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Importing High Food Prices by Exporting : Rice Prices in Lao PDR / Durevall, Dick

World Bank Open Knowledge Repository (formerly "World Bank E-Library Publications") Available online

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Format:
Book
Government document
Author/Creator:
Durevall, Dick
Contributor:
Durevall, Dick
van der Weide, Roy
Series:
Policy research working papers.
World Bank e-Library.
Language:
English
Subjects (All):
Access to Markets.
Cointegration.
E-Business.
Emerging Markets.
Exports.
Food & Beverage Industry.
Food Prices.
Free Trade.
Industry.
International Economics & Trade.
Macroeconomics and Economic Growth.
Markets & Market Access.
Private Sector Development.
Rice Prices.
Welfare.
Local Subjects:
Access to Markets.
Cointegration.
E-Business.
Emerging Markets.
Exports.
Food & Beverage Industry.
Food Prices.
Free Trade.
Industry.
International Economics & Trade.
Macroeconomics and Economic Growth.
Markets & Market Access.
Private Sector Development.
Rice Prices.
Welfare.
Physical Description:
1 online resource (40 pages)
Other Title:
Importing High Food Prices by Exporting
Place of Publication:
Washington, D.C., The World Bank, 2014
System Details:
data file
Summary:
This paper shows how a developing country, Lao PDR, imports high glutinous rice prices by exporting its staple food to neighboring countries, Vietnam and Thailand. Lao PDR has extensive export controls on rice, generating a sizable difference between domestic and international prices. Controls are relaxed after good harvests, leading to a surge in exports early in the season and rapidly rising prices later in the year. There is thus a strong case for removal of trade restrictions since they give rise to price spikes, keep the long-term price of glutinous rice low, and thereby hinder increases in income from agriculture. Although this is a case study of Lao PDR, the findings may equally apply to other developing countries that export their staple food.

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