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The Rise and Fall of the World's Largest Wine Exporter—And Its Institutional Legacy

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  • Meloni, Giulia
  • Swinnen, Johan

Abstract

This paper analyzes the causes of the rise and the fall of the Algerian wine industry. It is hard to imagine in the twenty-first century global wine economy, but until about 50 years ago Algeria was the largest exporter of wine in the world—and by a wide margin. Between 1880 and 1930 Algerian wine production grew dramatically. Equally spectacular was the decline of Algerian wine production: today, Algeria produces and exports little wine. There was an important bidirectional impact between developments in the Algerian wine sector and French regulations. French regulations had a major impact on the Algerian wine industry, and the growth of the Algerian wine industry triggered the introduction of important wine regulations in France at the beginning of the twentieth century and during the 1930s. Important elements of these regulations are still present in European wine policy today. (JEL Classifications: K23, L51, N44, N54, Q13)

Suggested Citation

  • Meloni, Giulia & Swinnen, Johan, 2014. "The Rise and Fall of the World's Largest Wine Exporter—And Its Institutional Legacy," Journal of Wine Economics, Cambridge University Press, vol. 9(1), pages 3-33, May.
    • Handle: RePEc:cup:jwecon:v:9:y:2014:i:01:p:3-33_00
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    Citations

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    Cited by:

    1. Kym Anderson & Joseph Francois & Douglas Nelson & Glyn Wittwer, 2019. "Intra-Industry Trade in a Rapidly Globalizing Industry: The Case of Wine," World Scientific Book Chapters, in: Kym Anderson (ed.), The International Economics of Wine, chapter 4, pages 91-113, World Scientific Publishing Co. Pte. Ltd..
    2. Jordi Planas, 2015. "State intervention in wine markets and collective action in France and Spain during the early twentieth century," Documentos de Trabajo (DT-AEHE) 1503, Asociación Española de Historia Económica.
    3. Maravall Buckwalter, Laura, 2017. "Factor Endowments and Farm Structure : Algerian Settler Agriculture During the First Globalization (1870-1914)," IFCS - Working Papers in Economic History.WH 26085, Universidad Carlos III de Madrid. Instituto Figuerola.
    4. Fabien Candau & Florent Deisting & Julie Schlick, 2017. "How Income and Crowding Effects Influence the World Market for French Wines," The World Economy, Wiley Blackwell, vol. 40(5), pages 963-977, May.
    5. Meloni, Giulia & Swinnen, Johan, 2018. "Trade and terroir. The political economy of the world’s first geographical indications," Food Policy, Elsevier, vol. 81(C), pages 1-20.
    6. Giulia Meloni & Johan Swinnen, 2015. "L’Histoire se répète. Why the liberalization of the EU vineyard planting rights regime may require another French Revolution (And why the US and French Constitutions may have looked very different wit," LICOS Discussion Papers 36715, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
    7. Kym Anderson, 2019. "Australian Wine Industry Competitiveness: Why so Slow to Emerge?," World Scientific Book Chapters, in: Kym Anderson (ed.), The International Economics of Wine, chapter 12, pages 283-308, World Scientific Publishing Co. Pte. Ltd..
    8. Fabio R. Chaddad & Jason R.V. Franken & Miguel I. Gómez & R. Brent Ross, 2017. "Coordination of Winegrape Supply Chains in Emerging Markets," Agribusiness, John Wiley & Sons, Ltd., vol. 33(3), pages 289-301, June.
    9. Cockx, Lara & Meloni, Giulia & Swinnen, Johan, 2021. "The Water of Life and Death: A Brief Economic History of Spirits," Journal of Wine Economics, Cambridge University Press, vol. 16(4), pages 355-399, November.
    10. Kym Anderson & Vicente Pinilla, 2022. "Wine's belated globalization, 1845–2025," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 44(2), pages 742-765, June.
    11. Fabien Candau & Florent Deisting & Julie Schlick, 2017. "How Income and Crowding Effects Influence the World Market for French Wines," The World Economy, Wiley Blackwell, vol. 40(5), pages 963-977, May.
    12. Pedro Lains, 2017. "Portugal’s wine globalization waves, 1750-2015," Working Papers 0113, European Historical Economics Society (EHES).
    13. Stéphane Becuwe & Bertrand Blancheton & Samuel Maveyraud, 2022. "New evidence on wine in French international trade (1848–1913): Import discrimination as export quality promotion," Economic History Review, Economic History Society, vol. 75(4), pages 1242-1269, November.
    14. Anderson, Kym, 2018. "Australian wine industry competitiveness: why so slow to emerge?," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 62(4), October.

    More about this item

    JEL classification:

    • K23 - Law and Economics - - Regulation and Business Law - - - Regulated Industries and Administrative Law
    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • N44 - Economic History - - Government, War, Law, International Relations, and Regulation - - - Europe: 1913-
    • N54 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - Europe: 1913-
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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