Determining trends in trade policy and agricultural imports and exports in Morocco and Lebanon

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2018-05
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Willman, Adam
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Nonnecke, Gail
Zimmerman, Emily
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The Middle East and North African (MENA) region was adversely impacted by elevated global food prices in 2008/09 and 2011/12 due to dependency on agriculture imports. Liberalizing trade can reduce the global price of agricultural commodities, and is effective at reducing the domestic cost of food and increasing food security among urban poor. Yet, trade liberalization can negatively affect rural agricultural producers who cannot compete with larger economies of scale. This research examined trade policies in the context of agricultural production for two countries in the MENA region to understand how trade liberalization affects urban and rural poor following global food price spikes. I conducted a systematic literature review to analyze trade policies in Morocco and Lebanon, and used FAOSTAT to collect data on wheat/flour, wheat equivalent import/export for Morocco and Lebanon from 2000-2016. Correlations were drawn between shifts in import/export data and changes in trade policies. Results suggest the domestic price of grain is reduced with more liberalization, but that trade liberalization has constricted domestic production and shifted agricultural demography. This research highlights the need for trade liberalization to be paired with social welfare policies and investment to mitigate long-term, negative effects on rural agricultural producers and food security.
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