The Effect of Product Standards on Agricultural Exports from Developing Countries PDF Download
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Author: Esteban Ferro
Publisher:
ISBN:
Category :
Languages : en
Pages : 29
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Book Description
The authors create a standards restrictiveness index using newly available data on maximum residue levels of pesticides for 61 importing countries. The paper analyzes the impact that food safety standards have on international trade of agricultural products. The findings suggest that more restrictive standards are associated, on average, with a lower probability of observing trade. However, after controlling for sample selection and the proportion of exporting firms in a gravity model, the analysis finds that the effect of standards on trade intensity is indistinguishable from zero. This is consistent with the assumption that meeting stringent standards increases primarily the fixed costs of exporting. Once firms enter the market, however, standards do not impact the level of exports. The analysis also finds a greater marginal effect of BRICS (Brazil, Russia, India, China, and South Africa) standards on the probability of trade, relative to other countries' standards, keeping in mind however that on average BRICS standards are less restrictive. The analysis also suggests that exporters in low-income countries are more adversely affected by stricter standards.
Author: Esteban Ferro
Publisher:
ISBN:
Category :
Languages : en
Pages : 29
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Book Description
The authors create a standards restrictiveness index using newly available data on maximum residue levels of pesticides for 61 importing countries. The paper analyzes the impact that food safety standards have on international trade of agricultural products. The findings suggest that more restrictive standards are associated, on average, with a lower probability of observing trade. However, after controlling for sample selection and the proportion of exporting firms in a gravity model, the analysis finds that the effect of standards on trade intensity is indistinguishable from zero. This is consistent with the assumption that meeting stringent standards increases primarily the fixed costs of exporting. Once firms enter the market, however, standards do not impact the level of exports. The analysis also finds a greater marginal effect of BRICS (Brazil, Russia, India, China, and South Africa) standards on the probability of trade, relative to other countries' standards, keeping in mind however that on average BRICS standards are less restrictive. The analysis also suggests that exporters in low-income countries are more adversely affected by stricter standards.
Author: Esteban Ferro
Publisher:
ISBN:
Category : Electronic book
Languages : en
Pages :
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Book Description
Author: M. Ataman Aksoy
Publisher: World Bank Publications
ISBN: 0821383493
Category : Business & Economics
Languages : en
Pages : 352
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Book Description
Global Agricultural Trade and Developing Countries presents research findings based on a series of commodity studies of significant economic importance to developing countries. The book sets the stage with background chapters and investigations of cross-cutting issues. It then describes trade and domestic policy regimes affecting agricultural and food markets, and assesses the resulting patterns of production and trade. The book continues with an analysis of product standards and costs of compliance and their effects on agricultural and food trade. The book also investigates the impact of preferences given to selected countries and their effectiveness, then reviews the evidence on the attempts to decouple agricultural support from agricultural output. The last background chapter explores the robustness of the global gains of multilateral agricultural and food trade liberalization. Given this context, the book presents detailed commodity studies for coffee, cotton, dairy, fruits and vegetables, groundnuts, rice, seafood products, sugar, and wheat. These markets feature distorted policy regimes among industrial or middle-income countries. The studies analyze current policy regimes in key producing and consuming countries, document the magnitude of these distortions and estimate the distributional impacts - winners and losers - of trade and domestic policy reforms. By bringing the key issues and findings together in one place, Global Agricultural Trade and Developing Countries aids policy makers and researchers, both in their approach to global negotiations and in evaluating their domestic policies on agriculture. The book also complements the recently published Agriculture and the WTO, which focuses primarily on the agricultural issues within the context of the WTO negotiations.
Author: Steven Jaffee
Publisher:
ISBN:
Category :
Languages : en
Pages : 44
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Book Description
The proliferation and increased stringency of food safety and agricultural health standards is a source of concern among many developing countries. These standards are perceived as a barrier to the continued success of their exports of high-value agro-food products (including fish, horticultural, and other products), either because these countries lack the technical and administrative capacities needed for compliance or because these standards can be applied in a discriminatory or protectionist manner. Jaffee and Henson draw on available literature and work in progress to examine the underlying evidence related to the changing standards environment and its impact on existing and potential developing country exporters of high-value agricultural and food products. The evidence the authors present, while only partial, suggests that the picture for developing countries as a whole is not necessarily problematic and certainly less pessimistic than the mainstream standards-as-barriers perspective. Indeed, rising standards serve to accentuate underlying supply chain strengths and weaknesses and thus impact differently on the competitive position of individual countries and distinct market participants. Some countries and industries are even using high quality and safety standards to successfully (re-)position themselves in competitive global markets. This emphasizes the importance of considering the effects of food safety and agricultural health measures within the context of wider capacity constraints and underlying supply chain trends and drivers. The key question for developing countries is how to exploit their strengths and overcome their weaknesses such that they are gainers rather than losers in the emerging commercial and regulatory context.This paper - a product of the International Trade Department, Poverty Reduction and Economic Management Network - is part of a larger effort in the network to understand the challenges and opportunities facing developing countries associated with evolving international standards for food and other products.
Author: Steven Jaffee
Publisher: World Bank Publications
ISBN:
Category : Food
Languages : en
Pages : 44
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Book Description
The proliferation and increased stringency of food safety and agricultural health standards is a source of concern among many developing countries. These standards are perceived as a barrier to the continued success of their exports of high-value agro-food products (including fish, horticultural, and other products), either because these countries lack the technical and administrative capacities needed for compliance or because these standards can be applied in a discriminatory or protectionist manner. Jaffee and Henson draw on available literature and work in progress to examine the underlying evidence related to the changing standards environment and its impact on existing and potential developing country exporters of high-value agricultural and food products. The evidence the authors present, while only partial, suggests that the picture for developing countries as a whole is not necessarily problematic and certainly less pessimistic than the mainstream "standards-as-barriers" perspective. Indeed, rising standards serve to accentuate underlying supply chain strengths and weaknesses and thus impact differently on the competitive position of individual countries and distinct market participants. Some countries and industries are even using high quality and safety standards to successfully (re- )position themselves in competitive global markets. This emphasizes the importance of considering the effects of food safety and agricultural health measures within the context of wider capacity constraints and underlying supply chain trends and drivers. The key question for developing countries is how to exploit their strengths and overcome their weaknesses such that they are gainers rather than losers in the emerging commercial and regulatory context. This paper--a product of the International Trade Department, Poverty Reduction and Economic Management Network--is part of a larger effort in the network to understand the challenges and opportunities facing developing countries associated with evolving international standards for food and other products.
Author: Abdelhakim Hammoudi
Publisher: Springer
ISBN: 3319152270
Category : Business & Economics
Languages : en
Pages : 254
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Book Description
This book provides an economic perspective on the effects of food safety standards on international trade. Focusing on food safety regulation at an international level and private food safety standards, the authors use contemporary methodologies to analyze supply chain structures and organization as well as food-chain actors’ strategies. They also evaluate the effects of these on both consumer health and developing countries’ access to international markets. The book provides ideas, suggestions and policy recommendations for reconciling economic interests with consumer health, which will be of special interest to academics as well as to practitioners.
Author: Steven Jaffee
Publisher:
ISBN:
Category :
Languages : en
Pages :
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Book Description
The proliferation and increased stringency of food safety and agricultural health standards is a source of concern among many developing countries. These standards are perceived as a barrier to the continued success of their exports of high-value agro-food products (including fish, horticultural, and other products), either because these countries lack the technical and administrative capacities needed for compliance or because these standards can be applied in a discriminatory or protectionist manner. The authors draw on available literature and work in progress to examine the underlying evidence related to the changing standards environment and its impact on existing and potential developing country exporters of high-value agricultural and food products. The evidence the authors present, while only partial, suggests that the picture for developing countries as a whole is not necessarily problematic and certainly less pessimistic than the mainstream "standards-as-barriers" perspective. Indeed, rising standards serve to accentuate underlying supply chain strengths and weaknesses and thus impact differently on the competitive position of individual countries and distinct market participants. Some countries and industries are even using high quality and safety standards to successfully (re-)position themselves in competitive global markets. This emphasizes the importance of considering the effects of food safety and agricultural health measures within the context of wider capacity constraints and underlying supply chain trends and drivers. The key question for developing countries is how to exploit their strengths and overcome their weaknesses such that they are gainers rather than losers in the emerging commercial and regulatory context.
Author: Tsunehiro Otsuki
Publisher:
ISBN:
Category :
Languages : en
Pages : 34
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Book Description
How food safety is addressed in the world trade system is critical for developing countries that continue to rely on agricultural exports. An analysis shows that adopting a worldwide standard for a toxin affecting nuts and grains could increase trade in these commodities by $38 billion compared with levels under today's widely divergent national standards. Food safety standards and the tradeoff between these standards and agricultural export growth are at the forefront of the trade policy debate. How food safety is addressed in the world trade system is critical for developing countries that continue to rely on agricultural exports. In a fragmented system of conflicting national food safety standards and no globally accepted standards, export prospects for the least developed countries can be severely limited.Wilson and Otsuki examine the impact that adopting international food safety standards and harmonizing standards would have on global food trade patterns. They estimate the effect of aflatoxin standards in 15 importing countries (including 4 developing countries) on exports from 31 countries (21 of them developing). Aflatoxin is a natural substance that can contaminate certain nuts and grains when storage and drying facilities are inadequate.The analysis shows that adopting a worldwide standard for aflatoxin B1 (potentially the most toxic of aflatoxins) based on current international guidelines would increase nut and cereal trade among the countries studied by $6.1 billion compared with 1998 levels. This harmonization of standards would increase world exports by $38.8 billion.This paper - a product of Trade, Development Research Group - is part of a larger effort in the group to expand empirical and policy understanding of the link between trade, development, and standards. The authors may be contacted at
[email protected] or
[email protected].
Author: United States. National Advisory Commission on Food and Fiber
Publisher:
ISBN:
Category : Agriculture and state
Languages : en
Pages : 284
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Book Description
Author: Ana M. Fernandes
Publisher:
ISBN:
Category :
Languages : en
Pages : 42
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Book Description
\The paper estimates the effect of product standards on firms' export decisions using two novel datasets. The first covers all exporting firms in 42 developing countries. The second covers pesticide standards for 243 agricultural and food products in 63 importing countries over 2006-12. The analysis shows that product standards significantly affect foreign market access. More restrictive standards in the importing country, relative to the exporting country, lower firms' probability of exporting as well as their export values and quantities. The relative restrictiveness of standards also deters exporting firms from entering new markets and leads to higher exit rates from those markets. Moreover, firm characteristics mediate the effect of product standards on firms' export decisions. Smaller exporters are more negatively affected in their market entry and exit decisions by the relative stringency of standards than larger exporters. Positive network effects of exporters from the same country may help reduce the burden of importing countries' standards on firms' decisions to enter new markets.
