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Spatial price dynamics in the EU F&V sector: the cases of tomato and cauliflower

Santeramo, Fabio Gaetano and Cioffi, Antonio (2010): Spatial price dynamics in the EU F&V sector: the cases of tomato and cauliflower.

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The paper explores the characteristics of spatial price dynamics for fresh vegetables. The analysis is carried out on selected EU prices for tomatoes and cauliflowers collected on some of the main production and consumption markets. It is based on the estimation of an time-varying threshold autoregressive econometric specification that is shown capable to underline the asymmetries in inter-Countries price transmission. The model shows that that horizontal price transmissions among net producer and net consumer markets is asymmetric and how such characteristic differs for markets closer to production areas or to consumption locations. This paper allowed to assess the average elapsing time for shocks to be transmitted among spatially separated markets, and, in particular, it shows the speed of transmission of price raises and price falls.

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