Russian Food Import Ban – Impacts on Rural and Regional Development in Finland

Hyytiä, Nina

doi:10.2478/euco-2020-0027

Cited by 3 publications

(3 citation statements)

References 23 publications

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“…The structural breaks are detected for 3 out of 5 product groups in the time series of Latvian and Lithuanian trade rebalancing coefficients. The Chow test results correspond to results presented by other researchers (Havlik, 2014;Oja, 2015;Hagemejer, 2017;Korhonen et al, 2018;Hyytiä, 2020), as these results confirm the distribution and magnitude of the import ban impact on the trade of Finland, Poland and the Baltic countries. At the same time, the results of the Chow test reveal additional findings.…”

Section: Resultssupporting

confidence: 88%

“…However, the Finnish food trade experienced a major challenge due to the Russian food import embargo. Prior to the Ukrainian crisis, Russian-bound exports accounted for one-third of Finland's agricultural and food exports, but this figure dropped to 8.6% in 2015 (Hyytiä, 2020). As a result of the Russian embargo, the value of Lithuania's agricultural exports experienced a significant decrease in 2014-2015.…”

Section: Introductionmentioning

confidence: 99%

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Rebalancing agri-food trade flows due to Russian import ban: the case of direct neighbors

Krivko,

Czech,

Wielechowski

et al. 2024

Front. Sustain. Food Syst.

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In recent years, research on trade rebalancing in agri-food supply chains has gained prominence due to trade sanctions, supply chain disruptions, and vulnerabilities exposed by pandemics and conflicts. This study focuses on the recalibration of agri-food trade dynamics, using the 2014 Russian import ban as a case study. The ban significantly altered the structure of agri-food export destinations for affected countries, particularly those sharing a border with Russia (e.g., Poland, Finland, Estonia, Latvia, Lithuania). Employing a cross-section regression model and structural break tests, we assess the trade rebalancing process. Our findings reveal short-term trade rebalancing effects, primarily observed in product groups not traditionally considered main trade specializations. There is evidence that significant part of the lost trade was redirected to EU28 or EAEU countries and end up in the common trade areas of these countries. Furthermore, we argue that the Russian import ban initiated a long-term structural shift in export patterns for non-traditionally traded banned products, while rebalancing for traditionally traded products was significantly quicker.

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Section: Resultssupporting

confidence: 88%

Section: Introductionmentioning

confidence: 99%

Rebalancing agri-food trade flows due to Russian import ban: the case of direct neighbors

Krivko,

Czech,

Wielechowski

et al. 2024

Front. Sustain. Food Syst.

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show abstract

“…In terms of regional GDP level, the input-output table from 2008 is not detrimental, because an economic recession after 2008 lowered Finnish GDP so that the 2008 GDP level was not reached until 2019 [62]. Even if there are minor inaccuracies in the division of the GDP among regional industries between 2008 and the more recent data sources, the same industries remained important [63].…”

Section: Social Accounting Matrixmentioning

confidence: 99%

The Economic and Welfare Effects of Food Waste Reduction on a Food-Production-Driven Rural Region

Friman

Hyytiä

2022

Sustainability

Self Cite

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Food waste is economically and ecologically unsustainable; the benefits of food waste reduction are indisputable. Yet knowledge of the economic trade-offs and knock-on effects of such reduction is deficient. This study examines the economic effects of food waste reduction in a rural region that is a nationally important producer of agricultural and food products in Finland. We built a detailed social accounting matrix to trace the transactions among the economic agents. Five different simulations of food waste reduction were run by applying a computable general equilibrium model. In the simulations, households and food services halved their food waste. The results indicated that food waste reduction is economically worthwhile in terms of regional investments and gross domestic product at market prices. However, the reduction induced economic trade-offs and welfare redistribution. The value added to the agriculture and food industries and the welfare of agricultural households decreased, albeit that the simulated compensations alleviated the effects. In the long run, falling agricultural wages and factor incomes entail closedowns and, finally, decrease local food production. This aspect is worth considering in terms of policy planning under the principle of just transition of the European Green Deal.

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Importance of trade dependencies for agricultural inputs: a case study of Finland

Lehikoinen¹,

Kinnunen²,

Piipponen³

et al. 2021

Environ. Res. Commun.

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Approximately 80% of the world's population lives in countries that are dependent on food imports to sustain an adequate food supply. Besides these food imports, further dependencies also arise due to the requirements for agricultural inputs, including energy, fertilisers, feed and agricultural machinery. While the trade of agricultural inputs is relatively well represented in economic analysis, the quantification is often in terms of monetary values, and thus the assessments of the actual input quantities are very limited. In this paper, we develop a framework for analysis of the traded input quantities at the country-level and demonstrate its utility through an in-depth analysis of Finland's dependency on agricultural inputs. Further, we assess the importance of these inputs for domestic food production from a resilience perspective. We find that Finland, a country with relatively high food self-sufficiency but also a great dependency on imported agricultural inputs, experienced an increase in its dependency over the period 1996-2016. In case of trading partners, the story is more mixed: while trading partners for soybeans increased, those decreased in case of electricity while no significant change was observed in other commodities. In Finland, the rapeseed dependency on imports (ratio of net imports and consumption) grew from around 0% to almost 50% between the years 1987-2013. Changes for electricity remained substantially smaller, with dependency only slightly growing during the study period. Crude oil and soybean supplies are totally dependent on imports as neither is produced in Finland. Interestingly, the highest dependencies for agricultural inputs were on different countries than that for foodstuff imports. Thus, when identifying and assessing approaches to increase resilience to trade-related shocks, it is essential to understand both foodstuff and agricultural input dependencies within the global food system.

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Russian Food Import Ban – Impacts on Rural and Regional Development in Finland

Cited by 3 publications

References 23 publications

Rebalancing agri-food trade flows due to Russian import ban: the case of direct neighbors

Rebalancing agri-food trade flows due to Russian import ban: the case of direct neighbors

The Economic and Welfare Effects of Food Waste Reduction on a Food-Production-Driven Rural Region

Importance of trade dependencies for agricultural inputs: a case study of Finland

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