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Groundnut trade liberalization: Could the South help the south?

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  • Beghin, John
  • 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 China’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.

Suggested Citation

  • Beghin, John & Diop, Ndiame & Matthey, Holger, 2006. "Groundnut trade liberalization: Could the South help the south?," ISU General Staff Papers 200601010800001368, Iowa State University, Department of Economics.
    • Handle: RePEc:isu:genstf:200601010800001368
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    Cited by:

    1. Fabio Gaetano Santeramo & Emilia Lamonaca, 2022. "On the trade effects of bilateral SPS measures in developed and developing countries," The World Economy, Wiley Blackwell, vol. 45(10), pages 3109-3145, October.
    2. Agyekum, Michael & Jolly, Curtis M., 2017. "Peanut trade and aflatoxin standards in Europe: Economic effects on trading countries," Journal of Policy Modeling, Elsevier, vol. 39(1), pages 114-128.

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