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The EU entry price system for fresh fruits and vegetables - Paper tiger or powerful market barrier?

  • Goetz, Linde
  • Grethe, Harald

The EU protects EU growers of 15 kinds of fresh fruits and vegetables against international competition by the entry price system (EPS), which is designed to restrict imports below the product-specific, politically designated entry price level. This study investigates the relevance of the EPS per product and country of origin. We develop two indicators for the effectiveness of the EPS, which serve as variables in a cluster analysis identifying four classes differing in the relevance of the EPS. The relevance of the EPS is found to be heterogeneous among products as well as countries of origin. It is highest for artichokes, courgettes, cucumbers, lemons, plums and tomatoes. The influence of the EPS on apples, clementines and pears is significantly lower, and of least relevance for apricots, mandarins, oranges, peaches and nectarines and table grapes. The EPS has the greatest effect on countries which neighbour the EU, whereas it is of minor importance for exports from far-away countries with the exception of China and South Africa.

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Article provided by Elsevier in its journal Food Policy.

Volume (Year): 34 (2009)
Issue (Month): 1 (February)
Pages: 81-93

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Handle: RePEc:eee:jfpoli:v:34:y:2009:i:1:p:81-93
Contact details of provider: Web page: http://www.elsevier.com/locate/foodpol

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  1. Martinez-Gomez, Victor, 2007. "Assessing Euro-Med trade preferences: the case of entry price reduction," MPRA Paper 1865, University Library of Munich, Germany.
  2. Peter Gibbon, 2003. "Value-chain Governance, Public Regulation and Entry Barriers in the Global Fresh Fruit and Vegetable Chain into the EU," Development Policy Review, Overseas Development Institute, vol. 21(5-6), pages 615-625, December.
  3. Cioffi, Antonio & dell'Aquila, Crescenzo, 2004. "The effects of trade policies for fresh fruit and vegetables of the European Union," Food Policy, Elsevier, vol. 29(2), pages 169-185, April.
  4. Angus Deaton & Guy Laroque, 1990. "On The Behavior of Commodity Prices," NBER Working Papers 3439, National Bureau of Economic Research, Inc.
  5. Chemnitz, Christine & Grethe, Harald, 2005. "EU Trade Preferences for Moroccan Tomato Exports--Who Benefits?," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24686, European Association of Agricultural Economists.
  6. Goetz, Linde & Grethe, Harald, 2006. "The EU's Import Regime for Oranges - Much Ado about Nothing?," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25604, International Association of Agricultural Economists.
  7. Swinbank, Alan & Ritson, Christopher, 1995. "The impact of the GATT agreement on EU fruit and vegetable policy," Food Policy, Elsevier, vol. 20(4), pages 339-357, August.
  8. Martin, Elisa & de Gorter, Harry, 1999. "The Agreement On Agriculture And The Cap: The Reform Of The Fruit And Vegetable Import Regime," 1999 Annual meeting, August 8-11, Nashville, TN 21636, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  9. Garcia Alvarez-Coque, Jose-Maria & Martinez-Gomez, Victor, 2007. "Assessing Euro-Med Trade Preferences: The Case of Entry Price Reduction," Working Papers 7293, TRADEAG - Agricultural Trade Agreements.
  10. Bunte, Frank H.J., 2005. "Liberalising EU Imports for Fruits and Vegetables," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24473, European Association of Agricultural Economists.
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