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GTAP Resource #5980

"Global Greenhouse Gas Taxes on Food Products: Economy-wide, Environmental and Dietary Implications"
by Chepeliev, Maksym and Angel Aguiar

Agricultural and food systems are contributing over 25% of global greenhouse gas (GHG) emissions. Demographic changes and increasing income are expected to further push the global diet towards more meat-oriented and emission-intensive food items, as a result, agricultural GHG emissions could significantly increase in the long-run, which would make it almost impossible to keep the global temperature increase well below 2 o C, as desired by the Paris Climate Agreement. Reducing the food-related GHG emissions is a crucial component in meeting the stringent climate change targets. The focus of this paper is to provide a global assessment of food-related GHG emissions taxation. In terms of methodology, our paper contributes to the existing literature on the disaggregation of agricultural sector and representation of food balances in the computable general equilibrium modelling. From the policy side, our analysis extends themulti-region existing literature on the quantitative assessment of the food-related GHG emissions pricing. We provide new insights into economy-wide, environmental and dietary implications of such policies, with a particular focus on the cost-benefit (welfare) analysis for advanced economies and developing countries – a link that most studies have been missing so far. In addition, as global GHG taxes on food products also change agricultural trade patterns, our paper provides assessment of such impacts, looking into the most affected countries and regions.

Resource Details (Export Citation) GTAP Keywords
Category: Presentations
Status: Not published
Date: 2020
Created: Batta, G. (1/29/2020)
Updated: Batta, G. (1/29/2020)
Visits: 1,693
- Trade and the environment
- Food prices and food security

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