French Agriculture and Processed Foods in the Doha Round

We employ a model of the world economy to explore the impact of liberalization on French agriculture, including primary agriculture and the processed foods sector. Our baseline includes Agenda 2000 reforms and EU enlargement. Overall, the impact would be positive for France, and generally for Europe. The largest set of gains from agricultural liberalization follows from the elimination of remaining domestic support measures. Protection of cereals and cattle production has been at the expense of processed foods, horticulture, and intensive livestock production. Rationalization can hence give a significant competitive boost to some French agricultural and processed foods sectors.