This is an outgrowth of part of a study commissioned by the Commonwealth Secretariat and Trade.com. The opinions expressed are solely of the authors and do not necessarily represent those of these institutions or the institutions the authors are affiliated to. The study has not used any of the confidential information provided by the individuals and institutions involved in the original study. We are grateful to the editor David Greenaway, Edwin Laurent, Mohammad Razzaque, David Roberts, Steven Tornhill and Geo Govinden for helpful comments.
Article first published online: 11 MAR 2013
© 2013 John Wiley & Sons Ltd
The World Economy
Volume 36, Issue 6, pages 786–806, June 2013
How to Cite
Calì, M., Nolte, S. and Cantore, N. (2013), Sweet and Sour Changes in Trade Regimes. World Economy, 36: 786–806. doi: 10.1111/twec.12007
- Issue published online: 19 JUN 2013
- Article first published online: 11 MAR 2013
Sugar is an important export for a number of developing countries, especially in the African, Caribbean and Pacific regions. In many of these countries, preferential access to the EU market has been a key factor to develop their sugar sectors. The recent and proposed changes to the international sugar trade regimes, particularly in the EU, are threatening this preferential access. We study the possible implications of such changes on ACP countries’ sugar production and exports by using a spatial price equilibrium model specifically developed for the sugar market. The results suggest that the effects of these changes are likely to vary according to the prevailing level of world sugar market price and according to whether ACP countries are current exporters to the EU.