The Cost of Climate Change to the German Fruit Vegetation Sector

Abstract

This paper applies the concept of damage coefficients introduced in Houba and Kremers (2008) to provide an estimate of the cost of climate change - in particular the cost of changes in mean regional temperature and precipitation - to the fruit vegetation sector. We concentrate on the production of apples in the German 'Alte Land' region. The estimated cost of climate change on apple-growing in the 'Alte Land' is dependent on the assumptions regarding developments in the rentability of land not related to climate change in the fruit sector.