At the world level, labour and capital factor income of primary agricultural sectors would decrease by 1.7% if fertiliser and biofuel support policies were abolished in a low-energy-price environment, compared with 1.2% with the higher energy prices assumed for the reference case. At a regional level, the income effect is again most significant in the United States (-9.4% compared with -5.2% at higher energy prices). As stated before, however, a certain degree of imperfect competition could be assumed in fertiliser markets given its high degree of concentration.35 In this section we study whether the impact of abolition of fertiliser polices on production costs differs when there is imperfect competition.