The Effect of Product Standards on Agricultural Exports from Developing Countries

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...

Full description

Bibliographic Details
Main Authors:	Ferro, Esteban, Wilson, John S., Otsuki, Tsunehiro
Format:	Policy Research Working Paper
Language:	English en_US
Published:	World Bank, Washington, DC 2013
Subjects:	ACCORDS AGRICULTURAL COMMODITIES AGRICULTURAL ECONOMICS AGRICULTURAL PRODUCTS AGRICULTURAL TRADE AGRICULTURE APPLES AVOCADOS BANANAS BEEF BILATERAL TRADE BILATERAL TRADE DATA CA CARROTS CASHEW NUTS CEREALS COMPETITIVENESS CONFORMITY ASSESSMENTS CONSUMERS CURRENCY CURRENCY UNION DATES DEVELOPMENT POLICY DRIED FRUITS ECONOMIC POLICY ECONOMIC RESEARCH EGG ELASTICITY ELASTICITY OF SUBSTITUTION EUROPEAN UNION EXCHANGE RATES EXPORT COSTS EXPORT MARKETS EXPORTERS EXPORTING COUNTRIES EXPORTS EXTERNALITIES FIXED COST FIXED COSTS FOOD HYGIENE FOOD IMPORTS FOOD POLICY FOOD PRODUCTS FOOD SAFETY FOODS FOREIGN FIRMS FOREIGN MARKETS FOREIGN TRADE GDP GDP PER CAPITA GLOBAL INTEGRATION GLOBAL TRADE GRAPEFRUIT GRAVITY EQUATION GRAVITY MODEL GRAVITY VARIABLES GROUNDNUT GUAVAS IMPORT MARKETS IMPORT POLICIES IMPORT TARIFF IMPORTING COUNTRIES IMPORTING COUNTRY INCOME INCOME GROUPS INCREASING RETURNS INNOVATION INTERNATIONAL BANK INTERNATIONAL MARKETS INTERNATIONAL TRADE LDCS LEGAL REQUIREMENTS LEMONS LESS DEVELOPED COUNTRIES MACROECONOMICS MAIZE MANGOES MARGINAL EFFECTS MARKET SIZE MARKET STRUCTURE MILLS MONOPOLISTIC COMPETITION MULTILATERAL TRADE NUTS OATS ORANGES PEACHES PESTICIDE PESTICIDES POLICY MAKERS POLICY RESEARCH POTATOES PRODUCT DIFFERENTIATION PRODUCTION PROCESS PROTECTIONISM PUBLIC POLICY PURCHASING POWER REGIONAL TRADE REGIONAL TRADE AGREEMENTS RICE SAFETY SAFETY REGULATIONS SAFETY STANDARDS SOYA BEANS SPICES SPINACH SWEET POTATOES TANGERINES TARIFF DATA TARIFF RATE TECHNICAL BARRIERS TECHNICAL ECONOMICS TOMATOES TRADE BARRIERS TRADE BLOC TRADE BLOCS TRADE COSTS TRADE DATA TRADE DIVERSION TRADE DIVERSION EFFECT TRADE EFFECT TRADE FLOWS TRADE INTENSITY TRADE NEGOTIATIONS TRADE PATTERNS TRADE VALUES TRADE VOLUMES URUGUAY ROUND VALUE OF EXPORTS VALUE OF TRADE VARIABLE COSTS VEGETABLES WHEAT WORLD TRADE WTO emerging markets standards
Online Access:	http://documents.worldbank.org/curated/en/2013/06/17940296/effect-product-standards-agricultural-exports-developing-countries http://hdl.handle.net/10986/15878

id	okr-10986-15878
recordtype	oai_dc
spelling	okr-10986-158782021-04-23T14:03:26Z The Effect of Product Standards on Agricultural Exports from Developing Countries Ferro, Esteban Wilson, John S. Otsuki, Tsunehiro ACCORDS AGRICULTURAL COMMODITIES AGRICULTURAL ECONOMICS AGRICULTURAL PRODUCTS AGRICULTURAL TRADE AGRICULTURE APPLES AVOCADOS BANANAS BEEF BILATERAL TRADE BILATERAL TRADE DATA CA CARROTS CASHEW NUTS CEREALS COMPETITIVENESS CONFORMITY ASSESSMENTS CONSUMERS CURRENCY CURRENCY UNION DATES DEVELOPMENT POLICY DRIED FRUITS ECONOMIC POLICY ECONOMIC RESEARCH EGG ELASTICITY ELASTICITY OF SUBSTITUTION EUROPEAN UNION EXCHANGE RATES EXPORT COSTS EXPORT MARKETS EXPORTERS EXPORTING COUNTRIES EXPORTS EXTERNALITIES FIXED COST FIXED COSTS FOOD HYGIENE FOOD IMPORTS FOOD POLICY FOOD PRODUCTS FOOD SAFETY FOODS FOREIGN FIRMS FOREIGN MARKETS FOREIGN TRADE GDP GDP PER CAPITA GLOBAL INTEGRATION GLOBAL TRADE GRAPEFRUIT GRAVITY EQUATION GRAVITY MODEL GRAVITY VARIABLES GROUNDNUT GUAVAS IMPORT MARKETS IMPORT POLICIES IMPORT TARIFF IMPORTING COUNTRIES IMPORTING COUNTRY INCOME INCOME GROUPS INCREASING RETURNS INNOVATION INTERNATIONAL BANK INTERNATIONAL MARKETS INTERNATIONAL TRADE LDCS LEGAL REQUIREMENTS LEMONS LESS DEVELOPED COUNTRIES MACROECONOMICS MAIZE MANGOES MARGINAL EFFECTS MARKET SIZE MARKET STRUCTURE MILLS MONOPOLISTIC COMPETITION MULTILATERAL TRADE NUTS OATS ORANGES PEACHES PESTICIDE PESTICIDES POLICY MAKERS POLICY RESEARCH POTATOES PRODUCT DIFFERENTIATION PRODUCTION PROCESS PROTECTIONISM PUBLIC POLICY PURCHASING POWER REGIONAL TRADE REGIONAL TRADE AGREEMENTS RICE SAFETY SAFETY REGULATIONS SAFETY STANDARDS SOYA BEANS SPICES SPINACH SWEET POTATOES TANGERINES TARIFF DATA TARIFF RATE TECHNICAL BARRIERS TECHNICAL ECONOMICS TOMATOES TRADE BARRIERS TRADE BLOC TRADE BLOCS TRADE COSTS TRADE DATA TRADE DIVERSION TRADE DIVERSION EFFECT TRADE EFFECT TRADE FLOWS TRADE INTENSITY TRADE NEGOTIATIONS TRADE PATTERNS TRADE VALUES TRADE VOLUMES URUGUAY ROUND VALUE OF EXPORTS VALUE OF TRADE VARIABLE COSTS VEGETABLES WHEAT WORLD TRADE WTO emerging markets standards 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. 2013-09-26T18:46:20Z 2013-09-26T18:46:20Z 2013-06 http://documents.worldbank.org/curated/en/2013/06/17940296/effect-product-standards-agricultural-exports-developing-countries http://hdl.handle.net/10986/15878 English en_US Policy Research Working Paper;No. 6518 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Brazil China India Russian Federation South Africa
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	English en_US
topic	ACCORDS AGRICULTURAL COMMODITIES AGRICULTURAL ECONOMICS AGRICULTURAL PRODUCTS AGRICULTURAL TRADE AGRICULTURE APPLES AVOCADOS BANANAS BEEF BILATERAL TRADE BILATERAL TRADE DATA CA CARROTS CASHEW NUTS CEREALS COMPETITIVENESS CONFORMITY ASSESSMENTS CONSUMERS CURRENCY CURRENCY UNION DATES DEVELOPMENT POLICY DRIED FRUITS ECONOMIC POLICY ECONOMIC RESEARCH EGG ELASTICITY ELASTICITY OF SUBSTITUTION EUROPEAN UNION EXCHANGE RATES EXPORT COSTS EXPORT MARKETS EXPORTERS EXPORTING COUNTRIES EXPORTS EXTERNALITIES FIXED COST FIXED COSTS FOOD HYGIENE FOOD IMPORTS FOOD POLICY FOOD PRODUCTS FOOD SAFETY FOODS FOREIGN FIRMS FOREIGN MARKETS FOREIGN TRADE GDP GDP PER CAPITA GLOBAL INTEGRATION GLOBAL TRADE GRAPEFRUIT GRAVITY EQUATION GRAVITY MODEL GRAVITY VARIABLES GROUNDNUT GUAVAS IMPORT MARKETS IMPORT POLICIES IMPORT TARIFF IMPORTING COUNTRIES IMPORTING COUNTRY INCOME INCOME GROUPS INCREASING RETURNS INNOVATION INTERNATIONAL BANK INTERNATIONAL MARKETS INTERNATIONAL TRADE LDCS LEGAL REQUIREMENTS LEMONS LESS DEVELOPED COUNTRIES MACROECONOMICS MAIZE MANGOES MARGINAL EFFECTS MARKET SIZE MARKET STRUCTURE MILLS MONOPOLISTIC COMPETITION MULTILATERAL TRADE NUTS OATS ORANGES PEACHES PESTICIDE PESTICIDES POLICY MAKERS POLICY RESEARCH POTATOES PRODUCT DIFFERENTIATION PRODUCTION PROCESS PROTECTIONISM PUBLIC POLICY PURCHASING POWER REGIONAL TRADE REGIONAL TRADE AGREEMENTS RICE SAFETY SAFETY REGULATIONS SAFETY STANDARDS SOYA BEANS SPICES SPINACH SWEET POTATOES TANGERINES TARIFF DATA TARIFF RATE TECHNICAL BARRIERS TECHNICAL ECONOMICS TOMATOES TRADE BARRIERS TRADE BLOC TRADE BLOCS TRADE COSTS TRADE DATA TRADE DIVERSION TRADE DIVERSION EFFECT TRADE EFFECT TRADE FLOWS TRADE INTENSITY TRADE NEGOTIATIONS TRADE PATTERNS TRADE VALUES TRADE VOLUMES URUGUAY ROUND VALUE OF EXPORTS VALUE OF TRADE VARIABLE COSTS VEGETABLES WHEAT WORLD TRADE WTO emerging markets standards
spellingShingle	ACCORDS AGRICULTURAL COMMODITIES AGRICULTURAL ECONOMICS AGRICULTURAL PRODUCTS AGRICULTURAL TRADE AGRICULTURE APPLES AVOCADOS BANANAS BEEF BILATERAL TRADE BILATERAL TRADE DATA CA CARROTS CASHEW NUTS CEREALS COMPETITIVENESS CONFORMITY ASSESSMENTS CONSUMERS CURRENCY CURRENCY UNION DATES DEVELOPMENT POLICY DRIED FRUITS ECONOMIC POLICY ECONOMIC RESEARCH EGG ELASTICITY ELASTICITY OF SUBSTITUTION EUROPEAN UNION EXCHANGE RATES EXPORT COSTS EXPORT MARKETS EXPORTERS EXPORTING COUNTRIES EXPORTS EXTERNALITIES FIXED COST FIXED COSTS FOOD HYGIENE FOOD IMPORTS FOOD POLICY FOOD PRODUCTS FOOD SAFETY FOODS FOREIGN FIRMS FOREIGN MARKETS FOREIGN TRADE GDP GDP PER CAPITA GLOBAL INTEGRATION GLOBAL TRADE GRAPEFRUIT GRAVITY EQUATION GRAVITY MODEL GRAVITY VARIABLES GROUNDNUT GUAVAS IMPORT MARKETS IMPORT POLICIES IMPORT TARIFF IMPORTING COUNTRIES IMPORTING COUNTRY INCOME INCOME GROUPS INCREASING RETURNS INNOVATION INTERNATIONAL BANK INTERNATIONAL MARKETS INTERNATIONAL TRADE LDCS LEGAL REQUIREMENTS LEMONS LESS DEVELOPED COUNTRIES MACROECONOMICS MAIZE MANGOES MARGINAL EFFECTS MARKET SIZE MARKET STRUCTURE MILLS MONOPOLISTIC COMPETITION MULTILATERAL TRADE NUTS OATS ORANGES PEACHES PESTICIDE PESTICIDES POLICY MAKERS POLICY RESEARCH POTATOES PRODUCT DIFFERENTIATION PRODUCTION PROCESS PROTECTIONISM PUBLIC POLICY PURCHASING POWER REGIONAL TRADE REGIONAL TRADE AGREEMENTS RICE SAFETY SAFETY REGULATIONS SAFETY STANDARDS SOYA BEANS SPICES SPINACH SWEET POTATOES TANGERINES TARIFF DATA TARIFF RATE TECHNICAL BARRIERS TECHNICAL ECONOMICS TOMATOES TRADE BARRIERS TRADE BLOC TRADE BLOCS TRADE COSTS TRADE DATA TRADE DIVERSION TRADE DIVERSION EFFECT TRADE EFFECT TRADE FLOWS TRADE INTENSITY TRADE NEGOTIATIONS TRADE PATTERNS TRADE VALUES TRADE VOLUMES URUGUAY ROUND VALUE OF EXPORTS VALUE OF TRADE VARIABLE COSTS VEGETABLES WHEAT WORLD TRADE WTO emerging markets standards Ferro, Esteban Wilson, John S. Otsuki, Tsunehiro The Effect of Product Standards on Agricultural Exports from Developing Countries
geographic_facet	Brazil China India Russian Federation South Africa
relation	Policy Research Working Paper;No. 6518
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.
format	Publications & Research :: Policy Research Working Paper
author	Ferro, Esteban Wilson, John S. Otsuki, Tsunehiro
author_facet	Ferro, Esteban Wilson, John S. Otsuki, Tsunehiro
author_sort	Ferro, Esteban
title	The Effect of Product Standards on Agricultural Exports from Developing Countries
title_short	The Effect of Product Standards on Agricultural Exports from Developing Countries
title_full	The Effect of Product Standards on Agricultural Exports from Developing Countries
title_fullStr	The Effect of Product Standards on Agricultural Exports from Developing Countries
title_full_unstemmed	The Effect of Product Standards on Agricultural Exports from Developing Countries
title_sort	effect of product standards on agricultural exports from developing countries
publisher	World Bank, Washington, DC
publishDate	2013
url	http://documents.worldbank.org/curated/en/2013/06/17940296/effect-product-standards-agricultural-exports-developing-countries http://hdl.handle.net/10986/15878
_version_	1764431838115266560

The Effect of Product Standards on Agricultural Exports from Developing Countries

Similar Items