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Sugarcane-based ethanol: production possibilities and trade implications for caribbean countries

Thesis/Dissertation ·
OSTI ID:7242405
This study assesses the feasibility of producing and exporting fuel grade ethanol from two Caribbean countries, Jamaica and the Dominican Republic. Ethanol is produced from sugarcane by replacing current sugar production and exports, or by substituting increased sugarcane production for other domestic crops. Impacts on regional agricultural production, resource use and foreign trade are examined using a regional linear programming model. Principle findings are: (1) there are losses in export revenue when exports of ethanol replace sugar now shipped to the US and EEC quota markets; (2) there are higher export earnings when production and exports of ethanol replace previously exported molasses and sugar to the world market; (3) neither Jamaica nor the Dominican Republic have a comparative advantage vis-a-vis the US in feedgrain production; (4) expanding sugarcane area on pasture land for production and export of ethanol has a positive impact on employment and foreign exchange earnings; (5) increases in population reduce net foreign exchange earnings by inducing higher import expenditures for Jamaica and reducing exports from the Dominican Republic; and (6) changes in energy prices affect petroleum prices, production and transport costs, and comparative advantage, which together have opposite impacts on net foreign exchange earnings for Jamaica and the Dominican Republic.
Research Organization:
Ohio State Univ., Columbus (USA)
OSTI ID:
7242405
Country of Publication:
United States
Language:
English

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