Bilateral trade welfare impacts of India’s export ban of non-basmati rice using the global partial equilibrium simulation model (GSIM)

India, the world’s leading rice exporter, banned the export of non-Basmati white rice, accounting for 25% of its total exports (or 10% of the global rice trade). The ban aims to ensure availability to domestic Indian consumers and reduce domestic market prices, impacting global rice market accessibi...

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Main Authors: Fathelrahman, Eihab, Osman, Raeda, Hoag, Dana Loyd Keske, Sixt, Gregory N., Strzepek, Kenneth M.
Format: Journal Article
Language:Inglés
Published: MDPI 2024
Subjects:
Online Access:https://hdl.handle.net/10568/158196
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author Fathelrahman, Eihab
Osman, Raeda
Hoag, Dana Loyd Keske
Sixt, Gregory N.
Strzepek, Kenneth M.
author_browse Fathelrahman, Eihab
Hoag, Dana Loyd Keske
Osman, Raeda
Sixt, Gregory N.
Strzepek, Kenneth M.
author_facet Fathelrahman, Eihab
Osman, Raeda
Hoag, Dana Loyd Keske
Sixt, Gregory N.
Strzepek, Kenneth M.
author_sort Fathelrahman, Eihab
collection Repository of Agricultural Research Outputs (CGSpace)
description India, the world’s leading rice exporter, banned the export of non-Basmati white rice, accounting for 25% of its total exports (or 10% of the global rice trade). The ban aims to ensure availability to domestic Indian consumers and reduce domestic market prices, impacting global rice market accessibility, consumers, and producers across twelve regions. The study utilized the global simulation model (GSIM) to analyze the effects of trade restrictions on industries. The model uses national product differentiation to assess trade policy changes at global, regional, or national scales. It examined importer and exporter effects on trade values, tariff revenues, exporter surplus, and importer surplus. It found that India’s Voluntary Export Restraint (VER) ban on non-Basmati rice resulted in a higher local price and a negative global net welfare impact of USD 1.7 billion. The losses decreased to USD 1.4 billion when importing countries responded by reducing rice import tariffs by 25% and USD 1.1 billion when importing countries reduced tariffs by 75%. Sub-Saharan Africa, the Middle East, North Africa, and the Gulf Cooperation Council regions were most affected. The study also found minimal impact on consumer surplus in India due to inelastic rice demand.
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spelling CGSpace1581962025-12-08T10:29:22Z Bilateral trade welfare impacts of India’s export ban of non-basmati rice using the global partial equilibrium simulation model (GSIM) Fathelrahman, Eihab Osman, Raeda Hoag, Dana Loyd Keske Sixt, Gregory N. Strzepek, Kenneth M. trade agricultural trade trade barriers rice models India, the world’s leading rice exporter, banned the export of non-Basmati white rice, accounting for 25% of its total exports (or 10% of the global rice trade). The ban aims to ensure availability to domestic Indian consumers and reduce domestic market prices, impacting global rice market accessibility, consumers, and producers across twelve regions. The study utilized the global simulation model (GSIM) to analyze the effects of trade restrictions on industries. The model uses national product differentiation to assess trade policy changes at global, regional, or national scales. It examined importer and exporter effects on trade values, tariff revenues, exporter surplus, and importer surplus. It found that India’s Voluntary Export Restraint (VER) ban on non-Basmati rice resulted in a higher local price and a negative global net welfare impact of USD 1.7 billion. The losses decreased to USD 1.4 billion when importing countries responded by reducing rice import tariffs by 25% and USD 1.1 billion when importing countries reduced tariffs by 75%. Sub-Saharan Africa, the Middle East, North Africa, and the Gulf Cooperation Council regions were most affected. The study also found minimal impact on consumer surplus in India due to inelastic rice demand. 2024-09-30 2024-10-28T14:28:26Z 2024-10-28T14:28:26Z Journal Article https://hdl.handle.net/10568/158196 en Open Access MDPI Fathelrahman, Eihab; Osman, Raeda; Hoag, Dana Loyd Keske; Sixt, Gregory N.; and Strzepek, Kenneth M. 2024. Bilateral trade welfare impacts of India’s export ban of non-basmati rice using the global partial equilibrium simulation model (GSIM). Foods 13(19): 3124. https://doi.org/10.3390/foods13193124
spellingShingle trade
agricultural trade
trade barriers
rice
models
Fathelrahman, Eihab
Osman, Raeda
Hoag, Dana Loyd Keske
Sixt, Gregory N.
Strzepek, Kenneth M.
Bilateral trade welfare impacts of India’s export ban of non-basmati rice using the global partial equilibrium simulation model (GSIM)
title Bilateral trade welfare impacts of India’s export ban of non-basmati rice using the global partial equilibrium simulation model (GSIM)
title_full Bilateral trade welfare impacts of India’s export ban of non-basmati rice using the global partial equilibrium simulation model (GSIM)
title_fullStr Bilateral trade welfare impacts of India’s export ban of non-basmati rice using the global partial equilibrium simulation model (GSIM)
title_full_unstemmed Bilateral trade welfare impacts of India’s export ban of non-basmati rice using the global partial equilibrium simulation model (GSIM)
title_short Bilateral trade welfare impacts of India’s export ban of non-basmati rice using the global partial equilibrium simulation model (GSIM)
title_sort bilateral trade welfare impacts of india s export ban of non basmati rice using the global partial equilibrium simulation model gsim
topic trade
agricultural trade
trade barriers
rice
models
url https://hdl.handle.net/10568/158196
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