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Groundnut Trade Liberalization: Could the South Help the South?

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  • Beghin, John C.
  • Diop, Ndiame
  • Matthey, Holger

Abstract

This paper analyzes policies affecting global groundnut-products markets. The new US groundnut policy is now a minor source of distortion in world markets where India and China stand out as the major distorters. We analyze and quantify the effects of groundnut-products trade liberalization on consumer welfare and producer income. Our analysis shows that African exporters would gain significantly from reductions in protection and subsidies in India, and to a lesser extent, China, although Chinaï¾’s exports of food-quality groundnuts would expand dramatically. Net-importing OECD countries would suffer from higher world prices. The paper draws direct implications for the Doha trade negotiations.

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File URL: http://www.card.iastate.edu/publications/DBS/PDFFiles/03wp347.pdf
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Bibliographic Info

Paper provided by Iowa State University, Department of Economics in its series Staff General Research Papers with number 10875.

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Date of creation: 26 Nov 2003
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Publication status: Published in World Development, June 2006, vol. 34 no. 6, pp. 1016-1036
Handle: RePEc:isu:genres:10875

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Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070
Phone: +1 515.294.6741
Fax: +1 515.294.0221
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Web page: http://www.econ.iastate.edu
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  1. Diop, Ndiame & Beghin, John & Sewadeh, Mirvat, 2004. "Groundnut policies, global trade dynamics, and the impact of trade liberalization," Policy Research Working Paper Series 3226, The World Bank.
  2. John C. Beghin & Jean-Christophe Bureau & Sophie Drogué, 2003. "The Calibration of Incomplete Demand Systems in Quantitative Analysis," Working Papers 2003/01, INRA, Economie Publique.
  3. Badiane, Ousmane & Kinteh, Sambouh, 1994. "Trade pessimism and regionalism in African countries: the case of groundnut exporters," Research reports 97, International Food Policy Research Institute (IFPRI).
  4. Beghin, John C. & Roland-Holst, David & Van der Mensbrugghe, Dominique, 2002. "How Will Agricultural Trade Reforms in High-Income Countries Affect the Trading Relationships of Developing Countries?," Staff General Research Papers 10665, Iowa State University, Department of Economics.
  5. John C. Beghin & Jean-Christophe Bureau & Sophie Drogué, 2003. "Calibration of Incomplete Demand Systems in Quantitative Analysis, The," Center for Agricultural and Rural Development (CARD) Publications 03-wp324, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  6. John C. Beghin & Holger Matthey, 2003. "Modeling World Peanut Product Markets: A Tool for Agricultural Trade Policy Analysis," Food and Agricultural Policy Research Institute (FAPRI) Publications 03-wp332, Food and Agricultural Policy Research Institute (FAPRI) at Iowa State University.
  7. John Beghin & Jean-Christophe Bureau & Sophie Drogue, 2004. "Calibration of incomplete demand systems in quantitative analysis," Applied Economics, Taylor & Francis Journals, vol. 36(8), pages 839-847.
  8. Thurman, Walter N. & Chvosta, Jan & Brown, Blake A. & Rucker, Randal R., 2003. "The End Of Supply Controls: The Economic Effects Of Recent Change In Federal Peanut Policy," 2003 Annual Meeting, February 1-5, 2003, Mobile, Alabama 35041, Southern Agricultural Economics Association.
  9. Ibrahima Hathie & Rigoberto A. Lopez, 2002. "The impact of market reforms on the Senegalese peanut economy," Journal of International Development, John Wiley & Sons, Ltd., vol. 14(5), pages 543-554.
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