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Impact of EU Biofuel Policies on World Agricultural and Food Markets

Author

Listed:
  • Banse, Martin
  • van Meijl, Hans
  • Tabeau, Andrzej A.
  • Woltjer, Geert B.

Abstract

This paper assesses the global and sectoral implications of the EU biofuels directive in a multi-region computable general equilibrium framework. Our results show that without mandatory blending or subsidies to stimulate the use of biofuel crops in the petroleum sector the targets of the EU Biofuel directive will not the reached in 2010. With mandatory blending the enhanced demand for biofuel crops has a strong impact on agriculture at the global and European level. The additional demand from the energy sector might slow down or reverse the long term process of declining agricultural prices.

Suggested Citation

  • Banse, Martin & van Meijl, Hans & Tabeau, Andrzej A. & Woltjer, Geert B., 2008. "Impact of EU Biofuel Policies on World Agricultural and Food Markets," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6476, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaa107:6476
    DOI: 10.22004/ag.econ.6476
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    Citations

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    Cited by:

    1. Karel JANDA & Jakub KOURILEK & Sarah TRABELSI, 2017. "Price Co Movement between Biodiesel and Natural Gas," Journal of Advanced Research in Management, ASERS Publishing, vol. 8(1), pages 7-16.
    2. Hertel, Thomas W. & Tyner, Wallace E. & Birur, Dileep K., 2008. "Biofuels for all? Understanding the Global Impacts of Multinational Mandates," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6526, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. Festel, Gunter & Würmseher, Martin & Rammer, Christian & Boles, Eckhard & Bellof, Martin, 2013. "Modelling production cost scenarios for biofuels and fossil fuels in Europe," ZEW Discussion Papers 13-075, ZEW - Leibniz Centre for European Economic Research.
    4. Thomas Hertel & Jevgenijs Steinbuks & Uris Baldos, 2013. "Competition for land in the global bioeconomy," Agricultural Economics, International Association of Agricultural Economists, vol. 44(s1), pages 129-138, November.
    5. Chantreuil, Frederic & Tabeau, Andrzej A. & van Leeuwen, Myrna, 2008. "Estimation of impact of EU agricultural policies on the world market prices," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6671, European Association of Agricultural Economists.
    6. Taheripour, Farzad & Hertel, Thomas W. & Tyner, Wallace E. & Beckman, Jayson F. & Birur, Dileep K., 2008. "Biofuels and their By-Products: Global Economic and Environmental Implications," Conference papers 331685, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    7. Antoine BOUËT & HUGO VALIN & Betina DIMARANAN, 2009. "Biofuels in the world markets: A Computable General Equilibrium assessment of environmental costs related to land use changes," Working Papers 6, CATT - UPPA - Université de Pau et des Pays de l'Adour, revised Nov 2009.
    8. Dixon, Peter & van Meijl, Hans & Rimmer, Maureen & Shutes, Lindsay & Tabeau, Andrzej, 2013. "RED vs. REDD: Biofuel Policy vs. Forest Conservation," Working papers 152082, Factor Markets, Centre for European Policy Studies.
    9. Sukati, Mphumuzi, 2014. "The South African Bio ethanol blend mandate and its implications on regional agricultural markets and welfare," MPRA Paper 57702, University Library of Munich, Germany.
    10. Laborde, David & Valin, Hugo, 2010. "Modelling Indirect Land Use Effects Of Biofuels:," 14th ICABR Conference, June 16-18, 2010, Ravello, Italy 188100, International Consortium on Applied Bioeconomy Research (ICABR).
    11. Santamaría, Marta & Azqueta, Diego, 2015. "Promoting biofuels use in Spain: A cost-benefit analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 50(C), pages 1415-1424.
    12. Becker, Arno, 2008. "Biomass for energy production in the context of selected European and international policy objectives," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 43974, European Association of Agricultural Economists.
    13. Chakravorty, Ujjayant & Hubert, Marie-Hélène & Moreaux, Michel & Nostbakken, Linda, 2010. "Will Biofuel Mandates Raise Food Prices?," LERNA Working Papers 10.20.326, LERNA, University of Toulouse.
    14. Janda, Karel & Kourilek, Jakub, 2016. "Description of Biofuels and Shale Gas Development," MPRA Paper 74885, University Library of Munich, Germany.
    15. De Lucia, Caterina & Bartlett, Mark, 2014. "Implementing a biofuel economy in the EU: Lessons from the SUSTOIL project and future perspectives for next generation biofuels," Renewable and Sustainable Energy Reviews, Elsevier, vol. 29(C), pages 22-30.
    16. Ramírez Triana, Carlos Ariel, 2011. "Energetics of Brazilian ethanol: Comparison between assessment approaches," Energy Policy, Elsevier, vol. 39(8), pages 4605-4613, August.
    17. Çağatay, Selim & Taşdoğan, Celal & Özeş, Reyhan, 2017. "Analysing the impact of targeted bio-ethanol blending ratio in Turkey," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 6(2), September.
    18. Ziolkowska, Jadwiga & Simon, Leo K. & Zilberman, David, 2011. "Capturing Uncertainties in Evaluation of Biofuels Feedstocks: A Multi-Criteria Approach for the US," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 115980, European Association of Agricultural Economists.

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