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Economic Partnership Agreements and WTO negotiations. A quantitative assessment of trade preference granting and erosion in the banana market

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  • Anania, Giovanni

Abstract

The paper provides a quantitative assessment of the impact on the banana market of the expansion of trade preferences the EU granted ACP countries with the recent Economic Partnership Agreements (EPA) and of the possible erosion of these preferences as a result of different possible endings, if any, of on-going WTO negotiations. The results of the simulations performed suggest that the impact of the EPA on the production and consumption of bananas in the EU will be limited, while benefits for ACP countries will be significant (at the expense of MFN exporters). However, a final agreement in the WTO DDA round may bring an erosion of the preferential margins currently enjoyed by ACP countries of such an order of magnitude as to cancel out most of these benefits. The actual outcome will depend on the EU bound tariff for bananas which will be subject to the reduction commitments (will this be the one indicated in the Uruguay Round EU “schedules”, or the tariff introduced with the reform of the EU import regime for bananas in 2006?); on whether bananas will be included among “tropical products”; and, if this is the case, on the provisions for “tropical products” contained in the final agreement. Possible outcomes of current bilateral negotiations between the EU and MFN exporters are analyzed as well.

Suggested Citation

  • Anania, Giovanni, 2008. "Economic Partnership Agreements and WTO negotiations. A quantitative assessment of trade preference granting and erosion in the banana market," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44215, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae08:44215
    DOI: 10.22004/ag.econ.44215
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    Cited by:

    1. Anania, Giovanni & Scoppola, Margherita, 2011. "Assessing the Impact of Trade Policy Changes: Does Market Structure Matter?," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114222, European Association of Agricultural Economists.
    2. Anania, Giovanni & Scoppola, Margherita, 2014. "Modeling trade policies under alternative market structures," Journal of Policy Modeling, Elsevier, vol. 36(1), pages 185-206.
    3. Ananua, Giovanni, 2015. "The role of trade policies, multinationals, shipping modes and product differentiation in global value chains for bananas: the case of Cameroon," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 10(3), pages 1-19, September.
    4. Sergeant, Kelvin A. & Lugay, Beverly & Dookie, Michele & Alleyne, Dillon & Hendrickson, Michael & Seuleiman, Océane, 2011. "Review of selected areas of research on the Caribbean subregion in the 2000s: identifying the main gaps," Documentos de Proyectos 4089, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    5. Paris, Quirino & Drogué, Sophie & Anania, Giovanni, 2011. "Calibrating spatial models of trade," Economic Modelling, Elsevier, vol. 28(6), pages 2509-2516.
    6. Douillet, Mathilde, 2012. "Trade policies and agricultural exports of Sub-Saharan African countries: Some stylized facts and perspectives," MPRA Paper 40962, University Library of Munich, Germany.
    7. Massimiliano Calì & Stephan Nolte & Nicola Cantore, 2013. "Sweet and Sour Changes in Trade Regimes," The World Economy, Wiley Blackwell, vol. 36(6), pages 786-806, June.
    8. Anania, Giovanni, 2015. "The role of trade policies, multinationals, shipping modes and product differentiation in global value chains for bananas. The case of Cameroon," 2015 Conference, August 9-14, 2015, Milan, Italy 210945, International Association of Agricultural Economists.

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