UK SUGAR BEET FARM PRODUCTIVITY UNDER DIFFERENT REFORM SCENARIOS: A FARM LEVEL ANALYSIS

Alan Renwick, Cesar Revoredo-Giha and Mark Reader

No 31936, Environmental Economy and Policy Research Discussion Papers from University of Cambridge, Department of Land Economy

Abstract: The purpose of this paper is to study the effect that the imminent reform in the European Union (EU) sugar regime may have on farm productivity in the United Kingdom (UK). We perform the analysis on a sample of sugar beet farms representative of all the UK sugar beet regions. To estimate the changes in productivity, we estimate a multi-output cost function representing the cropping part of the farm, which is the component that would be mostly affected by the sugar beet reform. We use this cost function to compute the new allocation of outputs and inputs after the changes in the sugar beet quota and price support. This are subsequently used to compute measures of total factor productivity. Our results show slight decreases in the productivity at the individual farm level under both quota and price support reduction. However, when considering the aggregate level, the reduction in the price support shows significant increases in productivity, in contrast to the results obtained from a reduction in quota.

Keywords: Agricultural and Food Policy; Crop Production/Industries; Productivity Analysis (search for similar items in EconPapers)
Pages: 16
Date: 2005
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Citations: View citations in EconPapers (4)

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https://ageconsearch.umn.edu/record/31936/files/dp050004.pdf (application/pdf)

Related works:
Working Paper: UK Sugar Beet Farm Productivity Under Different Reform Scenarios: A Farm Level Analysis (2005)
Working Paper: UK Sugar Beet Farm Productivity under Different Reform Scenarios: A Farm Level Analysis (2005)
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Persistent link: https://EconPapers.repec.org/RePEc:ags:ucamdp:31936

DOI: 10.22004/ag.econ.31936

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