Estimation of Tariff Equivalent for NTM on Brazilian beef exports to the European Union
2017
Sbarai, Nathalia | Miranda, Silvia Helena Galvao de
In this paper, we estimate the tariff equivalent of NTMs considering the beef trade between Brazil and the EU. The literature review points out a considerable number of requirements that affect beef trade. The tariff equivalents are estimated for the period of 2000 to 2009, for frozen and fresh beef, bone and boneless. Two models are estimated, assuming homogeneity and heterogeneity of goods, and following, respectively, the methodology proposed by Deardorff and Stern (1997) and Yue, Beghin and Jensen (2005). In general, we observe high values for the tariff equivalents, i.e., the European domestic prices and the world prices actually differ, which could indicate that the European beef market has been protected by NTMs.
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