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Tariff Liberalization, Wood Trade Flows, and Global Forests

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  • Sedjo, Roger A.
  • Simpson, R. David

Abstract

This paper examines the question of the likely effects on global forests of a further reduction in wood products tariffs including both solid wood products and pulp and paper, as has been proposed to the World Trade Organization (WTO) by the Asia Pacific Economic Community (APEC). The tariff reductions would be an extension of the tariff reductions associated with the Uruguay Round (Federal Register 1999). The questions include both how international trade is likely to change in response to further tariff reduction and also the implications for timber harvests and forests generally of such trade liberalization in the various forest regions. The paper finds that the evidence suggests further reductions in tariffs on forest products are likely to generate only very modest increases in worldwide trade and production, and the increased harvest pressures on forests due to tariff reduction should be quite modest. The major countries likely to experience export and production increases are found largely in the northern hemisphere and are likely to be able to facilitate additional harvests with minimal effects on the forests due to the modest nature of the impact, new forest practices laws, new forest set-asides, and movement toward improved practices designed to achieve multifaceted sustainable forestry. Furthermore, there is little reason to expect that tariff reductions will significantly increase harvests from tropical forests. Earlier tariff reductions appear to have had minimal impacts on tropical harvests or exports. Nevertheless, tropical forests will remain under deforestation pressure due to land conversion objectives, commonly to provide additional agricultural lands.

Suggested Citation

  • Sedjo, Roger A. & Simpson, R. David, 1999. "Tariff Liberalization, Wood Trade Flows, and Global Forests," Discussion Papers 10557, Resources for the Future.
  • Handle: RePEc:ags:rffdps:10557
    DOI: 10.22004/ag.econ.10557
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    References listed on IDEAS

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    1. Roger A. Sedjo & Kenneth S. Lyon, 1983. "Long-Term Forest Resources Trade, Global Timber Supply, and Intertemporal Comparative Advantage," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 65(5), pages 1010-1016.
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    Cited by:

    1. Sedjo, Roger A., 2005. "Macroeconomics and Forest Sustainability in the Developing World," Discussion Papers 10458, Resources for the Future.
    2. Thomas P. Narins, 2015. "Dynamics of the Russia–China Forest Products Trade," Growth and Change, Wiley Blackwell, vol. 46(4), pages 688-703, December.
    3. Brooks, David J., 2003. "Analysis of environmental effects of prospective trade agreements: the forest products ATL as a case study in the science-policy interface," Forest Policy and Economics, Elsevier, vol. 5(4), pages 385-394, December.
    4. Sedjo, Roger, 2005. "Macroeconomics and Forest Sustainability in the Developing World," RFF Working Paper Series dp-05-47, Resources for the Future.

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    Resource /Energy Economics and Policy;

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