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Measuring the Effectiveness of the Export Enhancement Program for Poultry

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  • Haley, Stephen L.

Abstract

This report examines the economic effects of the Export Enhancement Program (EEP) for poultry meat for 1987. Total exports have increased 79,000 metric tons due to the program. These numbers imply that every metric ton of poultry meat subsidized has resulted in an additional 0.83 metric ton of poultry meat exports at an average cost of $761 per metric ton. Considering that the average unit export value for all U.S. poultry exports was $1,038, the program has expanded poultry exports at relatively high cost. Although U.S. poultry exports have increased, other poultry exporters (including the EC) have not been significantly affected. U.S. producers have gained marginally, while U.S. consumers have lost an equivalent amount of welfare through higher domestic poultry prices. The primary beneficiaries have been consumers in the countries targeted for the EEP, primarily Iraq and Egypt. Additional analysis indicates that U.S. poultry production and exports probably would be somewhat higher if there were no EC policies affecting the world poultry and corn markets. Even with these policies in place, however, a slightly lower world price for poultry meat caused by these policies benefits U.S. consumers as much as it hurts U.S. producers. From the perspective of poultry markets, the effect of these EC policies on the United States is very small.

Suggested Citation

  • Haley, Stephen L., 1990. "Measuring the Effectiveness of the Export Enhancement Program for Poultry," Staff Reports 278276, United States Department of Agriculture, Economic Research Service.
  • Handle: RePEc:ags:uerssr:278276
    DOI: 10.22004/ag.econ.278276
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    References listed on IDEAS

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    1. Newman, Mark & Fulton, Tom & Glaser, Lewrene, 1987. "A Comparison of Agriculture in the United States and the European Community," Foreign Agricultural Economic Report (FAER) 147987, United States Department of Agriculture, Economic Research Service.
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    Cited by:

    1. Diersen, Matthew A. & Wilson, William W. & Dahl, Bruce L. & Satyanarayana, Vidyashankara, 1997. "Additionality Of Credit Guarantees For U.S. Wheat Exports," Agricultural Economics Reports 23425, North Dakota State University, Department of Agribusiness and Applied Economics.
    2. Kapombe, Crispin M. & Colyer, Dale, 1999. "A structural time series analysis of US broiler exports," Agricultural Economics, Blackwell, vol. 21(3), pages 295-307, December.
    3. Mahalingam, Nalini & Schrader, Lee F., 1993. "Export Marketing Strategies: An Analysis of Firm Activity in Eggs, Cereals, and Apple Juice," Occasional Papers 233155, Regional Research Project NC-194: Organization and Performance of World Food Systems.
    4. Colyer, Dale, 2000. "A Comparison Of Annual, Quarterly And Monthly Turkey Export Models," Conference Papers 19106, West Virginia University, Department of Agricultural Resource Economics.
    5. Roningen, Vernon & Dixit, Praveen & Sullivan, John & Hart, Tracy, 1991. "Overview of the Static World Policy Simulation (SWOPSIM) Modeling Framework," Staff Reports 278513, United States Department of Agriculture, Economic Research Service.
    6. Patterson, Paul M. & Abbott, Philip C. & Stiegert, Kyle W., 1996. "The Export Enhancement Program'S Influence On Firm-Level Competition In International Markets," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 21(1), pages 1-12, July.
    7. Roningen, Vernon & Dixit, Praveen & Sullivan, John & Hart, Tracey, 1991. "Overview of the Static World Policy Simulation (SWOPSIM) Modeling Framework," Staff Reports 278390, United States Department of Agriculture, Economic Research Service.
    8. Golz, Theresa K. & Golz, Joel T. & Helgeson, Delmer L. & Petry, Timothy A., 1990. "Preliminary Economic Feasibility of Broiler Production in North Dakota," Agricultural Economics Reports 23238, North Dakota State University, Department of Agribusiness and Applied Economics.

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