Abstract
International pork trade has been affected by two conflicting effects in recent years: lower trade barriers because of free trade agreements and trade disruptions caused by disease outbreaks. This study investigates how global pork trade is affected by foot-andmouth disease among major exporting/importing countries. The 41 countries included in this analysis account for 99% of world pork exports and 92% of world pork imports. A Pseudo Poisson Maximum Likelihood (PPML) estimator with a series of controlled fixed effects in the gravity equation was utilized. Results were statistically confirmed that pork exports fall when an exporting country reports foot-and-mouth disease. Exporters with a vaccination policy suffer larger negative impacts than those with a slaughter policy. Pork importers that report FMD and institute a slaughter policy will import more pork, but importers with a vaccination policy will import less pork.
Original language | English |
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Title of host publication | Emerging Issues in Global International Agricultural Trade and Development |
Pages | 55-73 |
Number of pages | 19 |
ISBN (Electronic) | 9781634855860 |
State | Published - Jan 1 2016 |
Bibliographical note
Publisher Copyright:© 2016 by Nova Science Publishers, Inc. All rights reserved.
Keywords
- Foot-and-mouth disease
- Gravity model
- Pork exports
- Regional trade agreement
- Zero-valued trade
ASJC Scopus subject areas
- General Economics, Econometrics and Finance
- General Business, Management and Accounting