The Impact Of Eu-Accession On The Estonian Trade With Food Products – Partial Equilibrium Approach
The purpose of the paper is to analyse the impact of EU-accession on the Estonian food sector from the point of view of potential changes in foreign trade. Estonia has followed radical macroeconomic reforms in the 1990’s and is well known by its extremely liberal trade policy including the complete absence of tariffs and quantitative restrictions. Therefore the accession to the EU means for Estonia radical change in the trade policy regime. The most affected will be trade with food products and eventually this will cause deep changes in the Estonian agriculture. Estonia has to implement EU common external tariffs against third countries and on the other hand EU food market will be opened to Estonian exporters. In addition Estonia has to implement against third countries the whole system of non-tariff trade barriers required by EU (export subsidies, tariff quotas, sanitary requirements and etc).In general the analysis presented in this paper tries to quantify the effects of trade liberalisation from EU side and growing protectionism against third countries on the Estonian trade with food products. Due to a low prices and protection level at present, many food prices are expected to rise. However, this rise in prices and the consequent increase in production and export depend on the competitiveness of in Estonian products on the markets in the present EU member states. Since January 2000 Estonia already implemented limited tariffs on food products against third countries. Implementation of partial equilibrium analyses allowed to show that trade diversion has taken place as a result of it ¾ the import from third countries has been partly driven out by the import from the European Union and the countries Estonia has free trade agreements with. In the case of some agricultural products it can be supposed that the price increase in imports has also influenced Estonian producer and retail prices. In using of partial equilibrium model the agricultural sector is disaggregated into the dairy, meat and cereals markets. This allows incorporate into the analysis the specific characteristics of different products..
|Date of creation:||2002|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: (+372 7) 376 310
Fax: (+372 7) 376 312
Web page: http://www.mtk.ut.ee
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- André Sapir, 1992.
"Regional integration in Europe,"
ULB Institutional Repository
2013/8200, ULB -- Universite Libre de Bruxelles.
- Rod Tyers & Kym Anderson, 1988.
"Price Elasticities in International Food Trade: Synthetic Estimates from a Global Model,"
School of Economics Working Papers
1988-03, University of Adelaide, School of Economics.
- Tyers, Rod & Anderson, Kym, 1989. "Price elasticities in international food trade: synthetic estimates from a global model," Journal of Policy Modeling, Elsevier, vol. 11(3), pages 315-344.
- Haley, Stephen L., 1995. "Product Differentiation in Wheat Trade Modeling," Technical Bulletins 156766, United States Department of Agriculture, Economic Research Service.
- Baldwin, Richard E. & Venables, Anthony J., 1995. "Regional economic integration," Handbook of International Economics, in: G. M. Grossman & K. Rogoff (ed.), Handbook of International Economics, edition 1, volume 3, chapter 31, pages 1597-1644 Elsevier.
- Kapuscinski, Cezary A. & Warr, Peter G., 1999.
"Estimation of Armington elasticities: an application to the Philippines,"
Elsevier, vol. 16(2), pages 257-278, April.
- Cezary A Kapuscinski & Peter G Warr, 1996. "Estimation of Armington Elasticities: An Application to the Philippines," Departmental Working Papers 1996-08, The Australian National University, Arndt-Corden Department of Economics.
- Cezary A. Kapuscinski & Prof Peter G. Warr, 1996. "Estimation of Armington Elasticities: An Application to the Philippines," Trade and Development 96/8, Australian National University, Department of Economics.
- Rutherford, Thomas F. & Rutstrom, E. Elisabet & Tarr, David, 1997. "Morocco's free trade agreement with the EU: A quantitative assessment," Economic Modelling, Elsevier, vol. 14(2), pages 237-269, April.
- Richard E. Baldwin & Joseph F. Francois & Richard Portes, 1997. "The costs and benefits of eastern enlargement: the impact on the EU and central Europe," Economic Policy, CEPR;CES;MSH, vol. 12(24), pages 125-176, 04.
- Goldstein, Morris & Khan, Mohsin S., 1985. "Income and price effects in foreign trade," Handbook of International Economics, in: R. W. Jones & P. B. Kenen (ed.), Handbook of International Economics, edition 1, volume 2, chapter 20, pages 1041-1105 Elsevier.
- Michael G. Plummer, 1991. "Efficiency Effects of the Accession of Spain and Portugal to the EC," Journal of Common Market Studies, Wiley Blackwell, vol. 29(3), pages 317-325, 03.
- David G. Mayes, 1978. "The Effects Of Economic Integration On Trade," Journal of Common Market Studies, Wiley Blackwell, vol. 17(1), pages 1-25, 09.
- Robert C. Hine, 1989. "Customs Union Enlargement and Adjustment: Spain's Accession to the European Community," Journal of Common Market Studies, Wiley Blackwell, vol. 28(1), pages 1-27, 09.
- Nicholls, Shelton M. A., 1998. "Measuring trade creation and trade diversion in the Central American common market: A hicksian alternative," World Development, Elsevier, vol. 26(2), pages 323-335, February.
- Corado, Cristina & De Melo, Jaime, 1986. "An ex-ante model for estimating the impact on trade flows of a country's joining a customs union," Journal of Development Economics, Elsevier, vol. 24(1), pages 153-166, November.
When requesting a correction, please mention this item's handle: RePEc:mtk:febawb:11. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Tonu Roolaht)
If references are entirely missing, you can add them using this form.