The Economic Impact of Export Restrictions on Raw Materials

This publication presents a selection of papers discussed at the OECD Workshop on Raw Materials, held in Paris in October 2009. This workshop was organised in response to the growing concern on the use of export restrictions on raw materials, particularly by emerging economies.



Export restrictions on raw materials are applied to achieve a number of policy objectives. However, they can have a significant and negative impact on the efficient allocation of resources, international trade, and the competitiveness and development of industries in both exporting and importing countries. By diverting exports to domestic markets, export restrictions raise prices for foreign consumers and importers. At the same time, by reducing domestic prices in the applying countries and increasing global uncertainty concerning future prices, export restrictions negatively affect investment, thus potentially reducing the overall supply of raw materials in the long term. In view of existing alternative policy tools that have a different impact on trade, the effectiveness of export restrictions to achieve stated policy objectives should be carefully reviewed.

Table of Contents
Acronyms
Executive Summary
Chapter 1. Recent Trends in Export Restrictions on Raw Materials by Jeonghoi Kim
Chapter 2. The Economics of Export Taxes in the Context of Food Security by Antoine Bouët and David Laborde Debucquet
Chapter 3. Export Barriers and the Steel Industry by Alan H. Price and D. Scott Nance
Chapter 4. Export Restrictions on Strategic Raw Materials and Their Impact on Trade and Global Supply by Jane Korinek and Jeonghoi Kim
Chapter 5. The Economic Impact of Export Restraints on Russian Natural Gas and Raw Timber by David G. Tarr
Chapter 6. Increasing Demand for and Restricted Supply of Raw Materials by Gordon Peeling, Paul Stothart, Bill Toms and Neil Mcllveen