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Impact of a gradual increase in milk quotas on the EU dairy sector

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Author Info
Zohra Bouamra-Mechemache
Roel Jongeneel
Vincent Réquillart

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Abstract

The European Union (EU) dairy sector is facing significant changes due to EU enlargement, the Luxembourg reform and ongoing World Trade Organisation (WTO) negotiations. This paper explores the impact of alternative dairy policies in the context of a WTO agreement and further dairy policy adjustments. In particular, it analyses the impact of gradual but significant increases in EU milk quota and discusses the implications of different changes in the allocation of milk quotas. These scenarios are compared with the status quo as decided in the Common Agricultural Policy reform of 2003. We find that, by 2014--2015, the market effects of abolishing quota are similar to those of a 2 per cent gradual quota increase starting in 2009. Oxford University Press and Foundation for the European Review of Agricultural Economics 2009; all rights reserved. For permissions, please email journals.permissions@oxfordjournals.org, Oxford University Press.

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File URL: http://hdl.handle.net/10.1093/erae/jbn044
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Publisher Info
Article provided by Oxford University Press for the Foundation for the European Review of Agricultural Economics in its journal European Review of Agricultural Economics.

Volume (Year): 35 (2008)
Issue (Month): 4 (December)
Pages: 461-491
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Handle: RePEc:oup:erevae:v:35:y:2008:i:4:p:461-491

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  1. Binfield, J.C.R. & Donnellan, Trevor & Hanrahan, Kevin & Westhoff, Pat, 2009. "WTO Doha Round: Impact of an Agreement on Agriculture and the Importance of Sensitive Products," 83rd Annual Conference, March 30-April 1, 2009, Dublin, Ireland 50936, Agricultural Economics Society. [Downloadable!]
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This page was last updated on 2009-11-28.


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