Sector- and economy-wide effects of terminating the use of anti-microbial growth promoters in Denmark

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Lars-Bo Jacobsen, Hans Grinsted Jensen, Lartey Lawson

In Denmark the poultry industry and the National Committee for Pig Production, together with the feedstuff industry, decided to voluntarily abolish the use of all Anti-microbial Growth Promoters (AGP). The poultry industry abolished the use of AGP 15th of February 1998 and the pig industry followed 1st of March 1998 (for pigs over 35 kg) and 1st of January 2000 (for pigs under 35 kg). To evaluate the effects of the removal of AGP, data from both the poultry and pig industries were collected prior to and after the removal of AGP from animal feed. Utilizing these production data, this paper calculates economy-wide effects of the removal of AGP using the Agricultural Applied General Equilibrium (AAGE) model of the Danish economy. The results show that the long-term effects are a moderate decline in the production and export of pig meat, and a positive indirect effect on other industries including poultry due to lower rental rates for primary factor inputs. The overall implication is a small decline in real GDP of 0.03%, reducing public and private consumption by 68 DKK per capita per year in Denmark.
Original languageEnglish
JournalActa Agriculturæ Scandinavica C - Food Economics
Volume3
Issue number1
Pages (from-to)1-11
Number of pages11
ISSN1650-7541
DOIs
Publication statusPublished - 2006

    Research areas

  • LIFE - Anti-microbial Growth Promoters, Poultry industry, Pig industry, Danish economy

ID: 8018420