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Regional production adjustment to import competition: evidence from the French agro-industry

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  • Corinne Bagoulla
  • Emmanuelle Chevassus-Lozza
  • Karine Daniel
  • Carl Gaigné

Abstract

This paper aims at evaluating the impact of increasing imports on the reallocation of agrifood production across regions within countries. From French data for the period 1995-2002, we show that regional agri-food production adjusts differently to increasing imports according to the region where the agri-food firms are located. More precisely, even though proximity to consumers significantly shapes the spatial distribution of agri-food production, an increase in agri-food imports does not make regions with a high demand more attractive but makes low-wage regions more attractive. In addition, an increase in imports of agricultural products processed by agri-food firms leads to the reallocation of agri-food production from regions with good access to agricultural products towards those withlimited access.

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Paper provided by INRA UMR SMART in its series Working Papers SMART - LERECO with number 10-01.

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Date of creation: 2010
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Handle: RePEc:rae:wpaper:201001

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Keywords: trade openness; location; agri-food;

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Cited by:
  1. Xiong, Bo & Beghin, John & Marette, Stéphan, 2013. "Gains to French champagne makers from tariff liberalization," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150003, Agricultural and Applied Economics Association.
  2. Chevassus-Lozza, Emmanuelle & Gaigne, Carl & Le Mener, Leo, 2012. "Does input trade liberalization boost downstream firms’ exports? Theory and firm-level evidence," Working Papers 126946, Structure and Performance of Agriculture and Agri-products Industry (SPAA).

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