Commodity supply management by producing countries: a case-study of the tropical beverage crops

• Main Authors: Maizels, A, Bacon, R, Mavrotas, G. (Queen Elizabeth House, Oxford University, Oxford (United Kingdom))
• Format: Book
• Language: English
• Published: Oxford (United Kingdom) Clarendon Press 1997; Oxford University Press
• Series: OUP Catalogue
• Subjects: CAFE; COCOA BEANS; COFFEE; CONSOMMATION; CONSUMO; CONSUMPTION; DEVELOPED COUNTRIES; DEVELOPING COUNTRIES; ECONOMETRIC MODELS; EXPORTACIONES; EXPORTATION; EXPORTS; FEVE DE CACAO; MARCHE MONDIAL; MARKET PRICES; MERCADOS MUNDIALES; MODELE ECONOMETRIQUE; MODELOS ECONOMETRICOS; OFERTA Y DEMANDA; OFFRE ET DEMANDE; PAISES DESARROLLADOS; PAISES EN DESARROLLO; PAYS DEVELOPPE; PAYS EN DEVELOPPEMENT; PRECIOS; PRECIOS DE MERCADO; PRICES; PRIX; PRIX DE MARCHE; PROFITABILITY; RENTABILIDAD; RENTABILITE; SEMILLA DE CACAO; SUPPLY BALANCE; TEA; THE; WORLD MARKETS
• ISBN: 9780198233381; 0198233388
• DOI: 10.1093/acprof:oso/9780198233381.001.0001

The collapse in commodity prices since 1980 has been a major cause of the economic crisis in a large number of developing countries. This book investigates whether the commodity-producing countries, by joint action, could have prevented the price collapse by appropriate supply management. The analysis is focused on the markets for the tropical beverage crops: coffee, cocoa, and tea. Using new econometric models for each market, the impact of alternative supply management schemes on supply, consumption, prices, and export earnings is simulated for the later 1980s. The results indicate that supply management by producing countries would, indeed, have been a viable alternative to the `free market' approach favoured by the developed countries. This has important implications for current international commodity policy, and, in particular, for future joint action by producing countries to overcome persistent commodity surpluses as a complement to needed diversification. Available in OSO: http://www.oxfordscholarship.com/oso/public/content/economicsfinance/9780198233381/toc.html