Coping with the Fallout for Preference-Receiving Countries from EU Sugar Reform

34 Pages Posted: 7 Aug 2006

See all articles by Hannah Chaplin

Hannah Chaplin

Trinity College (Dublin) - Institute for International Integration Studies (IIIS)

Alan Matthews

Trinity College (Dublin) - Department of Economics

Date Written: November 2005

Abstract

Developing countries can produce sugar at much lower cost than in the EU, yet reform of the EU sugar policy will result in both winners and losers among them. This is because the EU is both an exporter and importer of sugar. Sugar policy reform will mean a reduction in EU sugar production, benefiting competitive sugar exporters such as Brazil. But sugar policy reform will adversely affect those developing countries which currently benefit from preferential import access to the EU's high-priced sugar market, while diminishing the benefits of those least developed countries to which duty-free and quota-free access has been promised after July 2009. This paper concentrates on the latter group of preference-receiving countries. It identifies the countries concerned and the extent of their potential losses. It critiques alternative proposals which have been put forward to assist these countries to adjust to the adverse effects of EU sugar policy reform. The paper concludes by proposing a modified package of measures to offset the negative effects of EU sugar policy reform on preference-receiving countries.

Keywords: EU sugar policy, preference erosion, compensation

JEL Classification: F10, Q18

Suggested Citation

Chaplin, Hannah and Matthews, Alan, Coping with the Fallout for Preference-Receiving Countries from EU Sugar Reform (November 2005). IIIS Discussion Paper No. 100, Available at SSRN: https://ssrn.com/abstract=922252 or http://dx.doi.org/10.2139/ssrn.922252

Hannah Chaplin (Contact Author)

Trinity College (Dublin) - Institute for International Integration Studies (IIIS) ( email )

The Sutherland Centre, Level 6, Arts Building
Trinity College
Dublin 2
Ireland

Alan Matthews

Trinity College (Dublin) - Department of Economics ( email )

Dublin 2
Ireland
+00353 1 896 1069 (Phone)
+00353 1 677 2503 (Fax)

HOME PAGE: http://www.tcd.ie/Economics/staff/amtthews/index.htm

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
238
Abstract Views
2,218
rank
139,693
PlumX Metrics