The abolition of the European sugar quota: transport time and distance from the field to the factory

Friedrich Herrmann, Moritz Hartig, Lars Isenhardt and Stefan Seifert

No 397916, 100th Annual Conference, March 23-25, 2026, Wadham College, University of Oxford, Oxford, UK from Agricultural Economics Society (AES)

Abstract: This paper analyzes the impact of the abolition of the European sugar quota in 2017 on transport times and distances between sugar beet fields and processing factories in Lower Saxony, Germany. Using parcel-level data from the EU Integrated Administration and Control System (2012–2024), soil quality information, and OpenStreetMap-based routing, three weighted regression models were estimated. Results show that transport times increased by 6–9% following quota abolition, implying higher procurement costs for sugar factories. This finding contrasts with earlier expectations of lower costs and welfare gains from sugar market liberalization. Additional factors such as ecological focus areas, maize expansion linked to biogas production, and soil quality also influenced transport outcomes. The study provides the first empirical evidence on transport cost effects of quota abolition in Germany, demonstrating that liberalization of final product markets does not necessarily generate efficiency gains in upstream agricultural input markets.

Keywords: Crop; Production/Industries (search for similar items in EconPapers)
Pages: 21
Date: 2026-03
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Persistent link: https://EconPapers.repec.org/RePEc:ags:aes026:397916

DOI: 10.22004/ag.econ.397916

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