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Should Zambia Produce Biodiesel from Soybeans? Some Insights from an Empirical Analysis

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dc.contributor.authorde Gorter, Harry
dc.contributor.authorDrabik, Dusan
dc.contributor.authorTimilsina, Govinda R.
dc.date.accessioned2013-09-26T15:42:54Z
dc.date.available2013-09-26T15:42:54Z
dc.date.issued2013-06
dc.description.abstractFacing a huge fiscal burden due to imports of entire petroleum despite the availability of a surplus of agricultural land to produce biofuels, Zambia, a country in Sub-Saharan Africa, has recently introduced a biofuel mandate. But, a number of questions, particularly those related to the economics of biofuels, have not been fully investigated yet. Using an empirical model this study analyzes the economics of meeting the biodiesel mandate through soybean feedstock. The study finds that meeting the biodiesel mandate with biodiesel from soybeans would reduce social welfare because the country's soybean imports would cost more than the expected reduction in petroleum imports. However, if Zambia increases its domestic soybean supply along with its capacity to convert soybean to biodiesel, as well as oil yield, soybean based biodiesel is likely to be welfare-beneficial, even if biodiesel prices are above diesel prices. The study also finds that under current market prices and transportation costs and constraints, the same amount of biodiesel can be produced most cost-effectively with a tax exemption. A blend mandate would be less cost effective, while a biodiesel production subsidy represents the least efficient policy option.en
dc.identifierhttp://documents.worldbank.org/curated/en/2013/06/17913854/zambia-produce-biodiesel-soybeans-some-insights-empirical-analysis
dc.identifier.doi10.1596/1813-9450-6498
dc.identifier.urihttps://hdl.handle.net/10986/15857
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper;No. 6498
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectAGRICULTURE
dc.subjectAIR POLLUTION
dc.subjectAVAILABILITY
dc.subjectBALANCE
dc.subjectBIODIESEL
dc.subjectBIOFUEL
dc.subjectBIOFUELS
dc.subjectBIOFUELS INDUSTRY
dc.subjectCARBON OFFSETS
dc.subjectCHARCOAL
dc.subjectCLIMATIC CONDITIONS
dc.subjectCOMMODITIES
dc.subjectCOMMODITY
dc.subjectCOMMODITY PRICES
dc.subjectCONSUMER FUEL
dc.subjectCONSUMER PRICE
dc.subjectCONSUMER SURPLUS
dc.subjectCONSUMERS
dc.subjectCROP
dc.subjectDEFORESTATION
dc.subjectDEMAND ELASTICITY
dc.subjectDEMAND FOR GASOLINE
dc.subjectDEVELOPING COUNTRIES
dc.subjectDEVELOPING COUNTRY
dc.subjectDEVELOPMENT AGENCY
dc.subjectDEVELOPMENT POLICY
dc.subjectDIESEL
dc.subjectDIESEL CONSUMPTION
dc.subjectDIESEL FUEL
dc.subjectDIESEL FUEL CONSUMPTION
dc.subjectDOMESTIC MARKET
dc.subjectDOMESTIC PRICE
dc.subjectDOMESTIC PRICES
dc.subjectENERGY DEMAND
dc.subjectENERGY ECONOMICS
dc.subjectENERGY NEEDS
dc.subjectENERGY POLICIES
dc.subjectENERGY SECTOR
dc.subjectENVIRONMENTAL PROTECTION
dc.subjectETHANOL
dc.subjectEXPENDITURES
dc.subjectEXTERNALITIES
dc.subjectFEEDSTOCK
dc.subjectFEEDSTOCKS
dc.subjectFINANCIAL SUPPORT
dc.subjectFIXED SHARE
dc.subjectFOREIGN EXCHANGE
dc.subjectFOSSIL
dc.subjectFUEL
dc.subjectFUEL CONSUMPTION
dc.subjectFUEL COST
dc.subjectFUEL DEMAND
dc.subjectFUEL MARKET
dc.subjectFUEL PRICE
dc.subjectFUEL PUMP
dc.subjectFUEL TAX
dc.subjectFUEL WOOD
dc.subjectGOVERNMENT INTERVENTION
dc.subjectGRAIN PRICES
dc.subjectHYDROPOWER
dc.subjectIMPORTS OF PETROLEUM
dc.subjectINTERNATIONAL MARKETS
dc.subjectJATROPHA
dc.subjectMARGINAL REVENUE
dc.subjectMARKET CONDITIONS
dc.subjectMARKET DEMAND
dc.subjectMARKET DEVELOPMENT
dc.subjectMARKET EQUILIBRIUM
dc.subjectMARKET PRICE
dc.subjectMARKET PRICES
dc.subjectMARKETING
dc.subjectNATIONAL ENERGY POLICY
dc.subjectNET EXPORTS
dc.subjectOIL
dc.subjectOIL EXPORTS
dc.subjectOIL EXTRACTION
dc.subjectOIL IMPORTS
dc.subjectOIL PRICE
dc.subjectOIL PRICES
dc.subjectOIL PRODUCTION
dc.subjectOIL YIELD
dc.subjectOPEN ECONOMY
dc.subjectOPPORTUNITY COST
dc.subjectOPPORTUNITY COSTS
dc.subjectPETROLEUM
dc.subjectPETROLEUM DEMAND
dc.subjectPETROLEUM IMPORTS
dc.subjectPETROLEUM PRODUCTS
dc.subjectPOSITIVE EFFECTS
dc.subjectPRICE DECREASES
dc.subjectPRICE ELASTICITY
dc.subjectPRICES OF FUELS
dc.subjectPRODUCTION COSTS
dc.subjectPURCHASING
dc.subjectRETAIL
dc.subjectRETAIL PRICE
dc.subjectSMALL COUNTRY
dc.subjectSOYBEAN MEAL
dc.subjectSOYBEAN OIL
dc.subjectSOYBEAN PRODUCERS
dc.subjectSOYBEAN PRODUCTION
dc.subjectSOYBEANS
dc.subjectSUBSTITUTION
dc.subjectSUGAR
dc.subjectSUGARCANE
dc.subjectSUPPLIERS
dc.subjectSUPPLY CURVE
dc.subjectSUPPLY CURVES
dc.subjectSUPPLY ELASTICITY
dc.subjectSURPLUS
dc.subjectTAX CREDIT
dc.subjectTAX EXEMPTION
dc.subjectTAX REVENUE
dc.subjectTAX REVENUES
dc.subjectTAXATION
dc.subjectTRADE BALANCE
dc.subjectTRADE BARRIERS
dc.subjectWELFARE ECONOMICS
dc.subjectWORLD MARKET
dc.subjectWORLD MARKETS
dc.titleShould Zambia Produce Biodiesel from Soybeans? Some Insights from an Empirical Analysisen
dspace.entity.typePublication
okr.crossref.titleShould Zambia Produce Biodiesel from Soybeans? Some Insights from an Empirical Analysis
okr.date.disclosure2013-06-07
okr.date.doiregistration2025-04-10T09:17:18.163157Z
okr.doctypePublications & Research::Policy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/2013/06/17913854/zambia-produce-biodiesel-soybeans-some-insights-empirical-analysis
okr.globalpracticeMacroeconomics and Fiscal Management
okr.globalpracticeFinance and Markets
okr.globalpracticeTrade and Competitiveness
okr.globalpracticeEnergy and Extractives
okr.guid347511468179961517
okr.identifier.doi10.1596/1813-9450-6498
okr.identifier.externaldocumentum000158349_20130624155223
okr.identifier.internaldocumentum17913854
okr.identifier.reportWPS6498
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2013/06/24/000158349_20130624155223/Rendered/PDF/WPS6498.pdfen
okr.region.administrativeAfrica
okr.region.countryZambia
okr.sectorAgriculture, fishing, and forestry :: Crops
okr.sectorEnergy and mining :: Renewable energy
okr.themeRural development :: Other rural development
okr.themeEnvironment and natural resources management :: Climate change
okr.topicEnergy::Renewable Energy
okr.topicMacroeconomics and Economic Growth::Markets and Market Access
okr.topicPrivate Sector Development::Emerging Markets
okr.topicEconomic Theory and Research
okr.topicEnergy::Energy Production and Transportation
okr.unitEnvironment and Energy Team, Development Research Group
okr.volume1 of 1
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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