Optimal tariffs with smuggling: A spatial analysis of Nigerian rice policy options
Utilizing a spatial multi-market model for rice in Nigeria that explicitly takes into account the potential for smuggling, in this paper we analyze the welfare implications of alternative rice tariff rates given the government’s goals of spurring domestic production and reducing imports. Because smu...
| Main Authors: | , |
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| Format: | Artículo preliminar |
| Language: | Inglés |
| Published: |
International Food Policy Research Institute
2015
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| Subjects: | |
| Online Access: | https://hdl.handle.net/10568/149936 |
| _version_ | 1855525445531860992 |
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| author | Johnson, Michael E. Dorosh, Paul A. |
| author_browse | Dorosh, Paul A. Johnson, Michael E. |
| author_facet | Johnson, Michael E. Dorosh, Paul A. |
| author_sort | Johnson, Michael E. |
| collection | Repository of Agricultural Research Outputs (CGSpace) |
| description | Utilizing a spatial multi-market model for rice in Nigeria that explicitly takes into account the potential for smuggling, in this paper we analyze the welfare implications of alternative rice tariff rates given the government’s goals of spurring domestic production and reducing imports. Because smuggling occurs through the diversion of imports from Lagos, the official port of entry in the south, to the north, our modeling framework also captures the spatial effects of higher tariffs on changes in rural and urban prices, production and consumption, the flow of trade in rice, and welfare across different parts of the country. Results show that tariff rates that exceed about 40 percent introduce some smuggling of rice through the north when smuggling becomes more profitable than importing through official channels in the south. It is also at this tipping point that government tariff revenues are maximized. At higher tariff rates with smuggling, the south experiences greater welfare losses, especially in urban areas. |
| format | Artículo preliminar |
| id | CGSpace149936 |
| institution | CGIAR Consortium |
| language | Inglés |
| publishDate | 2015 |
| publishDateRange | 2015 |
| publishDateSort | 2015 |
| publisher | International Food Policy Research Institute |
| publisherStr | International Food Policy Research Institute |
| record_format | dspace |
| spelling | CGSpace1499362025-11-06T06:14:17Z Optimal tariffs with smuggling: A spatial analysis of Nigerian rice policy options Johnson, Michael E. Dorosh, Paul A. models smuggling rice trade barriers trade tariffs Utilizing a spatial multi-market model for rice in Nigeria that explicitly takes into account the potential for smuggling, in this paper we analyze the welfare implications of alternative rice tariff rates given the government’s goals of spurring domestic production and reducing imports. Because smuggling occurs through the diversion of imports from Lagos, the official port of entry in the south, to the north, our modeling framework also captures the spatial effects of higher tariffs on changes in rural and urban prices, production and consumption, the flow of trade in rice, and welfare across different parts of the country. Results show that tariff rates that exceed about 40 percent introduce some smuggling of rice through the north when smuggling becomes more profitable than importing through official channels in the south. It is also at this tipping point that government tariff revenues are maximized. At higher tariff rates with smuggling, the south experiences greater welfare losses, especially in urban areas. 2015-12-25 2024-08-01T02:50:17Z 2024-08-01T02:50:17Z Working Paper https://hdl.handle.net/10568/149936 en https://hdl.handle.net/10568/149649 https://hdl.handle.net/10568/151474 https://hdl.handle.net/10568/149935 Open Access application/pdf International Food Policy Research Institute Johnson, Michael E. and Dorosh, Paul A. 2015. Optimal tariffs with smuggling: A spatial analysis of Nigerian rice policy options. IFPRI Discussion Paper 1493. Washington, DC: International Food Policy Research Institute. https://hdl.handle.net/10568/149936 |
| spellingShingle | models smuggling rice trade barriers trade tariffs Johnson, Michael E. Dorosh, Paul A. Optimal tariffs with smuggling: A spatial analysis of Nigerian rice policy options |
| title | Optimal tariffs with smuggling: A spatial analysis of Nigerian rice policy options |
| title_full | Optimal tariffs with smuggling: A spatial analysis of Nigerian rice policy options |
| title_fullStr | Optimal tariffs with smuggling: A spatial analysis of Nigerian rice policy options |
| title_full_unstemmed | Optimal tariffs with smuggling: A spatial analysis of Nigerian rice policy options |
| title_short | Optimal tariffs with smuggling: A spatial analysis of Nigerian rice policy options |
| title_sort | optimal tariffs with smuggling a spatial analysis of nigerian rice policy options |
| topic | models smuggling rice trade barriers trade tariffs |
| url | https://hdl.handle.net/10568/149936 |
| work_keys_str_mv | AT johnsonmichaele optimaltariffswithsmugglingaspatialanalysisofnigerianricepolicyoptions AT doroshpaula optimaltariffswithsmugglingaspatialanalysisofnigerianricepolicyoptions |