Increasing food production and mitigating agricultural greenhouse gas emissions in the European Union: impacts of carbon pricing and calorie production targeting

Augmenter la production alimentaire et atténuer les émissions de gaz à effet de serre de l'agriculture dans l'Union européenne: impacts de la tarification du carbone et du ciblage de la production de calories

Ancuta Isbasoiu, Pierre-Alain Jayet and Stéphane De Cara
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Ancuta Isbasoiu: ECO-PUB - Economie Publique - AgroParisTech - Université Paris-Saclay - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement

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Abstract: This study focuses on the links between food production and greenhouse gas emissions in the European Union. The analysis relies on two sets of simulations of AROPAj, a supply-side model of EU agriculture: (i) a carbon price affecting agricultural GHG emissions (from 0 to 200 EUR/tCO2eq), and (ii) a lower limit on the net quantity of food calories provided by EU agriculture (200 to 450 Mt soft wheat equivalent). The model is calibrated on six annual datasets 2007–2012. The results show that a moderate increase in the price of carbon would lead to an increase in total areas and outputs of crops. Animal production decreases over the explored range of carbon price. At 200 EUR/tCO2eq, the reduction in GHG emissions ranges from 25 to 35% depending on the year of calibration. The results also show that current net calorie production from food can be more than doubled, while simultaneously reducing GHG emissions by 10–15%. The compatibility between a reduction in GHG emissions and an increase in food calorie production relies on substantial changes in animal production and feed, which implies significant variations in grassland and fallow land. These effects are contrasted between the regions of the EU.

Keywords: Greenhouse gas emissions; Food production; Carbon price; European Union; Mathematical programming model; greenhouse gas emissions; food production; carbon price; mathematical programming model JEL Classification: Q18; Emission de gaz à effet de serre; Production alimentaire; Prix du carbone; Union européenne; Programmation mathématique (search for similar items in EconPapers)
Date: 2021
New Economics Papers: this item is included in nep-agr and nep-env
Note: View the original document on HAL open archive server: https://hal.inrae.fr/hal-03151982v1
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Published in Environmental Economics and Policy Studies, 2021, 23, pp.409-440. ⟨10.1007/s10018-020-00293-4⟩

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Journal Article: Increasing food production and mitigating agricultural greenhouse gas emissions in the European Union: impacts of carbon pricing and calorie production targeting (2021)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-03151982

DOI: 10.1007/s10018-020-00293-4

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