About the Project
The BATModel Project is composed of 16 organizations and research institutes from 11 EU countries that aim to participate in a four-year study to create better models of cross-border agricultural trade, thereby helping decision-makers reach better multilateral and regional agreements.
This project aims to fill the gaps in current modeling tools. Models to date can basically be divided into two groups: one uses a theoretical approach, while the other uses a data-driven approach. By combining the results of these two trends, new types of models can be created that will lead to more efficient trade agreements, both at the EU level and at the level of individual countries and even companies and will provide greater certainty and predictability for the cooperating parties.
“Next generation” trade agreements are not limited to changes in tariffs and tariff quotas and include elements such as growing consumer concerns about food quality and safety, or the enforceability of labor market considerations.”
Overall Concept
Economy-wide assessments of regional trade agreements often fall short of capturing the complexity of agri-food trade policies especially in the case of major structural changes (as market concentration and global value chain issues). “New generation” trade agreements include many aspects beyond traditional trade policies. Consumer concerns are increasing about food quality and safety, environmental implications, as well as ethical concerns about the way food is produced and its impact on poverty, job destruction and increasing inequality. BATModel will advance assessments of agri-food trade policies as follows:
1. by improving the theoretical underpinning and methodologies of partial and general equilibrium models in ex-ante trade assessments;
2. based on micro-level evidence, by improving our understanding and modelling of value chain to enable more precise impact assessments (gains and losses, between and within member states, between and within groups of agents);
3. by integrating econometric estimations into existing simulation models at micro- and macro-level, which will allow the analysis of extended welfare effects, like inclusiveness and sustainable development goals.
The core contribution will be the BATModel Modular Platform for agri-food trade modelling that will equip the analytical tools, in particular the simulation models currently used by the European Commission (EC), for the analysis of 21st-century agri-food trade issues. BATModel will provide a new modular generation of trade models to support the EC, policy-makers and other stakeholders to better account for specific issues such as non-tariff measures, geographical indications, zero trade flows, quality differentiation and global value chains. The BATModel Modular Platform will ensure long-term impact of the project. The dedicated BATModel Dissemination and Stakeholder Platform will ensure close interactions with stakeholders to provide and disseminate relevant trade policy analyses.
The aim of the project is to improve the assessment of trade policies with a focus on the agriculture and food sectors to better inform and improve policy design. To achieve this aim, the innovation-driven structure of BATModel will particularly stimulate collaboration among the community of European teams working on established simulation models and that of teams working econometrically on micro evidence concerning agent and firm heterogeneity trade models, hand in hand with end-users.
1. by improving the theoretical underpinning and methodologies of partial and general equilibrium models in ex-ante trade assessments;
2. based on micro-level evidence, by improving our understanding and modelling of value chain to enable more precise impact assessments (gains and losses, between and within member states, between and within groups of agents);
3. by integrating econometric estimations into existing simulation models at micro- and macro-level, which will allow the analysis of extended welfare effects, like inclusiveness and sustainable development goals.
The core contribution will be the BATModel Modular Platform for agri-food trade modelling that will equip the analytical tools, in particular the simulation models currently used by the European Commission (EC), for the analysis of 21st-century agri-food trade issues. BATModel will provide a new modular generation of trade models to support the EC, policy-makers and other stakeholders to better account for specific issues such as non-tariff measures, geographical indications, zero trade flows, quality differentiation and global value chains. The BATModel Modular Platform will ensure long-term impact of the project. The dedicated BATModel Dissemination and Stakeholder Platform will ensure close interactions with stakeholders to provide and disseminate relevant trade policy analyses.
The aim of the project is to improve the assessment of trade policies with a focus on the agriculture and food sectors to better inform and improve policy design. To achieve this aim, the innovation-driven structure of BATModel will particularly stimulate collaboration among the community of European teams working on established simulation models and that of teams working econometrically on micro evidence concerning agent and firm heterogeneity trade models, hand in hand with end-users.
