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on Agricultural Economics |
By: | Isabelle Tsakok |
Abstract: | For over six decades, Morocco has largely equated the achievement of food self-sufficiency (FSS) in ‘strategic’ food commodities to achieving food security. Successive governments have succeeded in guaranteeing the availability of and access to these commodities for the poor and vulnerable. In so doing, they have maintained social stability by fulfilling a basic social contract with the people. This is a major achievement, but the financial, economic, and environmental costs of this FSS approach are enormous. Morocco is now under increasing pressure to revisit these costs under the existential threat of climate change. Water scarcity, is of course, not a new problem for Morocco, a semi-arid country, but climate change threatens to turn water scarcity into a water crisis. Although governments have invested heavily in dams, irrigation infrastructure, and micro-irrigation technologies, and have succeeded in building a significant irrigated agriculture sector; recurrent droughts still have major adverse impacts on GDP growth and the livelihoods of the smallholder majority, most of the poor and vulnerable in rural areas. Despite the substantial achievements of the Plan Maroc Vert with irrigated agriculture, Moroccan agriculture is still dualistic. Rainfed agriculture still occupies 80% of the cultivated area, employs most of the agricultural workforce, and is relied on by the majority of smallholders most of whom are still involved in low-productivity farming. |
Date: | 2023–05 |
URL: | https://d.repec.org/n?u=RePEc:ocp:rpaagr:pp_06-23 |
By: | Ahmed Ouhnini; Larissa Wachholz; Bruno Brasil |
Abstract: | This policy brief was originally published on T20 India website Supportive policies for tropical agriculture have helped millions of small-scale farmers in Brazil step out of poverty by improving government capacity to design legal frameworks to strengthen agricultural production and family farming. Scientific and technological developments have enabled small-scale Brazilian farmers to produce food while considering local tropical conditions. In contrast, tropical agriculture stakeholders in Africa continue to face structural challenges to productivity levels. The persistent technological gap between tropical nations in Africa and industrialised countries hinders the capacity of local producers to compete with major traditional tropical crop exporters under the current free trade conditions. Although tropical farming has evolved differently in Latin America and Africa, farmers in the two regions face similar challenges, such as insufficient investments in infrastructure, tropical deforestation as a result of economic incentives, and significant rural poverty. In many countries, promoting tropical agriculture is not a priority for governments and public policies, which results in a lack of strategy and structured investments. Brazil and Africa could meet the increase in demand expected for tropical products, such as food and fibres, by 2050. Considering that both the country and the continent are important players in global food production systems, Brazil and Africa both have significant potential to increase their production of tropical products to meet future demand. To achieve this, the sector needs structured investment and strategically aligned policies to lay the ground for a prosperous, inclusive, and sustainable tropical agriculture. This Policy Brief compares the position of both regions within global commodity value chains and investigates additional factors that could explain successes and failures, as well as highlight best practices to promote inclusive markets for tropical farming, define prospects for underexploited new market opportunities, and identify relevant instruments to reach common goals. |
Date: | 2023–06 |
URL: | https://d.repec.org/n?u=RePEc:ocp:rpaagr:none |
By: | Rabi Mohtar |
Abstract: | The agricultural sector is responsible for 72% of global water withdrawals, and is the biggest employer of the world’s most vulnerable and poor populations. Still, close to 84% of smallholder farms in low- and middle-income economies are located in water-scarce regions, with less than one third of them having access to irrigation (UN, 2024). These small-scale farmers also bear the heavy weight of land degradation and climate crisis. It is estimated that food production will need to increase by 50% by 2050 to meet the requirements of the growing world population (FAO, 2020). The agriculture sector amounts to 35% of total African GDP, yet a mere 4% of total government expenditure went into this sector (Hodder and Migwala, 2023). It is imperative to increase system resilience by reducing water-energy-food interdependencies through improved multisectoral policies, technologies, and adapted management. With the impacts of climate-related extreme events and the vulnerability of rural populations, an integrated approach to water management is the only way to close the water gap. Moving forward towards achieving global sustainable goals, rural communities must be empowered to ensure that they are the drivers of the expected socio-economic development through water development and management. This policy brief explores sustainable development in Africa through investment in rural development as the foundation for economic growth and community development. It provides a case study exploring the interrelationships of the resource nexus in Morocco, and the need to promote water as a catalyst for development and for development of policy coherence with related sectors. |
Date: | 2024–07 |
URL: | https://d.repec.org/n?u=RePEc:ocp:pbagri:pb_34-24 |
By: | Isabelle Tsakok |
Abstract: | Climate change threatens to reduce the water flow in the Nile and increase the frequency and severity of droughts and floods in Egypt, which already suffers from water scarcity. This threat is a looming crisis as it seriously undermines the Government of Egypt’s long standing food self-sufficiency approach to food security, an approach which is wasteful of increasingly precious arable land and water resources, while achieving neither more food self-sufficiency nor meaningful food security for the poor and vulnerable. Given its fiscal constraints and the substantial budgetary resources it has been spending on subsidizing basic foods, this looming crisis is an opportune moment for Egypt’s government to re- assess and rebuild its food security approach, in the context of a fast urbanizing and youthful Egypt in a water-constrained, climate-change impacted world. |
Date: | 2023–01 |
URL: | https://d.repec.org/n?u=RePEc:ocp:rpaagr:pp_01-23 |
By: | Rabi Mohtar |
Abstract: | National and regional visions for the future of water and food security have been at the forefront of sustainability talks. Nevertheless, the role of soil in water and food security and carbon management needs to be highlighted and integrated into these discussions and visions. The dynamic characterization of soil as a medium that accounts for the long-term impact of the agro-environmental conditions is of utmost importance to sustainability of these resources and to sustainable development in general. As the agriculture sector seeks to provide for growing populations by increasing food production, alternative sources of water must be found to alleviate the competition for water with other sectors, including energy and domestic water demand. Alternative sources include grey water, green water, and increasing water productivity for food production. |
Date: | 2024–04 |
URL: | https://d.repec.org/n?u=RePEc:ocp:rpaagr:pb_14-24 |
By: | Chigwe, Tabitha C. Nindi |
Abstract: | This study examines the adoption of sustainable agricultural intensification practices— particularly cereal-legume intercropping—by smallholder farming households in Malawi. The focus of the study is on how spatial variation in key factors related to agricultural production and marketing influences farming households’ decision-making processes under risk. Separate analyses are done for six distinct agroecological zones in Malawi to evaluate how resource and market constraints affect farming households’ decisions to employ intercropping practices on their cropland and how the variations in these constraints have differing impacts on adoption of intercropping across different regions. This study provides valuable insights into the complexities of smallholder farming choices in diverse geographic contexts. |
Keywords: | MALAWI, Africa, Eastern Africa, households, intercropping, smallholders, spatial analysis, sustainable agriculture |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:fpr:masprn:155279 |
By: | Hafez Ghanem |
Abstract: | This brief argues for a pan-African food security initiative that would: 1). encourage free trade in food products between African countries; 2). promote multi-country regional investments in infrastructure to enhance agricultural productivity and resilience to climate change; 3). support public-private partnerships to establish fertilizer factories across the continent; 4). create an African council responsible for coordinating and encouraging agricultural research and development; and 5). support a facility that would ensure vulnerable African countries can finance food imports in times of crisis. |
Date: | 2022–11 |
URL: | https://d.repec.org/n?u=RePEc:ocp:pbagri:pb_62_22 |
By: | International Food Policy Research Institute |
Abstract: | The concept of food systems has evolved rapidly in recent years, with a more holistic approach gaining traction among scholars and policymakers. This new perspective encompasses all elements and activities related to food production, processing, distribution, preparation, and consumption, as well as the socioeconomic and environmental outcomes of these activities. Despite growing awareness, the global food system is under threat due to unsustainable practices and the current trajectory of agrifood systems drivers, which risk derailing the achievement of Agenda 2030 targets. Increasingly, international organizations, countries, and civil society groups are utilizing foresight exercises to explore alternative scenarios and pathways for more resilient and sustainable food systems. Odisha, a predominantly agrarian economy, exemplifies many of these global challenges. More than 75% of its population lives in rural areas, and a significant portion is reliant on agriculture. However, the contribution of agriculture to the state's economy has dwindled to 17%, with manufacturing (37%) and services (36%) sectors dominating. While 48% of Odisha's population is still dependent on agriculture and allied sectors, the sector's contribution to GVA has declined by 11% over the past two decades leading to inefficiencies and disguised employment in the sector, which is exacerbated by poor infrastructure and limited resources. Although Odisha's agriculture sector has seen some improvements in rice production since the implementation of Green Revolution in Eastern India, overall growth remains low. |
Keywords: | agriculture; food systems; policies; transformation; India; Asia; Southern Asia |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:fpr:cgiarp:155234 |
By: | Hossain, Mashiat; Pamuk, Haki; Parvez, Md Shahnewaz; Herens, Marion |
Abstract: | The project “Support for Modelling, planning, and Improving Dhaka’s Food System†(DFS) project aimed to address Dhaka’s challenges in providing affordable, accessible, safe, and nutritious food to its residents, using a comprehensive, gender-inclusive, and nutrition-sensitive approach. Dhaka is facing significant challenges to ensure affordability and accessibility of safe and nutritious food to its residents. DFS project aimed to find integrated solutions to address both present and future food needs in Dhaka. The project followed a comprehensive approach that considered various aspects of the food system, including short-term challenges related to food security, availability, and consumption, as well as long-term challenges regarding urban food policy and planning. A gender-inclusive and nutrition-sensitive approach was adopted throughout the project.- The report uses a food system monitoring approach to analyse how the DFS project initiatives connect with Dhaka’s food system. DFS project initiatives target specific aspects and aim to bring transformative changes for improved food outcomes in the city while also being gender-sensitive, food safety and nutrition-focused. This report analyses the connection between the DFS project initiatives and Dhaka’s food system using a food system monitoring approach. Most of the 21 DFS project initiatives are linked to specific aspects of Dhaka’s food system, and three initiatives are expected to contribute to multiple aspects, aiming to bring about changes in the city’s food system. The outputs generated by these initiatives are anticipated to transform the food system and improve food-related outcomes in Dhaka’s four cities. The project initiatives were designed to be gender-sensitive and nutrition-focused, aligning with the project’s overall approach. |
Keywords: | food consumption; food security; policy innovation; monitoring and evaluation; Bangladesh; Asia; South-eastern Asia; Southern Asia |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:fpr:cgiarp:155197 |
By: | Rajiv, Sharanya; Akramov, Kamiljon T.; Aliev, Jovidon |
Abstract: | Poor households are the most vulnerable to external shocks. When Kazakhstan and the Russian Federation restricted wheat exports in response to the COVID-19 pandemic, prices for wheat flour and derived products (staple food) increased sharply in Central Asian countries that are dependent on wheat import (the Kyrgyz Republic, Tajikistan, and Uzbekistan). These export restrictions also increased fears of adverse food security outcomes in importing countries. In Tajikistan, these global dynamics translated into significant challenges given its reliance on imports to meet around half of its cereal requirements. The FAO forecasted Tajikistan’s cereal import requirement for 2020/21 at 1, 225, 000 tons or about 50 percent of its total consumption. Most of this import requirement was made up of wheat, which is a key staple in the Tajik diet, comprising about 54% of total wheat consumption. The country’s key wheat supplier, Kazakhstan, imposed export limitations in April and May 2020. Consequently, despite a good domestic harvest and price stabilization initiatives by the Government of Tajikistan, the domestic price of wheat remained well above the 2019 levels. To unpack the impact of COVID-19 on rural livelihoods and farm decision making, panel data from 1, 200 households in Khatlon province in Tajikistan was analyzed. Data was collected through a phone survey in September-October 2020 in 12 districts of Khatlon province, with a set of households previously surveyed in September 2018. The analysis examines respondents’ perceptions of the pandemic’s effects on their households’ livelihoods and agricultural production, disaggregate by 2018 household wealth quartiles. The analysis is descriptive and summarizes respondents’ perceptions. The methodology doesn’t allow us to determine causal pathways or generalize the results beyond Khatlon province. |
Keywords: | COVID-19; cropping patterns; food security; households; shock; Tajikistan; Asia; Central Asia |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:fpr:prnote:155378 |
By: | Eissler, Sarah; Heckert, Jessica |
Abstract: | We present findings from a qualitative study conducted as part of an impact assessment of the Programme to Reduce Vulnerability in Coastal Fishing Areas (PRAREV) , supported by the International Fund for Agricultural Development (IFAD) and implemented from 2013 to 2021. This study was designed to focus solely on the gender aspects of PRAREV, which overall aimed to support fishing communities and actors in the fishing sector in Djibouti, specifically those living in rural coastal areas affected by climate change, by reducing their vulnerability to the effects of climate change and promote co-management of marine resources. The program targeted those who are poor and who rely on fishing, particularly women involved in fish processing and marketing. The qualitative findings shared in this paper complement findings from an accompanying quantitative study, which found positive effects of the program on incomes, production, women’s influence on decisions, and food security, but not on resilience or nutritional status. We used multiple qualitative methods, including semi-structured interviews and focus group discussions with program staff and men and women leaders and members of fishing organizations to examine the following research questions focused on the gender component of the program: 1) How the program was delivered from multiple perspectives; 2) How the program strengthened the fishers’ and fishmonger associations; and 3) The benefits and costs of the program in the areas of climate change resilience, livelihoods, and changes in the fishing sector. While PRAREV aimed to take a gender-sensitive approach, the gender strategy and its delivery could have been improved. PRAREV mainly reached women by intentionally including women fishing organizations so that they could benefit from access to collective resources, training, and knowledge. PRAREV trainings often were not communicated to women members of fishing organizations, which led to women’s relative exclusion compared to men members. However, participants shared both positive and negative feedback on the PRAREV program. They generally agreed that when delivered, the trainings were well received and increased knowledge and awareness of climate change and knowledge of upgrading techniques in the fishing sector. The climate change trainings developed awareness about the drivers of climate change and taught best practices on the preservation of local marine resources. However, these trainings did not address adaptation to depleted fish populations in mangroves or reefs. Other trainings focused on value chain upgrading were well received and when delivered, increased relevant knowledge. However, their reach was limited, particularly among women fishing organization members. Finally, PRAREV provided organizations key resources for value chain upgrading and integration in the fishing sector in a way that preserved the local marine environment (e.g., boats, knives, fishing wires, nets). While fishing organization members spoke positively of these resources, there were challenges in delivering them. They were delivered late in the project, often without training or a sustainability plan, or were often not delivered as promised, creating frustration and tension among group members. They were also often delivered in smaller quantities than originally communicated and as such, the recipient fishing organizations limited their use. Overall, group members felt there was limited transparency in delivering these resources. Based on these findings, we share recommendations for PRAREV and similar programs. We suggest conducting formative research on the local fishing sector to identify how men and women want to participate and the key barriers they face in doing so. With respect to resource provision, programs should provide resources earlier and should deliver them with a sustainability plan that has community buy in. Implementers should aim to understand how groups could make use of high-value common property to enable transparency and sustainability. Trainings should also be tailored to the local context and be more in-depth. Importantly, program staff should ensure that all intended beneficiaries, especially women, are invited and able to participate in program trainings so that all members can benefit from the knowledge, awareness, and skill building gained at each training event. Programs should implement a more robust monitoring plan to ensure resources are adequately used and equitably distributed, and that all intended beneficiary groups benefit equitably. Finally, although PRAREV was designed to undertake a gender-sensitive approach, further refinement of this approach could likely improve program delivery and impact. A gender accommodative approach would have supported and empowered women from within the traditional gender roles that they feel more comfortable with to participate and upgrade in their respective fishing activities. |
Keywords: | fishing; gender; vulnerability; women's empowerment; Africa; Eastern Africa; Djbouti |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:fpr:ifprid:2284 |
By: | Andrew Dillon; Nicoló Tomaselli |
Abstract: | Making markets is central to theories of development. In a randomized controlled trial, we vary an agricultural input market's organization to test whether time-inconsistent preferences, hard or soft commitments, and liquidity are constraints to market formation. The results show that markets organized earlier raise market sales consistent with farmer's measured time-inconsistent preferences. Liquidity in later spot markets are a substitute for earlier market timing. Farmer's demand is relatively inelastic to deposit levels in forward contracts. The experiment also directly tests the separability hypothesis where we find creating input markets alone does not lead to welfare improvements. |
Keywords: | agriculture, market formation, welfare improvements, randomized controlled trial, development, farmers. |
JEL: | Q12 L10 G21 |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:frz:wpaper:wp2024_18.rdf |
By: | Isabelle Tsakok |
Abstract: | Ghana achieved lower middle-income country status by 2011. However, its growth path in the previous decades did not lay the foundations for the economic transformation of Ghanaian agriculture and therefore its overall economy. It relied primarily on extractive and non-renewable resources (gold and oil) and cocoa exports, and it did not diversify. While much progress was made in poverty reduction, pervasive low productivity and job informality continue to condemn millions to poverty, vulnerability, and therefore to chronic food insecurity. Despite its abundant natural resource endowment, and despite decades of growth, Ghana is again on the brink. The harsh assault of the COVID-19 pandemic laid bare its structural weaknesses. Ghana must again recover: it urgently seeks an Extended Credit Facility of about $3 billion and a restructuring of its debt, to enable it ride out of its current crisis and pursue its vision of ‘Ghana Beyond Aid.’ Achieving this vision requires Ghana to reverse its long-term neglect of agriculture, a key sector still mired in low productivity, extensive poverty, and vulnerability. The challenge is investing in agriculture at a time of daunting difficulties in that funds are tight, the global economy is turbulent, and climate change is a constant stressor. However, the existence of transformative possibilities through the technologies of the Fourth Industrial Revolution (4IR), and access to a vast, unified regional market made possible by the African Continental Free Trade Area (AfCFTA) offer growth opportunities. Without transforming its agriculture, the vision of a food secure ‘Ghana Beyond Aid’ will remain a distant |
Date: | 2023–07 |
URL: | https://d.repec.org/n?u=RePEc:ocp:rpaagr:pb_28_23 |
By: | Yang, Linge |
Abstract: | Agrochemicals are crucial for modern agriculture, but improper use can cause nonpoint source pollution (NPS), harming water quality and health. Despite recognizing agriculture as a major NPS contributor, policies lag in addressing it. Current literature identifies three main approaches to mitigate NPS: voluntary programs, economic incentives, and command and control regulations, but lacks empirical studies. This paper introduces a production efficiency model inspired by the input-based Best Management Practices (BMPs) to tackle agrochemical overuse without affecting yields. It aims to address NPS by providing empirical estimates to guide evidence-based sustainable farming policies. |
Keywords: | Nonpoint Source Pollution, Best Management Practice, Chemical Runoff, Data Envelopment Analysis |
JEL: | C53 C61 D24 Q15 Q18 |
Date: | 2024–10–02 |
URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:122265 |
By: | Abdelaziz, Fatma; Abay, Kibrom A. |
Abstract: | Digital innovations hold significant potential to address multiple forms of market failures. However, their adoption remains low and heterogenous across Africa. Smallholder farmers face significant barriers in accessing essential information, limiting their ability to seize market opportunities and enhance profitability. While numerous digital tools have been developed for farmers in the region, most are still in pilot phases. The landscape of digital agricultural innovations in Egypt, the focus of this study, presents a similar outlook, whereby the Egyptian market has an array of innovative digital study, presents a similar outlook, whereby the Egyptian market has an array of innovative digital agricultural tools that offer different services to farmers (including digital advisory agricultural and market services). Several demand and supply-side factors contribute to the low adoption of these digital innovations and their disparities among smallholder farmers in Africa and Egypt. On the supply side, the most important challenges include inadequate public and private investment in complementary infra-structure, unsustainable business models, and a misalignment in the pace of innovation. The most important demand-side challenges include lack of digital literacy, insufficient context-specific needs assessments, digital divide, and accessibility, usability, and user trust. User confidence and trust in digital tools is another important but understudied topic.. However, we lack empirically grounded evidence on alternative supply and demand-side interventions to enhance the adoption and scaling of digital innovations in various contexts, including Egypt. |
Keywords: | agricultural technology; digital agriculture; digital innovation; smallholders; Africa; Eastern Africa; Northern Africa; Egypt |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:fpr:prnote:152495 |
By: | Isabelle Tsakok |
Abstract: | Mauritius was on the brink of disintegration in the 1980s, but by 2019 had managed a peaceful transformation from a low income, monocrop, inward-oriented economy to a diversified, outward-oriented, upper middle-income country. Mauritius is now again at a crossroads, having to adapt to accelerating climate change and the impacts of multiple crises. The government of Mauritius has a vision of transforming the country into a knowledge-intensive and inclusive economy of the Fourth Industrial Revolution (4IR). Will it succeed this time? It can if it has the leadership, commitment to deepen reforms already started, and the implementation capacity. |
Date: | 2023–02 |
URL: | https://d.repec.org/n?u=RePEc:ocp:rpaagr:pb_10_23 |
By: | Wehner, Jasmin; Feil, Jan-Henning; Yu, Xiaohua |
Abstract: | Market power in economic theory is defined as deviations from marginal cost pricing, which results in unfair competition and welfare losses. In complex agri-food supply chains, the exercise of market power is a significant contributor to welfare losses, as multiple actors throughout the chain can exert such power. However, the potential dual role of dairy processors—as both buyers in the raw milk market and sellers in the output market—has received little attention so far. Using a panel data set with 323 observations from major German dairy processors between the years 2010 and 2021, we show that dairy processors exercise both, oligopsonistic as well as oligopolistic market power. Results suggest that dairy processors take advantage of their central position in the dairy supply chain, and buy milk from dairy farmers 9.2 percent below the value of the marginal product and sell processed milk to retailers 1.1 percent above the marginal costs. We demonstrate that it is important to incorporate the dual role of supply chain actors in market power analyses. In order to reduce welfare losses generated by market power, we recommend that the federal cartel authority should monitor market actors within the dairy supply chain continuously and consider the dual role of market actors in their reports and recommendations to the government. |
Keywords: | Dairy Farming, Dairy Production/Industries, Industrial Organization |
Date: | 2024–10–30 |
URL: | https://d.repec.org/n?u=RePEc:ags:gausfs:347738 |
By: | Rabi Mohtar |
Abstract: | It is estimated that $1 trillion to $6 trillion per year (up to 2050) needs to be invested globally if the world is to stay below the 2°C global warming ceiling of the Paris Agreement and to meet its adaptation goals. Currently, investments stand at about $630 billion per year, way below the original target. And although great efforts have been made in the climate-finance area, more than 70% of the funds deployed have gone to one sector, renewable energy, followed by the transportation sector. The agriculture sector has been severely underfunded, even though it produces 20% of global greenhouse gas emissions. This leaves the most vulnerable communities at risk as the effects of climate change are already impacting this sector intensely. In this policy brief, four principles are proposed as a foundation when deploying funds into climate-change mitigation and adaptation projects: equity, creativity, impact, and transparency. Climate finance has an enormous potential to make bigger impacts when the right principles are applied. |
Date: | 2023–04 |
URL: | https://d.repec.org/n?u=RePEc:ocp:pbagri:pb_20_23 |
By: | Andrew AGYEI-HOLMES (University of Ghana - ISSER); Kwadwo Opoku (University of Ghana - ISSER); Richmond Atta Ankomah (University of Ghana - ISSER); Victor Nechifor (European Commission – JRC); Emanuele Ferrari (European Commission – JRC); Ole Boysen (European Commission – JRC); Antti Simola (European Commission – JRC) |
Abstract: | This study employs the economy-wide model DEMETRA to provide a detailed characterisation of the impacts of the African Continental Free Trade Area on the Ghanaian economy from 2020 to 2035 and how these economy-wide impacts will affect food consumption and affordability. It considers two liberalisation scenarios – tariff-only liberalisation and tariff and non-tariff measures liberalisation – across four potential liberalisation schedules defined by different government revenue, food security and economic development objectives. Results from a continental-level assessment are linked to the DEMETRA model to accommodate changes in international markets as a result of the establishment of the African Continental Free Trade Area. The study shows that tariff-only liberalisation leads to positive effects on trade and that there is a further boost to trade when tariffs are combined with non-tariff measures. A moderate growth in gross domestic product potentially increases capital stock and intermediate goods for manufacturing. Demand for labour in the manufacturing sector also rises, but labour demand in livestock production declines. In terms of food security, prices of processed food generally decline, while prices of cash crops rise. Overall, household consumption of food and other commodities rises. Ultimately, overall government tax revenue falls as a result of a significant reduction in trade taxes, which calls for innovative ways to expand tax collection in country. |
Keywords: | Trade, Ghana, Africa, general equilibrium model, food security |
Date: | 2024–10 |
URL: | https://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc137662 |
By: | Jana, Sebak; Manna, Siddhartha |
Abstract: | The Minimum Support Price (MSP) is a key element of India's agricultural policy, aimed at protecting farmers from market price volatility and ensuring they receive a fair return for their crops. The paper critically examines the role of the Minimum Support Price (MSP) in India's agricultural sector, addressing the ongoing debate over the need for a legal guarantee of MSP. Through a balanced analysis, it presents arguments both for and against the legal guarantee of MSP, acknowledging concerns over market distortions and fiscal burdens. Suggestions for improving farmers’ incomes, such as investment in infrastructure, price stabilization mechanisms, and income support schemes, are discussed. The paper concludes by emphasizing the need for comprehensive reforms in the MSP system, advocating for a balanced approach that incorporates global best practices and modernizes market mechanisms, rather than solely relying on legal guarantees to sustain the agricultural economy. |
Keywords: | Agriculture, Minimum Support Price (MSP), Legal Guarantee, C2, CACP, APMC |
JEL: | Q13 |
Date: | 2024–08–20 |
URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:122389 |
By: | Mohanty, Aatishya (University of Aberdeen); Powdthavee, Nattavudh (Nanyang Technological University, Singapore and IZA); Tang, CK (Nanyang Technological University, Singapore); Oswald, Andrew J (University of Warwick, IZA and CAGE) |
Abstract: | This paper studies natural disasters and the psychological costs of climate change. It presents what we believe to be the first evidence that higher temperature variability and not a higher level of temperature is what predicts natural disasters. This conclusion holds whether or not we control for the (incorrectly signed) impact of temperature. The analysis draws upon longdifferences regression equations using GDIS data from 1960-2018 for 176 countries and the contiguous states of the USA. Results are checked on FEMA data. Wellbeing impact losses are calculated. To our knowledge, the paper’s results are unknown to natural and social scientists. |
Keywords: | Global warming; temperature standard deviation; human wellbeing; happiness; disasters; BRFSS; WVS JEL Classification: Q54; I31 |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:cge:wacage:725 |
By: | Oluwasola Omoju; Emily Ikhide; Augustine C. Osigwe; Rifkatu Nghargbu; Victor Nechifor (European Commission – JRC); Andrea El Meligi (European Commission – JRC); Valeria Soledad Ferreira Gregorio; Ole Boysen (European Commission – JRC); Antti Simola (European Commission – JRC); Emanuele Ferrari (European Commission – JRC) |
Abstract: | The African Continental Free Trade Area (AfCFTA) is aimed at boosting intra-African trade and promoting regional development. However, the distribution of its benefits and costs are uneven, and it presents opportunities and threats to different sectors of the economy. This report assesses the impact of the AfCFTA on the Nigerian economy, with particular reference to the agri-food sectors. Using the MAGNET and DEMETRA models calibrated on the GTAP 10 database and Nigeria’s 2019 Social Accounting Matrix (SAM) respectively, the analysis shows that the AfCFTA has a negligible impact on GDP, and the impact is much larger under the tariff and NTM scenarios than under the tariff only scenario. Contrary to expectations, government revenue increase significantly as revenue from other sources offset the fall in customs revenue, and this effect is larger under the intermediate input liberalisation schedule. The outputs of industry, utilities, construction, services and agriculture sectors increase while outputs of public services, extractive and processed food sectors reduce. The reduction in the output of the processed food sector leads to an increase in imports of processed food commodities. The increase in output is bigger under the agricultural trade liberalisation schedule. The employment effects also mirror the output effect, with sectors that experience output contraction also experiencing fall in employment and vice versa. Low-skilled labour will be mostly affected. The welfare impact is higher for rural households compared to urban households. For urban households, some outlier households face some welfare losses in 2025 and 2030. But the negative welfare effects turn positive in the transition to 2035 as the AfCFTA benefits expand. In terms of the trade flows, the results show that trade between Nigeria and other AfCFTA member states will increases significantly by 2035. Based on the findings of the study, it is recommended that complementary policies be implemented to stimulate growth. Policies to protect key sectors that are negatively affected, including processed food sector, be implemented. |
Keywords: | Trade, Nigeria, Africa, general equilibrium model, food security |
Date: | 2024–09 |
URL: | https://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc138312 |
By: | Rabi Mohtar |
Abstract: | The fundamental role that water resources play in human development has been highlighted in multiple ways; the United Nations SDGs underline 17 different goals and over a hundred targets to be achieved by 2030. Out of 169 SDG targets, 59 were found to have direct links and synergies with the water goal SDG6 (UN Water, 2016). Careful policy making and interventions need to be implemented to avoid conflict among sectors and tradeoffs must be well established. The Integrated Water Resources Management (IWRM – since 1992) was adopted by most countries and made significant strides in formulating a good foundation for policies and synergies between stakeholders. Nevertheless, IWRM concepts need to be adaptive and revisited to achieve the Agenda 2030 targets. This policy brief introduces water management as a system of interactions between water and other vital resources including food, energy, and health among others; it presents several concepts to bring about policy coherence and quantitative protocols for a more cohesive implementation of policies and tradeoffs in the water sector and beyond. |
Date: | 2023–02 |
URL: | https://d.repec.org/n?u=RePEc:ocp:pbagri:pb_08_23 |
By: | Isabelle Tsakok |
Abstract: | Nigeria has the potential to be an economic powerhouse, but food insecurity stalks a large share of its population. Over the last fifteen years, undernutrition has increased from over 7% (2004-06) to nearly 13% of the population (2017-2019). The COVID-19 pandemic of course exacerbated health and nutrition problems. With the current high inflation, an additional 4 million people have been pushed into poverty, from 90 million (Dec. 2022) to 94 million (April 2023) (WBG, June 2023). Since it became an oil-driven economy in the early 1970s, Nigeria has experienced boom- and-bust cycles, which undermine long-term investment in the transformation of its agricultural economy, and the productivity of the non-oil economy. Successive governments have been unable to mobilize the surplus of the boom years to invest in a diversified, high-productivity economy, leading the structural problems undermining high productivity growth to pile up. Since COVID-19, the global environment has become more challenging for emerging economies to borrow and invest, but there are opportunities, especially for African governments with access to Africa-wide markets in the context of the African Continental Free Trade Area. The new Government of Bola Tinubu, who became President of Nigeria in May 2023, has taken a first major reform step: It eliminated the costly and regressive subsidy on petroleum. |
Date: | 2023–09 |
URL: | https://d.repec.org/n?u=RePEc:ocp:rpaagr:pb_36-23 |
By: | Gold, Natalie; Cornel, Pieter; Zhuo, Shi; Thornton, Katie; Riddle, Rupert; McPhedran, Robert |
Abstract: | Free samples and loyalty cards are frequently used, but there is little rigorous empirical testing of their effects. We conducted a stepped wedge trial in 29 workplace food outlets to investigate their effects on sales of plant-based meals. Outlets were randomly assigned to three sequences that entered the intervention in the first, second, or third week of August 2022. Free samples of plant-based meals were given out in the first week of the intervention; loyalty cards were available throughout, entitling the bearer to a free meal after they had bought three. The intervention period ended in the last week of August for all outlets. The free meal could be redeemed until one month later. We did not find statistically significant effects of the interventions compared to the baseline period. Our process evaluation indicated that many participants preferred to eat their habitual meal or were unaware of the loyalty cards. |
Keywords: | behavioural economics; consumer behaviour; field experiments; food businesses; out-of-home food sector; sales promotions |
JEL: | L81 |
Date: | 2024–09–01 |
URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:124459 |
By: | Isabelle Tsakok |
Abstract: | If the recent peaceful transfer of power in Madagascar heralds a new trend, then the Malagasy people can dream big. For decades, the exercise of economic-cum-political power in the hands of a tiny elite has held the entire nation hostage. Today, the high poverty rate—around 80% (2021) stands in stark contrast to the natural resource abundance of this huge enormous island. There is hope, however, that with political stability, the Plan d’Émergence Madagascar (PEM) President Andry Rajoelina will undertake critical investments and reforms the Plan d’Émergence Madagascar (PEM) under President Andry Rajoelina will undertake key critical investments and reforms. If these initiatives persist, Madagascar can grow and exploit the historic market opportunities offered by the African Continental Free Trade Area (AfCFTA). Major sectors like agriculture and agri-business; tourism; textile and apparel industry hold promise for making a major significant contribution to poverty reduction in the short to medium terms, thus strengthening the current fragile recovery towards a more food secure and resilient Madagascar. |
Date: | 2022–11 |
URL: | https://d.repec.org/n?u=RePEc:ocp:pbtrad:pb_64-22 |
By: | Mondal, Bandana; Sarkhel, Prasenjit |
Abstract: | This paper investigates the relationship between female employment and nutritional status in rural India, using data from the National Family Health Survey-5 (NFHS-5). Constructing a nutrition index that captures the extent of food intake, we find that employed women are nutritionally worse off than their unemployed counterparts. This negative effect persists even after correcting for the potential endogeneity of female employment and nutrition, with robustness checks across different food items, alternative measures such as Body Mass Index (BMI), and district-level economic conditions, proxied by nightlights data. We also find suggestive evidence of greater intra-household food disparity between employed women and their male counterparts. Further analysis reveals that spousal violence—exacerbated by female employment—plays a significant role in undermining women's nutritional outcomes, while the positive effect of increased decision-making power is comparatively weaker. This dynamic is evident across all wealth quintiles, suggesting that higher economic status does not mitigate these adverse effects. The findings highlight the need for employment policies that incorporate nutritional support for working women, as well as interventions to reduce intra-household conflict, ensuring that employment translates into both economic and health gains for women in rural India. |
Keywords: | Nutritional status, Female Employment, NFHS-5, Instrumental Variable |
JEL: | D13 I14 |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:zbw:esprep:305191 |
By: | Seymur Garibov; Wadim Strielkowski |
Abstract: | Climate change, deforestation, and biodiversity loss are calling for innovative approaches to effective reforestation and afforestation. This paper explores the integration of artificial intelligence and remote sensing technologies for optimizing tree planting strategies, estimating labor requirements, and determining space needs for various tree species in Gabala District of Azerbaijan. The study employs YOLOv8 for precise identification of potential planting sites and a Retrieval-Augmented Generation approach, combined with the Gemini API, to provide tailored species recommendations. The methodology incorporates time-series modeling to forecast the impact of reforestation on CO2 emissions reduction, utilizing Holt-Winters for predictions. Our results indicate that the AI model can effectively identify suitable locations and species, offering valuable insights into the potential economic and environmental benefits of large-scale tree planting thus fostering sustainable economic development and helping to mitigate the adverse effects of global warming and climate change. |
Date: | 2024–10 |
URL: | https://d.repec.org/n?u=RePEc:arx:papers:2410.09136 |
By: | Rabi Mohtar |
Abstract: | A 2023 United Nations progress report (UN, 2023) showed that, of the 169 targets that make up the Sustainable Development Goals (SDGs), only 15% are on track, and progress on many has either stalled or regressed. The Water-Energy-Food nexus approach has highlighted the utmost importance of understanding the interconnections between systems in order to accelerate the achievement of the SDGs. In this policy brief, we use the lessons learned from the water sector through a case study from Matagorda County in Texas, U.S. We take an analytical approach that facilitates the understanding of systems at different scales, using models that help reduce the complexity of the systems, and applying this knowledge to create synergies and solutions. |
Date: | 2024–01 |
URL: | https://d.repec.org/n?u=RePEc:ocp:pbecon:pb_01_24 |
By: | Schmidt, Emily; Mugabo, Serge; Rosenbach, Gracie |
Abstract: | This study describes the employment patterns of rural households in Rwanda and explores their challenges and opportunities for rural income diversification. Detailed analysis using a 2022 rural household smallholder survey on agricultural production and employment in Rwanda, reveals that: • Agricultural wage labor is the dominant source of off-farm income and is the primary means of supplementing rural household income. This is different than other LMICs where households are more likely to develop nonfarm enterprises that bring in extra income and diversify the rural economy towards more value-added output while also increasing demand for rural inputs. • This research suggests that factors like access to education and financial services are key factors to employment decisions and improved rural urban linkages. |
Keywords: | Africa; Eastern Africa; Sub-Saharan Africa; Rwanda; employment; rural population; households; income; diversification; agricultural production; access to finance; education |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:fpr:rssppn:16 |
By: | DORATI Chiara (European Commission - JRC); HORMIGOS FELIU Clara (European Commission - JRC); PERPIÑA CASTILLO Carolina (European Commission - JRC); QUARANTA Emanuele (European Commission - JRC); TAYLOR Nigel (European Commission - JRC); KAKOULAKI Georgia (European Commission - JRC); UIHLEIN Andreas (European Commission - JRC); AUTERI Davide (European Commission - JRC); DIJKSTRA Lewis (European Commission - JRC) |
Abstract: | The green energy transition and its boost to the deployment of renewable energy can offer a unique opportunity for rural areas to benefit from their natural resources. The present brief summarise the findings of the previous science for policy report and provide a quantitative assessment of the technical potential of renewable energy sources in the EU’s rural areas, focusing on solar, wind and hydropower. It aims to provide relevant insights into how rural areas and communities can contribute to and benefit from the EU’s green energy transition, without undermining natural and key biodiversity areas, high-value natural farms and food production. The report shows that solar photovoltaic systems in rural areas generate 136TWh a year but have the potential to generate 60 times more (8600TWh/year). Rural areas produce 280TWh a year through onshore wind but have the potential to produce four times more (1200TWh/year). Hydropower production in rural areas yields 280TWh a year, but it could potentially be 25% higher (350TWh/year). The document also addresses the concept of energy communities, as an emerging framework intended to foster a just green transition and community engagement. |
Date: | 2024–09 |
URL: | https://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc138095 |
By: | Hai-Anh H. Dang (World Bank); Cuong Viet Nguyen (Viet Nam National University, and the Mekong Development Research Institute, Hanoi, Viet Nam) |
Abstract: | We examine the Covid-19 pandemic-induced negative effects on household welfare in rural Viet Nam. Analysing recent Viet Nam Household Living Standard Surveys spanning 2016–2021, we find robust evidence that lockdown measures resulted in a 3.9% reduction in per capita income and a 2.6 percentage-point increase in the headcount poverty rate of rural households. It also had severe effects on rural households’ wages and self-employed non-farm income, but rural households appeared to have relied on farm income to cope with the lockdowns. Each additional month under lockdown reduced wage income and non-farm income by 2.8% and 6.3% respectively but increased. |
Keywords: | Covid-19, urban-rural gap, income, poverty, rural households, Viet Nam |
JEL: | E24 I30 J21 O12 |
Date: | 2024–01–31 |
URL: | https://d.repec.org/n?u=RePEc:era:wpaper:dp-2023-23 |
By: | Sébastien Desbureaux (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Julia Girard (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Alicia Dalongeville (UMR MARBEC - MARine Biodiversity Exploitation and Conservation - MARBEC - IRD - Institut de Recherche pour le Développement - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - CNRS - Centre National de la Recherche Scientifique - UM - Université de Montpellier); Rodolphe Devillers (UMR 228 Espace-Dev, Espace pour le développement - IRD - Institut de Recherche pour le Développement - UPVD - Université de Perpignan Via Domitia - AU - Avignon Université - UR - Université de La Réunion - UNC - Université de la Nouvelle-Calédonie - UG - Université de Guyane - UA - Université des Antilles - UM - Université de Montpellier, IRD - Institut de Recherche pour le Développement); David Mouillot (UMR MARBEC - MARine Biodiversity Exploitation and Conservation - MARBEC - IRD - Institut de Recherche pour le Développement - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - CNRS - Centre National de la Recherche Scientifique - UM - Université de Montpellier, IUF - Institut universitaire de France - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche); Narriman Jiddawi (UDSM - Université de Dar es Salaam); Loic Sanchez (CEA-LETI - Commissariat à l'énergie atomique et aux énergies alternatives - Laboratoire d'Electronique et de Technologie de l'Information - DRT (CEA) - Direction de Recherche Technologique (CEA) - CEA - Commissariat à l'énergie atomique et aux énergies alternatives); Laure Velez (UMR MARBEC - MARine Biodiversity Exploitation and Conservation - MARBEC - IRD - Institut de Recherche pour le Développement - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - CNRS - Centre National de la Recherche Scientifique - UM - Université de Montpellier); Laetitia Mathon (ENTROPIE [Perpignan] - Ecologie marine tropicale des océans Pacifique et Indien - IRD - Institut de Recherche pour le Développement, CEFE - Centre d’Ecologie Fonctionnelle et Evolutive - UPVM - Université Paul-Valéry - Montpellier 3 - EPHE - École Pratique des Hautes Études - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique - IRD [France-Sud] - Institut de Recherche pour le Développement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Antoine Leblois (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier, CEE-M - Centre d'Economie de l'Environnement - Montpellier - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro - Montpellier SupAgro - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement, CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - INRA - Institut National de la Recherche Agronomique - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier) |
Abstract: | Marine Protected Areas (MPAs) are a cornerstone of marine conservation efforts, with the potential to protect biodiversity and provide socioeconomic benefits. We quantified the effect of MPAs on fishing outcomes, economic activities, and material living standards in 24 coastal villages of Tanzania over two decades. We accessed original data from a study conducted in 2003 that found no effect of MPAs 3–8 years after their creation. Eighteen years later, we replicated the survey and used a Before‐After Control‐Intervention design to quantify the effect of MPAs. We found that villages near MPAs experienced a 50% higher improvement in living standards compared to those further from MPAs. This benefit is not related to higher fishing outcomes but to a diversification of economic sectors. Our findings highlight a decoupling between fish catches and economic benefits, revealing that socio‐economic outcomes can be observed for MPAs whose ecosystems' productivity has declined. |
Keywords: | biodiversity, conservation social science, coral reefs socioecosystems, impact evaluation, Marine Protected Areas, Tanzania, Western Indian Ocean, biodiversity conservation social science coral reefs socioecosystems impact evaluation Marine Protected Areas Tanzania |
Date: | 2024–10–04 |
URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-04724396 |
By: | Mishra, Pallavi; Golaviya, Akash; Panchal, Ketankumar; Hinsu, Ankit; Yadav, Kavita; Fournié, Guillaume; Barnett, Tony; Koringa, Prakash; Paleja, Haidar Ul Iman; Dasgupta, Rajib |
Abstract: | Background: The poultry industry in India, estimated to be worth about one trillion INR, was severely affected by the COVID-19 pandemic. This study was conducted in Gujarat, India to unpack the processes through which COVID-19-related factors affected the poultry production and distribution network and explore the impacts on the relevant actors. Methods: An exploratory qualitative study was conducted among 34 poultry stakeholders using semi-structured interviews. The data were thematically analyzed by adopting an interpretative phenomenological approach. Results: Convincing evidence emerged that the lockdown and the pandemic significantly impacted the production, distribution, and consumption of poultry products. Movement restrictions during the first lockdown disrupted the supply of inputs and the distribution of poultry and poultry products. Between March and June 2020, rumors contributed to a substantial decrease in the consumption of poultry products. Consumption picked up following the reopening after the lockdown and the prices and availability of poultry products. The profits, however, failed to compensate for the losses that had been incurred. Conclusions: The experience and impacts of the first COVID-19 lockdown on the poultry industry unraveled several short- and medium-term challenges in the poultry sector in India that need to be addressed to make it more resilient to similar shocks. |
Keywords: | chicken meat; Covid-19; egg; lockdown; poultry; qualitative research; rumors; coronavirus |
JEL: | R14 J01 |
Date: | 2023–09–30 |
URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:125659 |
By: | Thapa, Manish; Jebin, Sharmin; Ababil, Saify |
Abstract: | Urban green infrastructure, such as parks and reforestation programs, is critical for building municipal resilience to environmental, social, and economic concerns. The Metro Forest Project in Bangkok shows this by converting an abandoned site into a thriving biological forest utilizing the Miyawaki technique. The PTT Reforestation and Ecology Institute began this initiative, which focuses on using native species to reproduce past landscapes, enhancing biodiversity and ecological resilience. Despite its success, the initiative faces obstacles such as climate change effects, air and water pollution, and obtaining long-term finance. The study's goal is to assess the project's resilience by comparing it to the National Garden of Athens, identifying strengths, flaws, and areas for improvement. The study used diverse research methodologies, including qualitative and quantitative approaches, to examine the resilience of the Metro Forest Project and the National Garden of Athens. Data were gathered from both secondary and primary sources, including literature studies, field trips, and key informant interviews. The data was examined using a contextualized city resilience paradigm that considered social, environmental, economic, and institutional components. This thorough approach gave a full picture of the resilience status of both urban green areas, allowing for a comparative analysis that yielded valuable insights. According to the study, the Metro Forest Project successfully boosted urban biodiversity and resilience through innovative design and community engagement. Due to the limitation of this study, the resilience for sitting in the perspective of a broad urban fabric could not be identified. Some ongoing obstacles have been identified including the need for consistent funding, active community participation, and intensive data gathering to monitor environmental changes. To improve the project's resilience, recommendations include creating a strong data collection system, increasing community participation, improving institutional backing, and performing frequent resilience evaluations. By tackling these issues and using its strengths, the Metro Forest Project can make a substantial contribution to Bangkok's overall resilience programs, supporting a sustainable and livable city environment. |
Keywords: | Urban Resilience, Green Infrastructure, Public Space, Eco-Friendly Space |
JEL: | I3 R0 Z0 Z00 |
Date: | 2024–07–17 |
URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:122419 |
By: | Mojtaba Houballah; Jean-Yves Courtonne; Henri Cuny; Antoine Colin; Mathieu Fortin; Jean-Baptiste Pichancourt; Francis Colin |
Abstract: | Context: Over the last decade, the forestry sector has undergone substantial changes, evolving from a post-2008 financial crisis landscape to incorporating policies favoring sustainable and green alternatives, especially after the 2015 Paris agreement. This evolution was drastically disrupted with the advent of the COVID-19 pandemic in 2020, causing unprecedented interruptions in supply chains, product markets, and data collection. Grasping the aftermath of the COVID-19, regional instances of the forest supply chain sector need synthetic pictures of their present state and future opportunities for emerging wood products and better regional-scale carbon balance. But given the impact of COVID-19 lock-down on data collection, the production of such synthetic pictures has become more complex, yet essential. This was the case for the regional supply chain of the Grand-Est region in France that we studied. Aims: For this study, our aim was to demonstrate that an integrated methodology could provide such synthetic picture even though we sued heterogenous sources of data and different analytical objectives: i.e. (1) retrospectively evaluate the aftermath of COVID-19 pandemic on the supply chain outcomes within the forestry sector; and then (2) retrospectively explore possible options of structural change of regional supply chain that would be required to simultaneously recover from COVID-19 and transit to new objectives in line with the extraction of new bio-molecules from wood biomass, and with the reduction of the regional scale carbon footprint (in line with the IPCC Paris Agreement) Methods: To achieve this, our methodological approach was decomposed into three steps. We first used a Material Flow Analysis (MFA) recently conducted on the forestry sector in the Grand Est region to establish a Sankey diagram (i.e. a schematic representation of industrial sectors and biomass flows along the supply chain) for the pre-Covid-19 period (2014-2018). Then we compared pre-Covid-19 Sankey diagram to the only source of data we could access from the post-Covid-19 period (2020-2021) in order to estimate the impact of Covid-19. Finally, we used as input the reconciled supply chain model into a consequential Wood Product Model (WPMs), called CAT (carbon accounting tool) in order to compare three prospective scenarios: (1) a scenario that projected 2020-2021 Covid-19 conditions and assumed pre-Covid-19 business as usual practices, (2) a scenario illustrating the consequence or rerouting some of the biomass to satisfy the expected increase in pulp and paper production to satisfy the needs of the industry after Covid-19, and (3) a scenario that explored new opportunities in term of extraction of novel bio-molecules by the emerging biochemical wood industry. For every scenario we also evaluated the regional carbon gains and losses that these changes implied. Results: Our study conducted a detailed analysis of the impacts of the COVID-19 pandemic on the forestry sector's supply chain in the Grand Est region, using a dynamic and integrated Wood Product Model. We found significant disruptions during the pandemic period, with notable declines in industrial wood chips and timber hardwood production by 41.8% and 40%, respectively. Conversely, there were substantial increases in fuelwood, timber sawdust, and timber softwood, rising by 14.15%, 44.23%, and 15.29% respectively. These fluctuations underscore the resilience and vulnerabilities within the regional wood supply chain. Our findings also emphasize the potential for strategic rerouting of biomass flows to meet changing industry demands, which could play a crucial role in supporting the sector's recovery and adaptation to post-pandemic conditions. Discussion and conclusion: In addition, our study recognizes the limitations of the current approach combining MFA and WPM and suggests potential areas of enhancement. Ultimately, our findings shed light on the need to develop more integrated analytical methods to provide useful synthetic pictures of regional scale supply chains, when there is a need to adapt it to evolving situations and complex data landscapes. |
Date: | 2024–09 |
URL: | https://d.repec.org/n?u=RePEc:arx:papers:2410.07195 |
By: | Sandrine Michel (UMR ART-Dev - Acteurs, Ressources et Territoires dans le Développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - UPVM - Université Paul-Valéry - Montpellier 3 - UPVD - Université de Perpignan Via Domitia - CNRS - Centre National de la Recherche Scientifique - UM - Université de Montpellier); Lauren Caquant; François Benhmad (MRE - Montpellier Recherche en Economie - UM - Université de Montpellier) |
Abstract: | The anthropogenic nature of GHG emissions is now accepted. Standards, taxes and markets: economists put forward a variety of instruments to fight against climate warming. In 1997, the Kyoto Protocol institutionalized market instruments to tackle climate change. A market for emissions permits would offer several advantages. It would provide a price signal to economic agents, which would be the best way to ensure effective decentralized decision-making for the energy transition. In a quantitatively constrained system of quotas, it would also enable pollution control efforts to be shared out, minimizing the collective costs of reducing emissions (Crocker 1966, Dales 1968, Montgomerry 1972). In 2005, the European Commission created the first binding carbon market (De Perthuis 2008). The European Emission Trading System (EU-ETS) is a market for tradable emissions permits that sets national caps on CO2 emissions (Gollier & Tirole, 2015), divided between different installations. For each, carbon quota holders must arbitrate between investing in clean production modes, buying quotas on the EU ETS to ensure compliance, or holding them for a later period. From the outset, the power generation sector received the majority of allocations (Cartel et al. 2017). This production emits a significant amount of CO2, which varies according to the quantity produced and the fuel used. We also note that electricity prices now include European capacities, which are part of the interconnected grid. In this context, European prices are still largely dependent on the price of fossil fuels, which play a major role in national power mixes, but also on the price of carbon. French electricity prices are linked to the European electricity market, and therefore to the electricity mixes of the other countries in the zone. This is why, despite a highly decarbonized energy mix, the question of its potential sensitivity to the EU ETS price signal is open. With European interconnection, the price of allowances on the EU-ETS market could be reflected in the price of French electricity, and in its expectations on futures markets. If this were the case, then the highly institutional nature of the electricity and carbon markets would have enabled price formation, capable of supporting the decarbonization of European electricity mixes, wherever the electrons are consumed. |
Keywords: | Energy and Environment, Energy Demand, Energy Supply, Prices, EU ETS |
Date: | 2024–06–25 |
URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-04723704 |
By: | Kirsten, Frederich; Bonga-Bonga, Lumengo; Biyase, Mduduzi |
Abstract: | The relationship between environmental degradation and poverty has gained importance in the context of the Sustainable Development Goals. While poverty is known to drive environmental degradation, environmental degradation disproportionately affects the poor and reinforces the poverty-environment trap. However, some argue that the poor often display pro-environmental behaviors, environmental stewardship and pro-environmental attitudes that challenge this notion. Understanding how poverty influences individual environmental attitudes is crucial for breaking this cycle. In this study, we examine the non-linear relationship between poverty and environmental concern in Southern African Development Community (SADC) countries, hypothesizing an inverted U-shaped Poverty Environmental Concern Kuznets Curve (PECKC). Utilizing data from the Afrobarometer Round 7 and employing fixed effect polynomial regression model, we confirm that the poverty-environmental concern relationship conforms to an inverted U-shaped PECKC. Specifically, environmental concern is high at low levels of poverty but reaches a poverty threshold beyond which further impoverishment leads to reduced environmental concern. These findings offer policymakers critical insight for designing environmental policies tailored to varying levels of poverty and provide new insight into the poverty reduction and environment degradation discussion. |
Keywords: | Poverty, Kuznets Curve, Pro-environmental attitudes, SADC, Africa |
JEL: | C5 D6 Q5 |
Date: | 2024 |
URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:122428 |
By: | Kola Akinsomi; Oguntona Olusegun; Andersson Magnus; Lundin Andrea |
Abstract: | Several works have investigated sustainable communities globally. Turner-Skoff and Nicole Cavender (2019) examine the role of trees and their role for people and the planet. Their study shows that trees are essential for healthy communities and people, and they benefit and can help cities meet 15 of the 17 United Nations sustainable development goals. Schweizer-Ries (2008) examines the role of energy sustainability and the environmental and psychological aspects of the change in energy supply and demand. The paper examines energy-sustainable communities and examines a case study as an example of a community in Germany. Duxbury and Jeannotte (2011) discuss the role of culture and sustainable communities and its benefits to people who live in these communities.Therefore, this literature review attempts to fill the gap in the literature on sustainable communities, which are still quite unpopular globally, by examining the best practices in sustainable communities by examining past literature, exploring and having a clearer understanding of how it impacts real estate value. |
Keywords: | Global climate; real estate; Sustainable communities; Valuation |
JEL: | R3 |
Date: | 2024–01–01 |
URL: | https://d.repec.org/n?u=RePEc:arz:wpaper:eres2024-223 |
By: | Masagus M. Ridhwan (Bank Indonesia); Dionisius A. Narjoko (Economic Research Institute for ASEAN and East Asia (ERIA)); Krisna Gupta (Politeknik APP Jakarta) |
Abstract: | This study uses Indonesia as a case study to address this issue of product market competition and price determination in the food and beverage industry. It utilizes the plant-level data of the food and beverage industry over the period 2017-2021 and estimates the markup using the recent method notably De Loecker-Warzynksi (2012). The study found a declining and stable pattern of industrial concentration over a long-term period from 2000 to 2021, which indicates a more or less moderate competition between firms in product markets of the industry in general. The econometric exercise found a positive relationship between industrial (or market) concentration and either price cost margin or markup, suggesting the potential influence of market power on the extent of profitability in the industry. This study however found no evidence of the relationship between the two variables and price. The findings of this study suggest that policy towards the food and beverage industry should focus on monitoring the extent and dynamics of product market competition as it found some degree of the exercise of market power. |
Keywords: | Product market competition, industrial concentration, mark-up, price, food and beverage industry |
JEL: | A11 B11 C11 D11 F11 |
Date: | 2023 |
URL: | https://d.repec.org/n?u=RePEc:idn:wpaper:wp032023 |