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Philippidis G.,Aragonese Agency for Research and Development ARAID
Food Quality and Preference | Year: 2011

We initiate consumer acceptability experiments to examine how sensorial, in concert with non-sensorial attributes, interact and influence hedonic scores and willingness to pay (WTP). Food neophobia scales are also incorporated as a precursor for WTP. Employing a sample of consumers from the Northern Spanish town of Zaragoza, we examine two varietal innovations incorporating saffron which are already produced 'small scale' in the nearby rural locality. We find that consumer expectations are a strong precursor of WTP. Positive disconfirmation (i.e. the product is better than expected) negatively impacts on WTP for one product innovation, although no such relation is found for contrast and assimilation effects. Notwithstanding, our model's predictive capacity of WTP for either product innovation strongly converges with their actual prices paid in small rural markets. Finally, for one product innovation, greater neophobia is statistically correlated with lower WTP. Consequently, effective labelling and marketing strategies targeted at food neophiles, offer local saffron producers a potentially lucrative market segment. © 2010 Elsevier Ltd.


Philippidis G.,Institute for Prospective Technological Studies JRC IPTS | Philippidis G.,Aragonese Agency for Research and Development ARAID | Philippidis G.,University of Seville | Sanjuan A.I.,Institute for Prospective Technological Studies JRC IPTS | And 3 more authors.
Spanish Journal of Agricultural Research | Year: 2014

The concept of ‘bioeconomy’ is gathering momentum in European Union (EU) policy circles as a sustainable model of growth to reconcile continued wealth generation and employment with bio-based sustainable resource usage. Unfortunately, in the literature an economy-wide quantitative assessment covering the full diversity of this sector is lacking due to relatively poor data availability for disaggregated bio-based activities. This research represents a first step by employing social accounting matrices (SAMs) for each EU27 member encompassing a highly disaggregated treatment of traditional ‘bio-based’ agricultural and food activities, as well as additional identifiable bioeconomic activities from the national accounts data. Employing backward-linkage (BL), forward-linkage (FL) and employment multipliers, the aim is to profile and assess comparative structural patterns both across bioeconomic sectors and EU Member States. The results indicate six clusters of EU member countries with homogeneous bioeconomy structures. Within cluster statistical tests reveal a high tendency toward ‘backward orientation’ or demand driven wealth generation, whilst inter-cluster statistical comparisons by bio-based sector show only a moderate degree of heterogeneous BL wealth generation and, with the exception of only two sectors, a uniformly homogeneous degree of FL wealth generation. With the exception of forestry, fishing and wood activities, bio-based employment generation prospects are below non bioeconomy activities. Finally, milk and dairy are established as ‘key sectors’. © 2014 Ministerio de Agricultura Pesca y Alimentacion. All Rights Reserved.


Camarena D.M.,Instituto Nacional de Investigaciones Nucleares | Philippidis G.,Aragonese Agency for Research and Development ARAID
Appetite | Year: 2011

Over the last decade, a strong upsurge in Spanish immigration has fostered a thriving ethnic food market. To examine indigenous consumer predilections toward ethnic foods, a carefully designed choice experiment is employed, with particular focus on ethnocentricity and food neo-phobia traits on potential purchase decisions. Employing a two level nested logit model, consumers choose to accept/reject ethnic foods, with a positive response met by a further series of different ethnic cuisine and consumption scenario alternatives. Bivariate tests reveal that higher ethnocentric and neo-phobic segments possess common socio-demographic characteristics, whilst neo-phobia plays a significantly stronger role in determining the probability of rejection. Further tests reveal culturally similar Mexican food as the preferred ethnic food across all consumption scenarios. Moreover, the 'restaurant' is the favoured format of consumption, whilst there is evidence of a strong association between specific ethnic food types and consumption formats. The implications of our research suggest that in the short to medium turn, price is a strong strategic variable, whilst marketing strategies must successfully isolate and exploit specific 'ethnic food/consumption scenario' mixes. Finally, stronger messages emphasizing quality and convenience factors are seen as key to bolstering the underrepresented 'home preparation' ethnic food market in Spain. © 2011 Elsevier Ltd.


Boulanger P.,European Commission | Philippidis G.,European Commission | Philippidis G.,Aragonese Agency for Research and Development ARAID | Philippidis G.,University of Seville
Food Policy | Year: 2015

There is a paucity of quantitative impact assessments of the sectorial and macroeconomic impacts of CAP budget reform for EU member states. To fill this gap, the current study employs a sophisticated agricultural variant of the GTAP model to evaluate the recently agreed CAP spending limits for the financial period 2014-2020 as well as a more radical 50% cut to the CAP budget proposed by the UK government. The study incorporates methodological innovation in terms of the modelling of CAP budgetary mechanisms. Furthermore, official EU auditing statistics are employed to (i) greatly improve the existing representation of agricultural support payments in the GTAP benchmark data and (ii) implement a detailed contemporary CAP baseline for member states to capture both the decoupled/coupled split of support payments and the distribution of support across both 'pillars'.In general, CAP expenditure cuts have muted impacts on EU and world agricultural markets; whereas changes in net transfer payments have implications for real income and macro trade balances in EU member states. This observation is particularly pertinent when assessing conciliatory reductions in the UK rebate in exchange for deeper CAP budget cuts. © 2015 The Authors.


Philippidis G.,Aragonese Agency for Research and Development ARAID | Resano-Ezcaray H.,University of Zaragoza
Agricultural Economics (United Kingdom) | Year: 2013

With significant improvements in its theoretical underpinnings, the gravity model has gained renewed interest in the agro-food trade literature. Notwithstanding, there is a dearth of literature examining the relative trade restrictiveness of tariff barriers across a broad range of agro-food sectors. This represents an important research gap, which this study sets out to fill. Furthermore, this research reconciles the application of zero-inflated models with a sectorally disaggregated analysis. More specifically, employing a fully specified gravity equation, a Poisson estimator and variants of the Poisson model (Negative Binomial, Zero-Inflated Poisson, and Zero-Inflated Negative Binomial) provide statistically significant and theoretically consistent estimates, while allowing for the inclusion of zero-trade values. A panel data model with fixed effects is also employed to improve the estimation of the parameters of interest. Estimation results reveal that in the vast majority of sectors examined, import tariffs are found to be statistically significant, whereas export refunds exhibit a statistically smaller role due to the nonsystematic nature of their application in world food markets. Model simulations of tariff barrier eliminations reveal limited trade gains, although there is encouraging evidence of "low" and "lower middle" per capita income country trade gains in wheat, red meat, dairy, sugar, and (particularly) rice markets. © 2013 International Association of Agricultural Economists.


Boulanger P.,European Commission | Dudu H.,European Commission | Ferrari E.,European Commission | Philippidis G.,Aragonese Agency for Research and Development ARAID | And 2 more authors.
Journal of Agricultural Economics | Year: 2016

In the summer of 2014 Russia imposed a ban on most agri-food products from countries enforcing Ukraine-related sanctions against Russia. We use a specific factors computable general equilibrium (CGE) model to simulate the short-run impact of this retaliatory policy. The baseline is carefully designed to isolate the impacts of the ban on the European Union (EU), Russia itself and a selection of key trade partners. The modelling of the ban follows a novel approach, where it is treated as a loss of established trade preferences via reductions in consumer utility in the Armington import function. Not surprisingly, the results indicate that Russia bears the highest income loss (about €3.4 billion) while the EU recovers part of its lost trade through expansion of exports to other markets. An ex-post comparison between simulation results and observed trade data reveals the model predictions to be broadly accurate, thereby validating the robustness of the modelling approach. © 2016 The Agricultural Economics Society.


Philippidis G.,Aragonese Agency for Research and Development ARAID | Philippidis G.,Wageningen University | M'barek R.,European Commission | Ferrari E.,European Commission
Energies | Year: 2016

Taking a European Union focus, this paper explicitly models competing uses of biomass to quantify its contribution toward a sustainable low carbon model of economic growth. To this end, a state-of-the-art multisector multiregion modelling tool is combined with a specially developed bio-based variant of a well-known global database. Employing a decomposition method of the market drivers and classifying alternative future pathways, the aim is to understand how public policies can influence the apparent trade-off between the goals of lower carbon economic growth, environmental preservation and sustainable biomass usage. Results reveal that in targeting specific societal goals public policy can be effective, although this can lead to broader economic issues of resource inefficiency and even direct policy conflicts. © 2016 by the authors; licensee MDPI.


Over the last decade, much controversy has surrounded the usage of genetically modified organism (GMO) technology in commercial agriculture. More specifically, it is feared that GMOs may introduce new allergens into the food chain or contribute to antibiotic resistance. At the current time, the European Union (EU) adopts a zero tolerance policy toward «non-approved» GMO imports, whilst the approval process has not kept pace with the proliferation of new GMO varieties. In the EU livestock sectors, this apparent mis-match threatens to interrupt supplies of high protein feed inputs (e.g., soymeal) from countries with more relaxed regulations regarding GMOs. Employing a well known multi-region computable general equilibrium framework, this study quantitatively assesses the impact of a hypothetical EU import ban on unapproved GMO varieties of soybean and maize imports on livestock, meat and dairy sectors. The model code is heavily modified to improve the characterisation of the agricultural sectors and land usage, whilst a realistic baseline is employed to update the global database to 2008, the year the hypothetical ban is implemented. In the «worst case» scenario, there are significant competitive losses in EU livestock, meat and dairy sectors. In Spain, the negative impacts are particularly pronounced given the importance of pig production in agriculture. In contrast, all non-EU regions'trade balances improve, with notable trade gains in the USA and Brazil. To conclude, the EU must urgently find a long term strategy for GMOs if it is to reconcile political expediency with pragmatic economic concerns.

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