Agri-food trade and climate change

Journal title Economia agro-alimentare
Author/s Fabio Gaetano Santeramo, Dragan Miljkovic, Emilia Lamonaca
Publishing Year 2021 Issue 2021/1 Language English
Pages 18 P. 1-18 File size 0 KB
DOI 10.3280/ecag1-2021oa11676
DOI is like a bar code for intellectual property: to have more infomation click here

View article Download Open Access article

FrancoAngeli is member of Publishers International Linking Association, Inc (PILA), a not-for-profit association which run the CrossRef service enabling links to and from online scholarly content.

Climate change, the agri-food sector and trade are closely related. This contribution aims at presenting issues related to the economic impacts of climate changes on international trade. The agri-food sector is one of the most hit by changes in climate, and it is also responsible of substantial environmentalimpacts. In a globalised world, these effects do not alter only the agri-food domestic markets but propagate across countries.While climate change may trigger changes in trade patterns by altering food availability and access as well as comparative advantages across countries, trade itself may constitute an adaptation strategy. Our note provides elements to be considered in the future debate that will likely be focused on the interrelations between, climate change, trade and global value chains of agri-food products.

Keywords: Adaptation, Development, Global value chain, Trade

  1. Acemoglu, D., Johnson, S. & Robinson, J.A. (2002). Reversal of fortune: Geography and institutions in the making of the modern world income distribution. The Quarterly Journal of Economics, 117(4), 1231-1294, DOI: 10.1162/003355302320935025
  2. Baldos, U.L.C. & Hertel, T.W. (2015). The role of international trade in managing food security risks from climate change. Food Security, 7(2), 275-290, DOI: 10.1007/s12571-015-0435-z
  3. Briamonte, L., Luzzi Conti, S. & Zucaro, R. (2020). Sustainable Management of Water Resources: Agricultural Sector and Environmental Protection. Economia Agro-Alimentare/Food Economy, 22(2), 1-7, DOI: 10.3280/ecag2-2020oa10404
  4. Burke, M. & Emerick, K. (2016). Adaptation to climate change: Evidence from US agriculture. The American Economic Journal: Economic Policy, 8(3), 106-40, DOI: 10.1257/pol.20130025
  5. Chatzopoulos, T., Domínguez, I.P., Zampieri, M. & Toreti, A. (2020). Climate extremes and agricultural commodity markets: a global economic analysis of regionally simulated events. Weather and Climate Extremes, 27, 100193, DOI: 10.1016/j.wace.2019.100193
  6. Costinot, A., Donaldson, D. & Smith, C. (2016). Evolving comparative advantage and the impact of climate change in agricultural markets: Evidence from 1.7 million fields around the world. Journal of Political Economy, 124(1), 205-248, DOI: 10.1086/684719
  7. Dallmann, I. (2019). Weather variations and international trade. Environmental and Resource Economics, 72(1), 155-206, DOI: 10.1007/s10640-018-0268-2
  8. Dall’Erba, S., Chen, Z. & Nava, N.J. (2021). U.S. Interstate Trade Will Mitigate the Negative Impact of Climate Change on Crop Profit. American Journal of Agricultural Economics. [Forthcoming].
  9. Dell, M., Jones, B.F. & Olken, B.A. (2012). Temperature shocks and economic growth: Evidence from the last half century. The American Economic Journal: Macroeconomics, 4(3), 66-95, DOI: 10.1257/mac.4.3.66
  10. Deschênes, O. & Greenstone, M. (2007). The economic impacts of climate change: evidence from agricultural output and random fluctuations in weather. The American Economic Review, 97(1), 354-385, DOI: 10.1257/aer.97.1.354
  11. Fagereng, A., Guiso, L., Malacrino, D. & Pistaferri, L. (2016). Heterogeneity in returns to wealth and the measurement of wealth inequality. The American Economic Review, 106(5), 651-55, DOI: 10.1257/aer.p20161022
  12. FAO (2018). The State of Agricultural Commodity Markets 2018: Agricultural trade, climate change and food security. Rome: FAO.
  13. Fukase, E. & Martin, W. (2016). Who Will Feed China in the 21st Century?
  14. Income Growth and Food Demand and Supply in China. Journal of Agricultural Economics, 1(67), 3-23, DOI: 10.1111/1477-9552.12117
  15. Gassebner, M., Keck, A. & Teh, R. (2010). Shaken, not stirred: the impact of disasters on international trade. Review of International Economics, 18(2), 351-368, DOI: 10.1111/j.1467-9396.2010.00868.x
  16. Gouel, C. & Laborde, D. (2021). The crucial role of domestic and international market-mediated adaptation to climate change. Journal of Environmental Economics and Management, 106, 102408, DOI: 10.1016/j.jeem.2020.102408
  17. Grossman, G.M. & Krueger, A.B. (1993). Environmental Impacts of a North American Free Trade Agreement. In Garber, P.M. (Ed.), The US-Mexico Free Trade Agreement. Cambridge: MIT Press.
  18. Hernández, R., Martínez Piva, J.M. & Mulder, N. (2014). Global value chains and world trade: Prospects and challenges for Latin America. ECLAC.
  19. Hertler, T.W. (2018). Climate change, agricultural trade and global food security. The State of Agricultural Commodity Markets (soco) 2018: Background paper. Rome: FAO.
  20. Hoekman, B. (2014). Supply Chains, Mega-Regionals and Multilateralism: A Road Map for the WTO. Research Paper rscas 2014/27, Robert Schuman Centre for Advanced Studies, Centre for Economic Policy Research, London.
  21. Huntington, E. (1915). Civilization and Climate. New Haven: Yale University Press.
  22. IPCC (2014). Climate change 2014: impacts, adaptation, and vulnerability. Part A: global and sectoral aspects. Contribution of working group II to the fifth assessment report of the intergovernmental panel on climate change. Tech. rep., IPCC, Cambridge University Press, Cambridge, UK and New York, NY, USA.
  23. Jones, B.F., & Olken, B.A. (2010). Climate shocks and exports. The American Economic Review, 100(2), 454-59, DOI: 10.1257/aer.100.2.454
  24. Key, N., & Sneeringer, S. (2014). Potential effects of climate change on the productivity of US dairies. American Journal of Agricultural Economics, 96(4), 1136-1156.
  25. Li, C., Xiang, X. & Gu, H. (2015). Climate shocks and international trade: Evidence from China. Economics Letters, 135, 55-57, DOI: 10.1016/j.econlet.2015.07.032
  26. Mader, T.L. (2014). Bill E. Kunkle Interdisciplinary Beef Symposium: Animal welfare concerns for cattle exposed to adverse environmental conditions. Journal of Animal Science, 92(12), 5319-5324, DOI: 10.2527/jas.2014-7950
  27. Martin, W. (2018). A research agenda for international agricultural trade. Applied Economic Perspectives and Policy, 40(1), 155-173, DOI: 10.1093/aepp/ppx063
  28. McCarl, B.A. & Hertel, T.W. (2018). Climate change as an agricultural economics research topic. Applied Economic Perspectives and Policy, 40(1), 60-78, DOI: 10.1093/aepp/ppx052
  29. McCarl, B.A., Villavicencio, X. & Wu, X. (2008). Climate change and future analysis: is stationarity dying? American Journal of Agricultural Economics, 90(5), 1241-1247.
  30. Mendelsohn, R.O., Nordhaus, W.D. & Shaw, D. (1994). The impact of global warming on agriculture: a Ricardian analysis. The American economic review, 753-771.
  31. Mendelsohn, R.O., & Massetti, E. (2017). The use of cross-sectional analysis to measure climate impacts on agriculture: theory and evidence. Review of Environmental Economics and Policy, 11(2), 280-298, DOI: 10.1093/reep/rex017
  32. Miljkovic, T., & Miljkovic, D. (2014). Modeling impact of hurricane damages on income distribution in the coastal US. International Journal of Disaster Risk Science, 5(4), 265-273, DOI: 10.1007/s13753-014-0030-5
  33. Mrabet, R., Savé, R., Toreti A., Caiola N., Chentouf M., Llasat M.C., Mohamed A.A.A., Santeramo F.G., Sanz-Cobena A., Tsikliras A. (2020). Food. In Cramer, W., Guiot J. & Marini K. (Eds.), Climate and Environmental Change in the Mediterranean Basin – Current Situation and Risks for the Future. First Mediterranean Assessment Report, Union for the Mediterranean, Plan Bleu, UNEP/MAP, Marseille, France, 26pp, in press.
  34. Mu, J.E., McCarl, B.A. & Wein, A.M. (2013). Adaptation to climate change: changes in farmland use and stocking rate in the US. Mitigation and Adaptation Strategies for Global Change, 18(6), 713-730, DOI: 10.1007/s11027-012-9384-4
  35. Oh, C.H. & Reuveny, R. (2010). Climatic natural disasters, political risk, and international trade. Global Environmental Change, 20(2), 243-254, DOI: 10.1016/j.gloenvcha.2009.11.005
  36. Randhir, T.O. & Hertel, T.W. (2000). Trade Liberalization as a Vehicle for Adapting to Global Warming. Agricultural and Resource Economics Review, 29(2), 159-172, DOI: 10.1017/S1068280500005293
  37. Reilly, J. & Hohmann, N. (1993). Climate change and agriculture: the role of international trade. The American Economic Review, 83(2), 306-312.
  38. Rosenzweig, C. & Parry, M.L. (1994). Potential impact of climate change on world food supply. Nature, 367(6459), 133-138.
  39. Sachs, J.D. (2003). Institutions don’t rule: direct effects of geography on per capita income. nber Working Paper N.w9490.
  40. Santeramo, F.G. & Lamonaca, E. (2019). The effects of non‐tariff measures on agri‐food trade: A review and meta‐analysis of empirical evidence. Journal of Agricultural Economics, 70(3), 595-617, DOI: 10.1111/1477-9552.12316
  41. Santeramo, F.G., Lamonaca, E., Tappi, M. & Di Gioia, L. (2020a). On the environmental impacts of voluntary animal-based policies in the EU: Technical and political considerations. Environmental Science & Policy, 111, 55-62, DOI: 10.1016/j.envsci.2020.04.017
  42. Santeramo, F.G., Di Gioia, L. & Lamonaca, E. (2020b). Price responsiveness of supply and acreage in the EU vegetable oil markets: policy implications. Land Use Policy, 105102, DOI: 10.1016/j.landusepol.2020.105102
  43. Santeramo, F.G., Bozzola, M. & Lamonaca, E. (2021). On the impact of climate change on global agri-food trade. Working Paper.
  44. Santeramo, F.G. & Searle, S. (2019). Linking soy oil demand from the US Renewable Fuel Standard to palm oil expansion through an analysis on vegetable oil price elasticities. Energy Policy, 127, 19-23, DOI: 10.1016/j.enpol.2018.11.054
  45. Taglioni, D. & Winkler, D. (2016). Making global value chains work for development. The World Bank.
  46. Tricase, C., Lamonaca, E., Ingrao, C., Bacenetti, J. & Lo Giudice, A. (2018). A comparative Life Cycle Assessment between organic and conventional barley cultivation for sustainable agriculture pathways. Journal of Cleaner Production, 172, 3747-3759, DOI: 10.1016/j.jclepro.2017.07.008
  47. United Nations (2020). World Economic Situation and Prospects 2020. United Nations: New York.

  • The influence of climate change on food innovation technology: review on topical developments and legal framework Kingsley Eghonghon Ukhurebor, Paul Atagamen Aidonojie, in Agriculture & Food Security 50/2021
    DOI: 10.1186/s40066-021-00327-4

Fabio Gaetano Santeramo, Dragan Miljkovic, Emilia Lamonaca, Agri-food trade and climate change in "Economia agro-alimentare" 1/2021, pp 1-18, DOI: 10.3280/ecag1-2021oa11676