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Food Security and Agricultural Protection in South Korea

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  • John C. Beghin
  • Jean-Christophe Bureau
  • Sung Joon Park

Abstract

South Korea has been pursuing food self-sufficiency using high tariffs and high administrative prices in key agricultural and food markets. Using a dual approach to trade and trade restrictiveness indices, we analyze the impact of these market distortions on welfare and trade volume. Then, we compute second-best distortions, which minimize the welfare cost of meeting observed levels of self-sufficiency and production. We rationalize these second-best distortions to what could be claimed as legitimate protection under a “food security” (FS) box in World Trade Organization (WTO) negotiations. FS-box protection is sensitive to changes in the definition and the extent of the FS objectives. We show that FS via production targets and reliance on imports would be more palatable to consumers and trade partners, while preserving income transfer to the farm sector. Copyright 2003, Oxford University Press.

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File URL: http://hdl.handle.net/10.1111/1467-8276.00460
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Bibliographic Info

Article provided by Agricultural and Applied Economics Association in its journal American Journal of Agricultural Economics.

Volume (Year): 85 (2003)
Issue (Month): 3 ()
Pages: 618-632

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Handle: RePEc:oup:ajagec:v:85:y:2003:i:3:p:618-632

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References

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  1. Anderson, James E. & Neary, J. Peter, 1992. "A new approach to evaluating trade policy," Policy Research Working Paper Series 1022, The World Bank.
  2. Makki, Shiva S. & Tweeten, Luther G. & Miranda, Mario J., 2001. "Storage-trade interactions under uncertainty: Implications for food security," Journal of Policy Modeling, Elsevier, vol. 23(2), pages 127-140, February.
  3. James E. Anderson & Will Martin, 1996. "The Welfare Analysis of Fiscal Policy: A Simple Unified Account," Boston College Working Papers in Economics 316., Boston College Department of Economics.
  4. Alan Matthews, 2001. "The position of the developing countries in the WTO negotiations on agricultural trade liberalisation," Trinity Economics Papers 20013, Trinity College Dublin, Department of Economics.
  5. Josling, Timothy E. & Honma, Masayoshi & Lee, Jaeok & MacLaren, Donald & Miner, William M. & Sumner, Daniel A. & Tangermann, Stefan & Valdes, Alberto, 1994. "The Uruguay Round Agreement On Agriculture: An Evaluation," Commissioned Papers 14621, International Agricultural Trade Research Consortium.
  6. Salvatici, Luca & Carter, Colin A. & Sumner, Daniel A., 1997. "The Trade Restrictiveness Index: The Potential Contribution To Agricultural Policy Analysis," 1997 Annual meeting, July 27-30, Toronto, Canada 21028, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
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Cited by:
  1. John C. Beghin & David Roland-Holst & Dominique van der Mensbrugghe, 2002. "Global Agricultural Trade and the Doha Round: What are the Implications for North and South?," Food and Agricultural Policy Research Institute (FAPRI) Publications 02-wp308, Food and Agricultural Policy Research Institute (FAPRI) at Iowa State University.
  2. Baffes, John & De Gorter, Harry, 2005. "Disciplining agricultural support through decoupling," Policy Research Working Paper Series 3533, The World Bank.
  3. Colyer, Dale, 2004. "Environmental Regulations And Competitiveness," Working Papers 19100, West Virginia University, Department of Agricultural Resource Economics.
  4. Beghin, John C. & Disdier, Anne-Celia & Marette, Stephan, 2012. "Trade Restrictiveness Indices in Presence of Externalities: An Application to Non-Tariff Measures," Working Papers 142386, International Agricultural Trade Research Consortium.
  5. John Beghin & Jean-Christophe Bureau & Sophie Drogue, 2004. "Calibration of incomplete demand systems in quantitative analysis," Applied Economics, Taylor and Francis Journals, vol. 36(8), pages 839-847.
  6. Colyer, Dale, 2004. "Environmental Regulations and Agricultural Competitiveness," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 5(1).
  7. Rakotoarisoa, Manitra A., 2006. "Policy distortions in the segmented rice market:," MTID discussion papers 94, International Food Policy Research Institute (IFPRI).

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