A prospect of moving towards free milk quota market in Ireland – will milk quota movement follow efficiency?

Shailesh Shrestha () and Thia C. Hennessy

No 43657, 2008 International Congress, August 26-29, 2008, Ghent, Belgium from European Association of Agricultural Economists

Abstract: Quota trade in Ireland is ‘ring fenced’ to milk processors where farmers are not allowed to trade milk quota outside their designated milk processor. This ensures milk production staying within a region but has implications for the efficiency of milk production. In this paper, we simulated a free milk quota market in Ireland and compared the results with a milk quota exchange which was ring fenced to determine if the quota move from an inefficient region to a more efficient region. The results show that quota indeed follow efficiency of production when there is restriction over trade area.

Keywords: Agricultural; and; Food; Policy (search for similar items in EconPapers)
Pages: 7
Date: 2008
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:ags:eaae08:43657

DOI: 10.22004/ag.econ.43657

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