Assessing the Effects of Seasonal Tariff‐rate Quotas on Vegetable Prices in Switzerland

Loginova, Daria; Portmann, Marco; Huber, Martin

doi:10.1111/1477-9552.12424

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Journal article

Assessing the Effects of Seasonal Tariff‐rate Quotas on Vegetable Prices in Switzerland

BP2-STS

Loginova, Daria Swiss Federal Department of Economic Affairs, Ettenhausen, Switzerland
Portmann, Marco Center for Research in Economics, Management and the Arts, Zurich, Switzerland
Huber, Martin ORCID University of Fribourg, Switzerland

2021

Published in:

Journal of Agricultural Economics. - Wiley. - 2021, vol. 72, no. 2, p. 607-627

English Causal estimation of the short-term effects o tariff-rate quotas (TRQs) on vegetable producer prices is hampered by the large variety and different growing seasons o vegetables and is therefore rarely performed. We quantify the effects of Swiss seasonal TRQs on domestic producer prices of a variety of vegetables based on a difference-in-differences estimation using a novel dataset of weekly producer prices for Switzerland and neighbouring countries. We find that TRQs increase prices of most vegetables by more than 20% above the prices in neighbouring countries during the main harvest time for most vegetables and even more than 50% for some vegetables. The effects are stronger for more perishable vegetables and for conventionally produced ones compared with organic vegetables. However, we do not find clear-cut effects of TRQs on the week-to-week price volatility of vegetables although the overall lower price volatility in Switzerland compared with neighbouring countries might be a result o the TRQ system in place.

Faculty

Faculté des sciences économiques et sociales et du management

Department

Département d'économie politique

Language