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Determinants of World Demand for U.S. Corn Seeds: The Role of Trade Costs

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  • Sampath Jayasinghe
  • John C. Beghin
  • GianCarlo Moschini

Abstract

The expansion of the U.S. corn seed trade is not well understood. This article econometrically investigates world demand for U.S. corn seeds, focusing on trade costs impeding exports, including transportation, tariffs, and sanitary and phytosanitary (SPS) regulations. The analysis estimates a derived demand for seed by foreign corn producers using data from 48 countries for the years 1989 to 2004. An SPS count variable captures shifts in the cost of seeds faced by foreign users. A sample selection framework accounts for the large presence of zero trade flows. All trade costs have a significantly negative impact on U.S. corn seed exports. Copyright 2010, Oxford University Press.

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File URL: http://hdl.handle.net/10.1093/ajae/aaq056
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Bibliographic Info

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

Volume (Year): 92 (2010)
Issue (Month): 4 ()
Pages: 999-1010

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Handle: RePEc:oup:ajagec:v:92:y:2010:i:4:p:999-1010

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References

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Citations

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Cited by:
  1. Tran, N. & Wilson, N. & Hite, D., 2012. "Choosing the best model in the presence of zero trade: a fish product analysis," Working Papers, The WorldFish Center, number 40064.
  2. Rickard, Bradley J. & Lei, Lei, 2010. "How important are sanitary and phytosanitary barriers in international markets for fresh fruit?," Working Papers 126974, Cornell University, Department of Applied Economics and Management.
  3. Li, Yuan & Beghin, John C., 2012. "A meta-analysis of estimates of the impact of technical barriers to trade," Journal of Policy Modeling, Elsevier, vol. 34(3), pages 497-511.
  4. Xiong, Bo & Beghin, John C., 2010. "Aflatoxin Redux: Does European Aflatoxin Regulation Hurt Groundnut Exporters from Africa?," 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado 61314, Agricultural and Applied Economics Association.
  5. Murat Genç & David Law, 2014. "A Gravity Model of Barriers to Trade in New Zealand," Treasury Working Paper Series 14/05, New Zealand Treasury.
  6. DeMaria, F. & Drogué, S., 2013. "EU trade regulation for baby food: protecting health or trade?," Working Papers MOISA 201305, UMR MOISA : Marchés, Organisations, Institutions et Stratégies d'Acteurs : CIHEAM-IAMM, CIRAD, INRA, Montpellier SupAgro, IRD - Montpellier, France.
  7. Jasmin Katrin Gröschl, 2013. "Gravity Model Applications and Macroeconomic Perspectives," ifo Beiträge zur Wirtschaftsforschung, Ifo Institute for Economic Research at the University of Munich, number 48.
  8. Karov, Vuko & Roberts, Donna & Grant, Jason H. & Peterson, Everett B., 2009. "A Preliminary Empirical Assessment of the Effect of Phytosanitary Regulations on US Fresh Fruit and Vegetable Imports," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49345, Agricultural and Applied Economics Association.
  9. Pramila Crivelli & Jasmin Gröschl, 2012. "The Impact of Sanitary and Phytosanitary Measures on Market Entry and Trade Flows," Research Papers by the Department of Economics, University of Geneva 12092, Département des Sciences Économiques, Université de Genève.
  10. Zhou, Minyu & Sheldon, Ian, 2013. "The Role of Intellectual Property Rights in Seed Technology Transfer through Trade – Evidence from U.S. Field Crop Seed Exports," Proceedings Issues, 2013: Productivity and Its Impacts on Global Trade, June 2-4, 2013. Seville, Spain 152368, International Agricultural Trade Research Consortium.
  11. Cairns, Alexander P. & Ker, Alan, 2013. "Unconditional Quantile Estimation: An Application to the Gravity Framework," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150399, Agricultural and Applied Economics Association.
  12. Cairns, Alexander P. & Meilke, Karl D., 2012. "The Next-11 and the BRICs: Are They the Future Markets for Agrifood Trade?," Trade Policy Briefs 145971, Canadian Agricultural Trade Policy Research Network.
  13. Xiong, Bo & Beghin, John C., 2011. "Does European Aflatoxin Regulation Hurt Groundnut Exporters from Africa?," Staff General Research Papers 34936, Iowa State University, Department of Economics.
  14. Haq, Zahoor Ul & Meilke, Karl D. & Cranfield, John A.L., 2011. "The Gravity Model and the Problem of Zero`s in Agrifood Trade," Working Papers 116851, Canadian Agricultural Trade Policy Research Network.

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