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Are EU spatial ex ante coexistence regulations proportional?

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  • Demont, Matty
  • Daems, W.
  • Dillen, Koen
  • Mathijs, Erik
  • Sausse, C.
  • Tollens, Eric

Abstract

The EU is currently struggling to implement coherent coexistence regulations on genetically modified (GM) and non-GM crops in all member states. While it stresses that any approach needs to be “proportionate to the aim of achieving coexistence”, very few studies have actually attempted to assess whether the proposed spatial ex ante coexistence regulations (SEACERs) satisfy this proportionality condition. In this article, we define proportionality as a functional relationship which is weakly increasing in the incentives for coexistence. We propose a spatial framework based on an existing landscape and introduce the new concept of shadow factor as a measure for the opportunity costs induced by SEACERs. This enables comparing the proportionality of (i) rigid SEACERs which are based on large isolation distances imposed on GM farmers versus (ii) flexible SEACERs based on pollen barrier agreements between neighboring farmers. Our theoretical and empirical findings argue for flexibility as rigid SEACERs violate the proportionality condition and, hence, are not consistent with the objectives of the EU.

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Bibliographic Info

Paper provided by European Association of Agricultural Economists in its series 2008 International Congress, August 26-29, 2008, Ghent, Belgium with number 44191.

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Date of creation: 2008
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Handle: RePEc:ags:eaae08:44191

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Keywords: policy analysis; GIS; shadow factor; Agricultural and Food Policy; Crop Production/Industries;

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References

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  1. José Falck Zepeda, 2006. "Coexistence, Genetically Modified Biotechnologies and Biosafety: Implications for Developing Countries," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(5), pages 1200-1208.
  2. Matty Demont & Koen Dillen & Erik Mathijs & Eric Tollens, 2007. "GM Crops in Europe: How Much Value and for Whom?," EuroChoices, The Agricultural Economics Society, vol. 6(3), pages 46-53, December.
  3. Bullock, David S. & Desquilbet, Marion & Nitsi, Elisavet I., 2000. "The Economics Of Non-Gmo Segregation And Identity Preservation," 2000 Annual meeting, July 30-August 2, Tampa, FL 21845, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  4. GianCarlo Moschini & Harun Bulut & Luigi Cembalo, 2005. "On the Segregation of Genetically Modified, Conventional, and Organic Products in European Agriculture: A Multi-market Equilibrium Analysis," Center for Agricultural and Rural Development (CARD) Publications 05-wp411, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  5. Lapan, Harvey E. & Moschini, GianCarlo, 2004. "Innovation and Trade with Endogenous Market Failure: The Case of Genetically Modified Products," Staff General Research Papers 2109, Iowa State University, Department of Economics.
  6. Allen, Douglas W & Lueck, Dean, 1998. "The Nature of the Farm," Journal of Law and Economics, University of Chicago Press, vol. 41(2), pages 343-86, October.
  7. Beckmann, Volker & Wesseler, Justus, 2005. "Spatial Dimension Of Externalities And The Coase Theorem: Implications For Co-Existence Of Transgenic Crops," 2005 Annual meeting, July 24-27, Providence, RI 19534, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  8. Volker Beckmann & Claudio Soregaroli & Justus Wesseler, 2006. "Coexistence Rules and Regulations in the European Union," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(5), pages 1193-1199.
  9. Giannakas, Konstantinos & Fulton, Murray, 2002. "Consumption effects of genetic modification: what if consumers are right?," Agricultural Economics, Blackwell, vol. 27(2), pages 97-109, August.
  10. Giannakas, Konstantinos & Fulton, Murray, 2002. "Consumption effects of genetic modification: what if consumers are right?," Agricultural Economics: The Journal of the International Association of Agricultural Economists, International Association of Agricultural Economists, vol. 27(2), August.
  11. Matty Demont & Marie Cerovska & Wim Daems & Koen Dillen & József Fogarasi & Erik Mathijs & Frantisek Muska & Josef Soukup & Eric Tollens, 2008. ""Ex Ante" Impact Assessment under Imperfect Information: Biotechnology in New Member States of the EU," Journal of Agricultural Economics, Wiley Blackwell, vol. 59(3), pages 463-486, 09.
  12. Belcher, Ken & Nolan, James & Phillips, Peter W.B., 2005. "Genetically modified crops and agricultural landscapes: spatial patterns of contamination," Ecological Economics, Elsevier, vol. 53(3), pages 387-401, May.
  13. Munro, Alistair, 2008. "The spatial impact of genetically modified crops," Ecological Economics, Elsevier, vol. 67(4), pages 658-666, November.
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Cited by:
  1. Jennifer Schweiger & Ali Ferjani & Achim Spiller, 2010. "Agentenbasierte Abschätzung der Wirtschaft-lichkeit von transgenen Kulturen anhand von Beispielbetrieben in einer Schweizer Ackerbau-region," Yearbook of Socioeconomics in Agriculture, Swiss Society for Agricultural Economics and Rural Sociology, vol. 3(1), pages 3-37.

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