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Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration

The impact of common agricultural policy (CAP) reform on Africa-EU trade in food and agricultural products

Upphovsperson: Goodison, Paul
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Uppsala : Nordiska Afrikainstitutet
År: 2009
Ämnesord: Agricultural policy, Agricultural products, Trade policy, Foreign trade, Agrarian reform, Economic implications, Africa, European Union, Business and economics, Ekonomi
This paper seeks to look at certain fundamental features of the EU food and agricultural sector adjustment process as it manifests itself through the reform of the CAP. It highlights the shift in policy tools, from price support for agricultural products to income support for EU farmers and the shift in policy emphasis from the quantity of agricultural products to the quality of food and agriculturalproducts. It reviews the implications of this policy shift for the EU’s diminishing tolerance of the use of trade policy tools as part of agricultural development policies in third countries. It highlights in passing the implications of these developments for the African food and agriculturalsectors, before drawing out some broad conclusions and recommendations.

Migrant remittances. An overview of global and Swedish flows

Upphovsperson: Engdahl, Mattias
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Uppsala : Nordiska Afrikainstitutet
År: 2009
Ämnesord: Migrant workers, Remittances, Capital movements, Developing countries, Sweden, Foreign aid, Development policy, economics, Nationalekonomi
Migrant remittances – money and gifts sent to relatives back home – have attracted increasing international attention. The flow of remittances has become a major source of revenue for developing countries, exceeding the volume of aid. Three recent studies at Uppsala University bring this issue to light in the context of Sweden’s Policy for Global Development. Very little has so far been known about the flow of remittances from Sweden; official data indicate an amount exceeding 4 billion kronor in 2006. The real flows are most likely higher; Swedish and international studies estimate that real remittances are 30-50 per cent above the officially recorded amounts. Statistics Sweden (SCB) is recommended to enhance its records of remittances in terms of desirable scope and reliability, for instance regarding specification of the amounts remitted to different countries. Remittance flows from Sweden are linked to the remitters’ incomes and, hence, vary with the business cycle. Experience suggests that the ongoing world economic crisis will have a negative impact on remittance flows also from Sweden. It is suggested that enhanced knowledge in Sweden about available remittance services and their costs and measures to promote a better functioning remittance market could increase the net value of these money.

A short note on Kenya and early warning signals

Upphovsperson: Holmqvist, Göran
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Uppsala : Nordic Africa Institute
År: 2008
Ämnesord: Kenya, elections, Crisis, Empirical conflict research, Empirisk konfliktforskning
The Kenya crisis came largely as a surprise, at least to outsiders. Was it possible to see it coming? Is Kenya a special case, or are there reasons to expect similar crises in other ”stable” African nations with politics, ethnicity and inequality forming an explosive blend? This short exploratory note will approach these questions by taking a look at opinion poll datafrom the Afrobarometer 2005 and 2003. Were any signals of what was coming already there,before our eyes?

Impact of the Financial crisis on Africa : The unpredictable flows: remittances and aid

Upphovsperson: Holmqvist, Göran
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Uppsala : Nordic Africa Institute
År: 2009
Ämnesord: Financial crisis, aid, Remittances, economics, Nationalekonomi
The forecast of economic growth in Sub-Saharan Africa have repeatedly been revised downwards over the last 6 months. It has now reached 2% which is close to a third of what it was a year ago, implying negative growth in per capita terms. Considerable uncertainties remain in these forecasts. Oil- and mineral exporters are likely to take a severe first hit, as collapsing commodity prices translate to reduced export revenues and foreign direct investments are paralyzed. Two additional flows that connect Africa to the global economy, where impact is harder to predict, are aid and remittances. This note explores how these flows have reacted in OECD countries during previous episodes of severe financial crises. It is shown that if these past episodes serve as a guide to the present, then a considerable reduction is to be expected. Remittances would react immediately, while the impact on aid would be lagged but being more prolonged. Given that projection, the critical need for more of accountability in international aid commitments is discussed.

HIV and Income Inequality: If there is a link, what does it tell us?

Upphovsperson: Holmqvist, Göran
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Brasilia : IPC
År: 2009
Ämnesord: Income inequality, Hiv, economics, Nationalekonomi, Infectious diseases, Infektionssjukdomar
There is a striking variation in the prevalence of the human immunodeficiency virus (HIV) among countries and regions of the world, with a distinct geographical pattern. This paper explores the link between income inequality and HIV. It presents empirical evidence—a meta-study and additional cross-country regression results—that clearly support the argument that such a link exists. The interpretation of this link is an open issue. Four different hypotheses are discussed, each one pointing out a transit route from income inequality to HIV. The paper presents preliminary evidence on these routes and identifies potential areas for future research.

Fertility impact of social transfers in Sub-Saharan Africa - What about pensions

Upphovsperson: Holmqvist, Göran
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Manchester : Brooks World Poverty Institute
År: 2010
Ämnesord: social protection, social transfers, fertility, old age pension, Sub-Saharan Africa, economics, Nationalekonomi
The potential link between child-related cash transfers and increased fertility is often raised asan issue of concern when debating their use. Old-age pension is a form of cash transfer wheretheory would suggest the opposite impact, i.e. pensions equal decreasing fertility. A handful ofSub-Saharan African countries have introduced non-contributory social pensions that cover thegreat majority of the older population. It makes them into a distinct group in relation to the rest ofthe region where public old-age security arrangements, if existing at all, are largely reserved forthe formal sector. This paper attempts to trace any impact these high-coverage pensionschemes may have had on fertility. Findings suggest that there has been such an impact, in therange of 0,5 to 1,5 children less per woman depending on model specification.

More Tax, Better Governments

Upphovsperson: Hårsmar, Mats
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Nordiska Afrikainstitutet
År: 2010
Ämnesord: Taxation, Tax systems, Tax reform, Tax revenues, Fiscal administration, Governance, Foreign aid, Aid dependency, Business and economics, Ekonomi
It has been argued that aid donors should focus more on supporting low-income countries to broaden their tax base and raise overall taxation. Besides increasing revenue, this has also a political objective. When citizens are taxed without excessive coercion, taxation can contribute considerably to improved governance and accountability, and to state building. Due to the effects of the financial crisis, calls for increased mobilisation of domestic resources are now being renewed. But is broadened taxation a viable strategy? Some signs of progress are visible in sub-Saharan Africa. However, governments and donors need to see taxation as part of the broader framework of social contracts and not to lose sight of the bigger picture.

Effects of Rules of Origin on the European Union - Africa Economic Partnership Agreements : summary of issues

Upphovsperson: Rios-Herran, Roberto
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Uppsala : Nordiska Afrikainstitutet
År: 2007
Ämnesord: European Union, International negotiations, Economic agreements, Trade agreements, international trade, Business and economics, Ekonomi
Rules of Origin (ROO) determine the economic nationality of an imported product. Where margins of trade preferences are higher, ROO tend to be very restrictive and even sometimes dilutes the benefits of such preferences. As the ACP-EU Economic Partnership Agreement (EPA) negotiations enter a critical phase, the devil of the agreement will be in the detail of the impending EPAs ROO. According to the original mandate, EPA is supposed to be concluded by December 2007 and should be development friendly. Yet, the recent EC ROO offer to the ACP countries (Commission Staff Working Document Concerning the Definition of “Originating Products and Methods of Administrative Cooperation”) are seen by commentators as completely undermining the development dimension of EPA. Bearing in mind the current EPA negotiations, Roberto Rios explains how ROO impact the pattern of trade between countries and how they can be development friendly.

The proliferation of anti-dumping and poor governance in emerging economies: case studies of China and South Africa

Upphovsperson: Gao, Xuan
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Uppsala : Nordiska Afrikainstitutet
År: 2009
Ämnesord: Foreign trade, Trade policy, dumping, unfair competition, trade barriers, Trade agreements, Governance, Trade liberalization, China, South Africa, Business and economics, Ekonomi
Through examination of the alleged rationale of the anti-dumping (AD) instrument, this paper argues that it has little to do with fairness or with level playing fields. AD trade protection enjoys broad political support merely because its convoluted technical complexities prevent all but a few insiders and experts from understanding the reality that underlies the rhetoric, thus enabling inefficient but well-organised domestic producers to safely utilise the instrument to protect themselves from foreign competition, at times in collusion with foreign exporters and with the national AD authorities as a broker. While the best option for AD reform, i.e., complete removal, is not practically available, this paper proposes improving AD’s procedural institutions by enhancing the quality of public governance in the formulation of AD decisions by national authorities. It further examines the AD practices and laws of China and South Africa, arguing that poor governance in emerging economies contributes to their prolific use of AD, usually disproportionate to their small share of world imports. These economies already maintain higher tariff barriers than industrial countries, so that without effective steps to ensure better governance to restrain the arbitrary and proliferating use of AD, they may lose out significantly on the gains from the trade liberalisation for which they have been striving for decades. CONTENTS Foreword 1. Introduction 2. Anti-dumping: Rhetoric vs. Reality 2.1 The Rehtoric of AD: To Ensure Level Playing Fields by Offsetting Unfair Competition 2.1.1 The Economic Rationale of Free Trade and Competition 2.1.2 AD: A Competition-Distorting and Protectionist Instrument 2.2 AD: Misundertanding, Ignorance and Indifference 2.2.1 Collaboration between Special Interest Groups and Decision Makers 3. Harnessing Anti-Dumping: A Good Governance Approach 3.1 Good Governance in AD Decision Making 3.2 The Prolific Use of AD by Emerging Economies and the Low Quality of Governance 3.2.1 AD Desicion Making in China 3.2.2 AD Decision Formulation in South Africa 4. Conclusions References    

Examining the South Africa–China agricultural trading relationship

Upphovspersoner: Sandrey, Ron | Edinger, Hannah
Utgivare: Nordiska Afrikainstitutet, Globalization, Trade and Regional Integration | Uppsala : Nordiska Afrikainstitutet
År: 2009
Ämnesord: Foreign trade, Economic relations, agricultural trade, Trade agreements, export earnings, Access to markets, comparative analysis, China, South Africa, Business and economics, Ekonomi
In recent years, Africa has emerged as a dominant region in China’s foreign policy. As an emerging center of economic growth in the world economy, China is striving towards establishing a stronger footprint in Africa than ever before. The need to understand this rapprochement has been exacerbated by the current financial crisis.With focus on agricultural trade, this book uses empirical data spanning up to year end 2007 to explain the potential benefits of China growing trade in Africa on South Africa’s economy. The studies cover both China and South Africa’s positions as importer and exporter of agricultural products in each other’s markets. In doing so, they have carefully analyzed data from Chinese and South African sources. In order to give a fresh perspective to the analyses, a section of the work has been devoted to the nature of non-tariff barriers that face South Africa’s exporters into the Chinese market.

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