Differential export taxes along the oilseeds value chain: A partial equilibrium analysis

Differential Export Tax (DET) rates, or the policy of imposing high export taxes on raw commodities and low export taxes on processed goods, generate public revenues and promote production at the more processed stages of a value chain. We study the theoretical justification of this trade policy by d...

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Autores principales: Bouët, Antoine, Estrades, Carmen, Laborde Debucquet, David
Formato: Journal Article
Lenguaje:Inglés
Publicado: Wiley 2014
Materias:
Acceso en línea:https://hdl.handle.net/10568/151334
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author Bouët, Antoine
Estrades, Carmen
Laborde Debucquet, David
author_browse Bouët, Antoine
Estrades, Carmen
Laborde Debucquet, David
author_facet Bouët, Antoine
Estrades, Carmen
Laborde Debucquet, David
author_sort Bouët, Antoine
collection Repository of Agricultural Research Outputs (CGSpace)
description Differential Export Tax (DET) rates, or the policy of imposing high export taxes on raw commodities and low export taxes on processed goods, generate public revenues and promote production at the more processed stages of a value chain. We study the theoretical justification of this trade policy by designing a simple international trade model which shows that a tax on exports of a raw agricultural commodity in a country that exports seeds and vegetable oils increases the sum of final consumers' surplus, processing sector profits, farmers' surplus, and public revenues. We then develop a partial equilibrium model of the world's oilseed value chain and simulate the total elimination of DETs in Argentina and Indonesia, as well as the independent removal of export taxes at various stages of production in the same countries. Estimations show that removing export taxes along the entire value chain in Argentina and Indonesia reduces the local production of biofuels by only 0.4% in Argentina, while eliminating only the export tax on biofuels in Argentina leads to a 9.6% volume increase in Argentinean biofuels production.
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spelling CGSpace1513342025-02-24T06:47:03Z Differential export taxes along the oilseeds value chain: A partial equilibrium analysis Bouët, Antoine Estrades, Carmen Laborde Debucquet, David supply chains oilseeds equilibrium theory export credits tariffs Differential Export Tax (DET) rates, or the policy of imposing high export taxes on raw commodities and low export taxes on processed goods, generate public revenues and promote production at the more processed stages of a value chain. We study the theoretical justification of this trade policy by designing a simple international trade model which shows that a tax on exports of a raw agricultural commodity in a country that exports seeds and vegetable oils increases the sum of final consumers' surplus, processing sector profits, farmers' surplus, and public revenues. We then develop a partial equilibrium model of the world's oilseed value chain and simulate the total elimination of DETs in Argentina and Indonesia, as well as the independent removal of export taxes at various stages of production in the same countries. Estimations show that removing export taxes along the entire value chain in Argentina and Indonesia reduces the local production of biofuels by only 0.4% in Argentina, while eliminating only the export tax on biofuels in Argentina leads to a 9.6% volume increase in Argentinean biofuels production. 2014 2024-08-01T02:56:43Z 2024-08-01T02:56:43Z Journal Article https://hdl.handle.net/10568/151334 en https://hdl.handle.net/10568/154134 Limited Access Wiley Bouët, Antoine; Estrades, Carmen; and Laborde Debucquet, David. 2014. Differential export taxes along the oilseeds value chain: A partial equilibrium analysis. American Journal of Agricultural Economics 96(3): 924-938. https://doi.org/10.1093/ajae/aau011
spellingShingle supply chains
oilseeds
equilibrium theory
export credits
tariffs
Bouët, Antoine
Estrades, Carmen
Laborde Debucquet, David
Differential export taxes along the oilseeds value chain: A partial equilibrium analysis
title Differential export taxes along the oilseeds value chain: A partial equilibrium analysis
title_full Differential export taxes along the oilseeds value chain: A partial equilibrium analysis
title_fullStr Differential export taxes along the oilseeds value chain: A partial equilibrium analysis
title_full_unstemmed Differential export taxes along the oilseeds value chain: A partial equilibrium analysis
title_short Differential export taxes along the oilseeds value chain: A partial equilibrium analysis
title_sort differential export taxes along the oilseeds value chain a partial equilibrium analysis
topic supply chains
oilseeds
equilibrium theory
export credits
tariffs
url https://hdl.handle.net/10568/151334
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AT labordedebucquetdavid differentialexporttaxesalongtheoilseedsvaluechainapartialequilibriumanalysis