IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/1865.html
   My bibliography  Save this paper

Assessing Euro-Med trade preferences: the case of entry price reduction

Author

Listed:
  • Martinez-Gomez, Victor

Abstract

The EU protects some of its fruits and vegetables through the entry price system. This system consists on a two-tiered tariff, with high-priced exports paying an ad valorem tariff, whereas low-priced exports pay also a supplementary specific tariff. The breaking point between high and low export prices is the entry price level decided by the EU, generally the same level for all third countries. In a few cases, some Southern Mediterranean partners of the EU have agreed a reduced entry price for their exports, together with the more common ad valorem tariff reduction. Among the indicators used for gauge the value of preferences, there is no one devoted to this case of reduced entry price, hence we develop a new indicator that allows to split which part of the preferential gains corresponds to the entry price reduction and which part corresponds to the “usual” ad valorem tariff reduction. We apply this methodology to Moroccan clementines trade flows, with two main findings: 1) The entry price reduction ranges up to 39% of the economic value of preferences in some months; 2) Morocco is not maximizing the gains due to this reduction, and could take some trade and policy lessons, mainly trying to better fit to the concession or, if impossible, use it as negotiating capital in future reviews of the agreement.

Suggested Citation

  • Martinez-Gomez, Victor, 2007. "Assessing Euro-Med trade preferences: the case of entry price reduction," MPRA Paper 1865, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:1865
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/1865/1/MPRA_paper_1865.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. 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.
    2. Yamazaki, Fumiko, 1996. "Potential erosion of trade preferences in agricultural products," Food Policy, Elsevier, vol. 21(4-5), pages 409-417.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Goetz, Linde & Grethe, Harald, 2009. "The EU entry price system for fresh fruits and vegetables - Paper tiger or powerful market barrier?," Food Policy, Elsevier, vol. 34(1), pages 81-93, February.
    2. Goetz, Linde & Grethe, Harald, 2007. "The Relevance of the EU Entry Price System for Imports of Fresh Fruits and Vegetables," Working Papers 7114, International Agricultural Trade Research Consortium.
    3. Emlinger, Charlotte & Chevassus-Lozza, Emmanuelle & Jacquet, Florence, 2010. "Fruit and vegetable access to EU markets: Dissecting tariffs faced by Mediterranean countries," Food Policy, Elsevier, vol. 35(6), pages 599-611, December.
    4. Martinez-Gomez, Victor, 2008. "Current preferences of Southern Mediterranean Countries and their erosion after variations of the entry price system," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44157, European Association of Agricultural Economists.
    5. Goetz, Linde & Grethe, Harald, 2008. "How effective is the EU Entry Price System for Fresh Fruits and Vegetables?," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44063, European Association of Agricultural Economists.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Martinez-Gomez, Victor, 2008. "Current preferences of Southern Mediterranean Countries and their erosion after variations of the entry price system," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44157, European Association of Agricultural Economists.
    2. Unknown, 2007. "Journal of International Agricultural Trade and Development, Volume 3, Number 1, Spring 2007," Journal of International Agricultural Trade and Development, Journal of International Agricultural Trade and Development, vol. 3(1).
    3. Jose‐Maria Garcia‐Alvarez‐Coque & Victor Martinez‐Gomez & Miquel Villanueva, 2010. "Seasonal protection of F&V imports in the EU: impacts of the entry price system," Agricultural Economics, International Association of Agricultural Economists, vol. 41(2), pages 205-218, March.
    4. Santeramo, Fabio Gaetano & Martinez-Gomez, Victor & Márquez-Ramos, Laura & Lamonaca, Emilia, . "The Import Effects of the Entry Price System," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 49(1).
    5. Santeramo, Fabio Gaetano & Cioffi, Antonio, 2012. "The entry price threshold in EU agriculture: Deterrent or barrier?," Journal of Policy Modeling, Elsevier, vol. 34(5), pages 691-704.
    6. Emlinger, Charlotte & Chevassus-Lozza, Emmanuelle & Jacquet, Florence, 2010. "Fruit and vegetable access to EU markets: Dissecting tariffs faced by Mediterranean countries," Food Policy, Elsevier, vol. 35(6), pages 599-611, December.
    7. Sophie Drogué, 2006. "The EU olive oil policy, recent evolutions and perspectives," Working Papers 2006/01, INRA, Economie Publique.
    8. Khuele, P.R.S. & Darroch, Mark A.G., 1997. "Demand and supply factors in the export of South African fresh oranges to the United Kingdom: 1976-1993," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 36(4), pages 1-10, December.
    9. Tangermann, S., 2001. "Die Zukunft der Handelspräferenzen für Entwicklungsländer bei Agrarprodukten im Rahmen der WTO-Verhandlungen," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 37.
    10. Anania, Giovanni, 2010. "EU Economic Partnership Agreements and WTO negotiations. A quantitative assessment of trade preference granting and erosion in the banana market," Food Policy, Elsevier, vol. 35(2), pages 140-153, April.
    11. Diaz-Bonilla, Eugenio & Reca, Lucio, 2000. "Trade and agroindustrialization in developing countries: trends and policy impacts," Agricultural Economics, Blackwell, vol. 23(3), pages 219-229, September.
    12. Goetz, Linde & Grethe, Harald, 2009. "The EU entry price system for fresh fruits and vegetables - Paper tiger or powerful market barrier?," Food Policy, Elsevier, vol. 34(1), pages 81-93, February.
    13. Charlotte Emlinger & Florence Jacquet & Emmanuelle Chevassus Lozza, 2008. "Tariffs and other trade costs: assessing obstacles to Mediterranean countries' access to EU-15 fruit and vegetable markets," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 35(4), pages 409-438, December.
    14. Swinbank, Alan, 1996. "Capping the CAP? Implementation of the Uruguay round agreement by the European union," Food Policy, Elsevier, vol. 21(4-5), pages 393-407.
    15. Selva, Maria Luisa Marti & Garcia Alvarez-Coque, Jose-Maria, 2006. "A Gravity Approach to Assess the Effects of Association Agreements on Euromediterranean Trade of Fruits and Vegetables," Working Papers 18874, TRADEAG - Agricultural Trade Agreements.
    16. Santeramo, Fabio Gaetano & Cioffi, Antonio, 2012. "Transmission Of Market Crises In The European Vegetables Sector," Politica Agricola Internazionale - International Agricultural Policy, Edizioni L'Informatore Agrario, vol. 2012(2), pages 1-10, March.
    17. Diao, Xinshen & Elbehri, Aziz & Gehlhar, Mark J. & Gibson, Paul R. & Leetmaa, Susan E. & Mitchell, Lorraine & Nelson, Frederick J. & Nimon, R. Wesley & Normile, Mary Anne & Roe, Terry L. & Shapouri, S, 2001. "Agricultural Policy Reform In The Wto: The Road Ahead," Agricultural Economic Reports 34015, United States Department of Agriculture, Economic Research Service.
    18. Stefan Tangermann, 1996. "Implementation Of The Uruguay Round Agreement On Agriculture: Issues And Prospects," Journal of Agricultural Economics, Wiley Blackwell, vol. 47(1‐4), pages 315-337, January.
    19. Goetz, Linde & Grethe, Harald, 2010. "The entry price system for fresh fruit and vegetable exports from China to the EU -- Breaking a fly on the wheel?," China Economic Review, Elsevier, vol. 21(3), pages 377-393, September.
    20. 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.

    More about this item

    Keywords

    Euro-Mediterranean Trade; trade preferences; fruits and vegetables; entry price regime;
    All these keywords.

    JEL classification:

    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:1865. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.