publication . Article . 2011

A proposal to correct external effects in the coffee market: a tax on regular coffee and tea to subsidise the fair trade coffee

Ibon Galarraga; Anil Markandya;
Open Access
  • Published: 17 Oct 2011 Journal: Economía Agraria y Recursos Naturales, volume 6, page 145 (issn: 1578-0732, eissn: 2174-7350, Copyright policy)
  • Publisher: Asociacion Española de Economia Agraria
  • Country: Spain
Abstract
[EN] This paper justifies the need to introduce a tax on regular coffee drinkers in the UK to subsidise the fair trade/organic coffee production. This policy will allow to take full account of the negative external effect of regular coffee production while internalising the positive effect of fair trade initiatives. Designing such a policy is possible and the benefits of it can be calculated. This paper shows how. [ES] El presente artículo justifica la necesidad de introducir un impuesto sobre los consumidores de café y té en el Reino Unido para subvencionar la producción de café orgánico y de Comercio Justo. La propuesta permite corregir los efectos externos ne...
Subjects
free text keywords: Agricultural and Biological Sciences (miscellaneous), Geography, Planning and Development, General Environmental Science, coffee market, fair trade, International Relations/Trade, Q18, H23,, Mercado café, Mercado justo, Coffee market, International economics, Fair trade, business.industry, business, External effect, Development economics, Economics, Organic coffee, Fair trade coffee
Related Organizations

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15 All the WTO legal texts can be accessed at the following address: http://www.wto.org. 16 After several communications with WTO staff we have not been able to determine whether the policy is against WTO rules. The general impression has been, however, that this is not likely.

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