Optimal export taxes – the case of cocoa in Cote d'Ivoire

Kees Burger

No 6395, 107th Seminar, January 30-February 1, 2008, Sevilla, Spain from European Association of Agricultural Economists

Abstract: Export taxes can provide additional welfare to large exporters, an argument for interventions in many primary commodity exporting countries. We investigate the benefits of export taxation for Côte d'Ivoire, the dominant exporter of cocoa. Where many applications treat the formula for optimal export taxes incorrectly as a prescription, we take the endogeneity of the exporter’s share into account. We also distinguish between short-term and long-term effects, relevant for a tree crop like cocoa and we allow for a normal commercial margin between export and farm gate prices. Results are calculated via simulations in a model, in which the age-compositions of the tree stocks of major producing countries are distinguished. Simulations over a period of 15 years show that higher levels of export taxation do not change overall revenues of Côte d'Ivoire on a longer term, but lead to strong redistribution from farmers to the central authorities.

Keywords: Crop Production/Industries; International Relations/Trade; Public Economics (search for similar items in EconPapers)
Pages: 11
Date: 2008
New Economics Papers: this item is included in nep-pbe
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
https://ageconsearch.umn.edu/record/6395/files/pp08bu20.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:eaa107:6395

DOI: 10.22004/ag.econ.6395

Access Statistics for this paper

More papers in 107th Seminar, January 30-February 1, 2008, Sevilla, Spain from European Association of Agricultural Economists Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().