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

This research has been undertaken to understand the rationale for the implementation of decreasing export taxes along the value chain in middle-income countries, in particular in the oilseeds value chain. This paper studies the implementation of Differential Export Tax (DET) rates along value chains...

Descripción completa

Detalles Bibliográficos
Autores principales: Bouët, Antoine, Estrades, Carmen, Laborde Debucquet, David
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2012
Materias:
Acceso en línea:https://hdl.handle.net/10568/154134
_version_ 1855530237637427200
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 This research has been undertaken to understand the rationale for the implementation of decreasing export taxes along the value chain in middle-income countries, in particular in the oilseeds value chain. This paper studies the implementation of Differential Export Tax (DET) rates along value chains, in particular in the oilseeds chain (seeds/vegetable oils/biodiesel); this trade policy consists of relatively high export taxes on raw commodities and relatively low taxes on processed goods. This policy may generate public revenues and benefit final consumption by lowering domestic prices of vegetable oils and biodiesel and also promotes production at more processed stages of transformation, particularly in response to tariff escalation by importing partners. The authors first study the theoretical justification of this trade policy with a simple international trade model. It shows how implementing a tax on exports of raw agricultural commodity in a country exporting seeds and vegetable oils augments the sum of profits and final consumers’ surplus in the processing sector, of farmers’ surplus, and of public revenues. Then the authors develop a world partial equilibrium model of the oilseed value chain that illustrates these theoretical conclusions. They simulate (1) the elimination of DETs in Argentina, Indonesia, and Ukraine; (2) the elimination of import tariffs applied by the European Union (EU) and the United States on the same goods; and (3) the elimination of DETs in Argentina, Indonesia, and Ukraine and of import tariffs applied by the EU and the United States. According to the authors’ estimates, both consumers and producers throughout the world benefit from the removal of export taxes in these value chains: US$931 million and US$2.2 billion, respectively. The third scenario leads to a significant expansion of world production of all activities along the value chain, including the production of biodiesel for which world output would expand by 1 percent.
format Artículo preliminar
id CGSpace154134
institution CGIAR Consortium
language Inglés
publishDate 2012
publishDateRange 2012
publishDateSort 2012
publisher International Food Policy Research Institute
publisherStr International Food Policy Research Institute
record_format dspace
spelling CGSpace1541342025-11-06T06:43:46Z Differential export taxes along the oilseeds value chain: A partial equilibrium analysis Bouët, Antoine Estrades, Carmen Laborde Debucquet, David trade barriers models tariffs international trade biofuels oilseeds value chains This research has been undertaken to understand the rationale for the implementation of decreasing export taxes along the value chain in middle-income countries, in particular in the oilseeds value chain. This paper studies the implementation of Differential Export Tax (DET) rates along value chains, in particular in the oilseeds chain (seeds/vegetable oils/biodiesel); this trade policy consists of relatively high export taxes on raw commodities and relatively low taxes on processed goods. This policy may generate public revenues and benefit final consumption by lowering domestic prices of vegetable oils and biodiesel and also promotes production at more processed stages of transformation, particularly in response to tariff escalation by importing partners. The authors first study the theoretical justification of this trade policy with a simple international trade model. It shows how implementing a tax on exports of raw agricultural commodity in a country exporting seeds and vegetable oils augments the sum of profits and final consumers’ surplus in the processing sector, of farmers’ surplus, and of public revenues. Then the authors develop a world partial equilibrium model of the oilseed value chain that illustrates these theoretical conclusions. They simulate (1) the elimination of DETs in Argentina, Indonesia, and Ukraine; (2) the elimination of import tariffs applied by the European Union (EU) and the United States on the same goods; and (3) the elimination of DETs in Argentina, Indonesia, and Ukraine and of import tariffs applied by the EU and the United States. According to the authors’ estimates, both consumers and producers throughout the world benefit from the removal of export taxes in these value chains: US$931 million and US$2.2 billion, respectively. The third scenario leads to a significant expansion of world production of all activities along the value chain, including the production of biodiesel for which world output would expand by 1 percent. 2012 2024-10-01T13:59:42Z 2024-10-01T13:59:42Z Working Paper https://hdl.handle.net/10568/154134 en Open Access application/pdf International Food Policy Research Institute Bouët, Antoine; Estrades, Carmen; Laborde Debucquet, David. 2012. Differential export taxes along the oilseeds value chain: A partial equilibrium analysis. IFPRI Discussion Paper 1236. Washington, DC: International Food Policy Research Institute (IFPRI). https://hdl.handle.net/10568/154134
spellingShingle trade barriers
models
tariffs
international trade
biofuels
oilseeds
value chains
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 trade barriers
models
tariffs
international trade
biofuels
oilseeds
value chains
url https://hdl.handle.net/10568/154134
work_keys_str_mv AT bouetantoine differentialexporttaxesalongtheoilseedsvaluechainapartialequilibriumanalysis
AT estradescarmen differentialexporttaxesalongtheoilseedsvaluechainapartialequilibriumanalysis
AT labordedebucquetdavid differentialexporttaxesalongtheoilseedsvaluechainapartialequilibriumanalysis