In contrast, all non-EU regions� trade balances improve, with notable trade gains in the USA and Brazil. To conclude, the EU must urgently find a long term strategy for GMOs if it is to reconcile political expediency with pragmatic economic concerns. Additional key words: computable general equilibrium, global trade analysis project.El uso de organismos genéticamente modificados (OMGs) en los sectores agro-ganaderos ha desatado mucha polémica. En particular, se teme que puedan introducir nuevos alérgenos dentro de la cadena agroalimentaria, o subir el nivel de tolerancia hacia los antibióticos. Actualmente, la Unión Europea (UE) aplica tolerancia cero hacia las importaciones de OMGs «no-aprobados», aunque la tasa de aprobación no se mantiene en paridad con la proliferación de nuevas variantes de OMGs. En la UE, este desajuste podría interrumpir los suministros de piensos con alto contenido proteico desde los países que aceptan el uso de OMGs. En este estudio se emplea un modelo de equilibrio general computable mundial, para analizar el impacto de una prohibición hipotética de las importaciones de soja y maíz transgénicos no-aprobados sobre los sectores ganaderos con orientación cárnica y láctea. Se modifica intensamente el modelo para reflejar con más precisión el sector agrario y el uso de la tierra. Además, se emplea un «baseline» realista para actualizar la economía global hasta 2008, año en que se implanta la prohibición. En el peor escenario planteado, se dan pérdidas grandes en los sectores ganaderos, tanto de carne como de leche, en la UE, mientras en España el impacto es peor debido a la importancia del sector de porcino. En contraste, terceros países experimentan ganancias en sus balanzas comerciales, especialmente EEUU y Brasil. En conclusión, la UE debe adoptar una estrategia sobre los OMGs para reconciliar las amenazas económicas potenciales sobre los sectores ganaderos con las preocupaciones sanitarias

A Euro-Mediterranean deal in agro-food and fisheries trade: Long run impacts in Greece

We employ a heavily modified ‘agricultural’ variant of the GTAP model and a realistic baseline scenario to assess the impact on the Greek economy from a hypothetical ‘hub and spoke’ and a ‘FTA’ EUMED agro-food and fisheries trade agreement. Long run estimates show that Greek agro-food and fisheries sectors are not seriously affected, where surprisingly, trade diversionary losses to Greece from the FTA scenario are minor given minimal south-south trade links between Mediterranean Partner Countries (MPC). Further research shows that under complete CAP decoupling, notable additional welfare gains for MPC are realised, whilst Greece stands to lose approximately €300 millionPublishe

Modelling the Common Agricultural Policy.General equilibrium effects of the 2014-2020 budget agreement

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