Title

China's Accession to the World Trade Organization: What Is at Stake for Agricultural Markets?

Campus Units

Center for Agricultural and Rural Development, Economics

Document Type

Article

Publication Version

Submitted Manuscript

Publication Date

2003

Journal or Book Title

Applied Economic Perspectives and Policy

Volume

25

Issue

2

First Page or Article ID Number

399

Last Page

414

DOI

10.1111/1467-9353.00146

Abstract

We analyze the impact of China's accession to the World Trade Organization on major crop and livestock markets using the Food and Agricultural Policy Research Institute (FAPRI) modeling framework. We incorporate expected changes in consumer income, textile production, and trade policies as exogenous shocks to the baseline model. Following accession, revenues decline in China's livestock, grain, and oilseed industries, while cotton production prospers despite increased imports. Chinese consumers benefit from lower food prices, with vegetable oil, dairy, and meat consumption increasing significantly. Argentina, Brazil, Canada, the European Union, and the United States are the greatest beneficiaries from expanded agricultural trade with China.

JEL Classification

F14, Q13, Q17, Q19, P32

Comments

This is a working paper of an article from Applied Economic Perspectives and Policy 25 (2003): 399, doi:10.1111/1467-9353.00146.