1. |
- Basnet, Shyam Kumar, et al.
(author)
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The distortion in the EU feed market due to import constraints on genetically modified soy
- 2023
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In: Agricultural and Food Economics. - 2193-7532. ; 11:1
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Journal article (peer-reviewed)abstract
- Feed importers in some EU member states face constraints on imports of genetically modified (GM) soy, a practice that may compromise the interests of EU livestock farmers. Using the cases of Sweden and Austria, we analyzed price transmission in the soy supply chain originating from Brazil, applying an asymmetric non-linear auto-regressive distributed lag (ARDL) model to identify short-run and long-run asymmetries. The results revealed significant asymmetric effects in how positive and negative price changes are absorbed within the feed industry. Notably, increases in the cost of Brazilian soy swiftly affect the prices for EU farmers, while cost reductions fail to trigger corresponding price decreases. Consequently, stronger constraints on GM soy imports are likely to exacerbate the competitiveness challenges faced by livestock farmers, primarily due to their reliance on non-GM soy. This implies that the restrictions on GM imports need to be relaxed or that low-cost local protein alternatives need to be developed.
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2. |
- Eriksson, Mattias, et al.
(author)
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Environmental consequences of introducing genetically modified soy feed in Sweden
- 2018
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In: Journal of Cleaner Production. - : Elsevier BV. - 0959-6526 .- 1879-1786. ; 176, s. 46-53
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Journal article (peer-reviewed)abstract
- Most environmental assessments of soy production and trade do not distinguish between genetically modified (GM) and non-GM soy. In reality though, soybean imports to European Union maintain identity preservation through segregated supply lines. We, therefore, perform an attributional life cycle assessment (ALCA) of the global soy chain separately for the GM and non-GM imports. First a detailed mapping of the soy-feed supply chain is done, beginning from the farm in Latin America to the animal farmer in European Union. Subsequently, life cycle is assessed to calculate the environmental impacts of each supply line for 14 impact categories, including global warming potential. Since non-GM soy based compound feed is expensive, in countries such as Sweden where there is zero tolerance for genetically modified organisms, animal farmers face a higher cost of production. As a result, there exists the possibility for a policy shift towards use of only GM soy. Hence, a consequential life cycle assessment (CLCA) is performed that includes the market effects for a scenario of shifting from GM to non-GM soy. This also ensures robustness in our estimation of the differential environmental impacts. Results from ALCA reveal that there are no significant environmental gains from importing non-GM soy over GM soy. Global warming potential and freshwater ecotoxicity are very high from non-GM imports while GM soy imports have a larger effect on land uses and terrestrial eutrophication. Increased transport distances due to segregation for non-GM soy is a major contributor to the higher negative environmental effects. Results from the CLCA, however, show that GM soy has a higher negative impact in most of the impact categories including global warming potential and freshwater and terrestrial acidification. This is possible when high demand for low cost GM triggers greater production in Latin America and substitution of locally grown protein, such as rapeseed cake, in Sweden. (C) 2017 Elsevier Ltd. All rights reserved.
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3. |
- Basnet, Shyam Kumar, et al.
(author)
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A Bayesian econometrics and risk programming approach for analysing the impact of decoupled payments in the European Union*
- 2021
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In: Australian Journal of Agricultural and Resource Economics. - : Wiley. - 1364-985X .- 1467-8489. ; 65:3, s. 729-759
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Journal article (peer-reviewed)abstract
- We estimate a risk-based programming, individual farm model and apply it to study the wealth effects of crop-related, decoupled direct payments under the European Union (EU) Common Agricultural Policy. The model expands on previous work on estimating risk-based programming models by applying a robust Bayesian econometric framework. The results indicate that the wealth effect varies greatly between individual farms, but that its impact on aggregate crop production is small. For larger farms, in particular, removing the decoupled payments, while keeping total land constant, increases the diversity of the cropping plan.
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4. |
- Basnet, Shyam Kumar
(author)
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Analysing and measuring the economic effects of zero-tillage technology: The case of the rice-wheat cropping system of the Indo-Gangetic Plains
- 2021
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In: International Journal of Agricultural Resources, Governance and Ecology. - 1462-4605 .- 1741-5004. ; 17, s. 38-62
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Journal article (peer-reviewed)abstract
- Conventional tillage is the predominant tillage practice in the rice-wheat system of the Indo-Gangetic Plains (IGPs). However, it often delays wheat sowing and reduces yield in instances of late maturity of rice. Zero tillage (ZT) technology facilitates the early sowing of wheat and avoids yield loss due to terminal heat stress. This paper measures the economic impacts of ZT technology on wheat yield and costs of tillage operations and herbicide use in the rice-wheat system. We conducted a farm household survey of 353 farmers in the Karnal and Rupandehi districts of the IGP region. A propensity score matching technique is applied with a specification of non-parametric kernel density function to measure the empirical evidence. The results showed that, although zero tillage does not lead to a promising premium in the wheat yield from early sowing, farmers benefit from the technology thanks to strong cost-saving effects (14.54%-19.73%) on tillage operations. In Karnal, the current level of herbicide use is slightly higher (by 1.06%) in ZT plots, but the lower expenditure in Rupandehi illustrates future prospects for a gradual decline in herbicide use with the uptake of ZT technology.
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5. |
- Basnet, Shyam Kumar, et al.
(author)
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Explaining the Process for Conversion to Organic Dairy Farming in Sweden: An Alternative Modelling Approach
- 2018
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In: German journal of agricultural economics. - 2191-4028. ; 67, s. 14-30
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Journal article (peer-reviewed)abstract
- To date, the process of conversion to organic farming has been analysed as a choice between only two alternatives, conventional versus organic farming. However, the conversion process in the EU is a twotier decision, which brings the possibility of a nested structure between mixed and organic farming. In the context of Sweden, where the conversion investment is flexible, we attempted to identify economic determinants of the organic conversion process. For that purpose, we applied the nested Logit random utility maximisation (NLRUM) model to data from the Swedish farm accounting data network for 2002-2012. The analysis showed that milk prices, milk yield and environmental support payments play a significant role in the organic conversion process. As expected, a decrease in conventional milk prices would induce conventional farms to convert to organic production. The scale of conversion to organic farming was more pronounced among dairy farms located in regions with higher environmental support payments, and in regions endowed with more pasture land and leys.
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7. |
- Dinh, Hoang Huu, et al.
(author)
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Impact of Land Tenure Security Perception on Tree Planting Investment in Vietnam
- 2023
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In: Land. - : MDPI AG. - 2073-445X. ; 12:2
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Journal article (peer-reviewed)abstract
- With over 14 million hectares allocated, Vietnam's forest and forestland allocation has been one of the largest natural resource decentralization programs in the developing world over the last three decades. Given this remarkable achievement, critics are concerned about the low rates of household tree planting investment and question the roles and effects of land institutions on investment. Using nested logit and ordered probit models, this study examined the effects of household perceptions of forestland tenure security on tree investment and the causal effects among 239 households in 11 communes in the Central Highlands. The findings suggested that, given the land titling in hand, household perceptions of potential land expropriation in the next five years did not thwart investments in both short-term acacia and long-term cashew horizons. The number of laborers, cost of plantations, off-farm and agricultural incomes, migrant status, soil condition, plot location, government subsidies, and a positive market outlook all played a significant role in this investment. Interestingly, we found that short-term tree planting had the reverse impact on decreasing land users' perceptions of land tenure security, possibly because each tree rotation shortens the 50-year land use period recorded in the Land Use Right Certificate. However, market prospects and government subsidies may significantly counteract the negative perception of LTS and encourage households to plant trees. The policy implication is that, in addition to strengthening LTS to ensure households' current and future land use rights, tree investment-incentivized policies should be implemented.
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