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State Trading In Agriculture: An Analytical Framework

Author

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  • Dixit, Praveen M.
  • Josling, Timothy E.

Abstract

This paper highlights some of the recent concerns regarding agricultural state trading enterprises (STEs) and proposes an analytical framework to examine the trade impacts of such entities. Issues associated with discriminatory pricing, exclusive rights to sell and purchase commodities, and unfair competitive advantage vis-a-vis private traders are expected to be major concerns on the export side, while on the import side, the relevance of tariffication in the presence of STEs is being questioned. Our paper proposes that, in most instances, tariff equivalents are the most relevant methodology to quantify the trade impacts of agricultural STEs. But, obtaining empirical information that would enable the calculation of such measures is not an easy task. To that end, a classification scheme that highlights the different types of STEs in terms of their ability to distort trade is proposed. Quantification can then focus on those most likely to impact trade.

Suggested Citation

  • Dixit, Praveen M. & Josling, Timothy E., 1997. "State Trading In Agriculture: An Analytical Framework," Working Papers 14608, International Agricultural Trade Research Consortium.
  • Handle: RePEc:ags:iatrwp:14608
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    File URL: http://purl.umn.edu/14608
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    References listed on IDEAS

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    1. Giancarlo Moschini & Karl D. Meilke, 1989. "Modeling the Pattern of Structural Change in U.S. Meat Demand," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 71(2), pages 253-261.
    2. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-326, June.
    3. Ohtani, Kazuhiro & Katayama, Sei-ichi, 1986. "A gradual switching regression model with autocorrelated errors," Economics Letters, Elsevier, vol. 21(2), pages 169-172.
    4. Hammig, Michael D. & Conway, Roger & Shapouri, Hosein & Yanagida, John, 1982. "The Effects of Shifts in Supply on the World Sugar Market," Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, issue 1.
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    Citations

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    Cited by:

    1. Ricardo Argüello C., 2006. "Sector agrícola y política de competencia," Revista de Economía Institucional, Universidad Externado de Colombia - Facultad de Economía, vol. 8(15), pages 227-249, July-Dece.
    2. Young, Linda M. & Abbott, Philip C. & Leetmaa, Susan E., 2001. "Export Competition: Issues And Options In The Agricultural Negotiations," Commissioned Papers 14624, International Agricultural Trade Research Consortium.
    3. Marie-Ange VEGANZONES-VAROUDAKIS, 2000. "Market Access, Export Subsidies, Domestic Support and the WTO Negociations: a Review and Synthesis," Working Papers 200008, CERDI.
    4. Sorensen, Ann-Christin & Tennbakk, Berit, 2002. "Regulatory Institutions in Agricultural Markets: A Comparative Analysis," 2002 International Congress, August 28-31, 2002, Zaragoza, Spain 24916, European Association of Agricultural Economists.
    5. Anania, Giovanni, 2003. "Gains from trade liberalization with imperfectly competitive world markets. A note," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 3(06).
    6. Yoon, Jung-Hyun & Lim, Song Soo, 2013. "Potential trade distortion effects of state trading enterprises under the tariff-rate quota scheme," Economics Discussion Papers 2013-22, Kiel Institute for the World Economy (IfW).
    7. Young, Linda M. & Abbott, Philip C., 1998. "Wheat-Importing State Trading Enterprises: Impacts On The World Wheat Market," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20825, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    8. Young, Linda M., 1999. "Prevalence And Reform Of State Trading Importers In World Grain Markets," Trade Research Center Research Discussion Papers 29241, Montana State University, Department of Agricultural Economics and Economics.
    9. Young, Linda M., 2005. "Export Competition Disciplines in the Doha Round," Trade Policy Issues Papers 14573, International Agricultural Trade Research Consortium.

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    Keywords

    International Relations/Trade;

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