The European Food Safety Authority (Efsa) has concluded that neonicotinoids harm bees to the extent that an outright ban could be imposed. Clearly, we can conclude that the external costs of production, neonicotinoid is an insecticide used in farming, are so high that the socially optimal level of output is zero. Bees are important “as they pollinate three-quarters of all crops”. In recent years their numbers have plummeted and studies suggest that neonicotinoids are a significant cause. Expect any regulation or ban to increase costs to EU farmers. It will be interesting to see if the UK will adopt such measures, post-Brexit. If not, it could mean that British farmers see tariffs levied on any exports to the EU. I suspect, under current Environment Minister, Michael Gove, the UK will look to follow Efsa guidance.
Read the original Guardian article here.