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A Euro-Mediterranean deal in agro-food and fisheries trade: Long run impacts in Greece

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  • Kitou, Elisavet
  • Philippidis, George

Abstract

We employ a heavily modified ‘agricultural’ variant of the GTAP model and a realistic baseline scenario to assess the impact on the Greek economy from a hypothetical ‘hub and spoke’ and a ‘FTA’ EUMED agro-food and fisheries trade agreement. Long run estimates show that Greek agro-food and fisheries sectors are not seriously affected, where surprisingly, trade diversionary losses to Greece from the FTA scenario are minor given minimal south-south trade links between Mediterranean Partner Countries (MPC). Further research shows that under complete CAP decoupling, notable additional welfare gains for MPC are realised, whilst Greece stands to lose approximately €300 million.

Suggested Citation

  • Kitou, Elisavet & Philippidis, George, 2010. "A Euro-Mediterranean deal in agro-food and fisheries trade: Long run impacts in Greece," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 11(01), pages 1-12, January.
    • Handle: RePEc:ags:aergaa:118572
    DOI: 10.22004/ag.econ.118572
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    References listed on IDEAS

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    1. Keeney, Roman & Thomas Hertel, 2005. "GTAP-AGR : A Framework for Assessing the Implications of Multilateral Changes in Agricultural Policies," GTAP Technical Papers 1869, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
    2. Francois, Joseph F. & McQueen, Matthew & Wignaraja, Ganeshan, 2005. "European Union-developing country FTAs: overview and analysis," World Development, Elsevier, vol. 33(10), pages 1545-1565, October.
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