GTAP Resources: Resource Display
| GTAP Resource #4387 |
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"Standards and Food Exports in a South - North Trade: Evidence from the ‘Hurdles to Pass’ for High-Value Products" by Kareem, Olayinka Idowu Abstract The continuous reduction in tariffs due to trade negotiations and agreements among trading partners have brought into fore the importance of the use of non-tariff measures (NTMs) in regulating the flow of trade. Technical barriers to trade such as technical regulations stand out among other NTMs because of its importance and its ability to be used for trade protectionism and enhancement of trade flows. To many developing countries, technical regulations are trade restrictive such that it added to the series of costs faced by their exporters, which in fact can almost double the trade barriers effects imposed by tariffs for some products. This has implication for developing countries’ export earnings, income and the quest for sustainable development. In reality, there are many standard requirements before a product could access any market. Most of the studies in this area often used single standard, however, this study departs from these previous studies by considering all the applicable standards for the selected products, which is called the ‘hurdles to pass’ (HTP) prior to accessing the EU market. To this end, this study investigates the impact of EU standard requirements on Africa’s food exports. A two – stage Heckman gravity model specification was adopted using mostly unexploited standards data from the Perinom database. Two high value commodities were selected, fish and vegetable, at HS-6 digit level. The findings show that standards in fish are trade inhibiting at the extensive margin but trade enhancing at the intensive margins of exports, however, standards at the extensive margins of vegetable export are trade enhancing, while trade inhibiting at the intensive margins. Therefore, I conclude that the impact of standards on trade is product-specific. Thus, as a matter of importance, Africa’s agricultural policy agenda must include partnership with international institutions in order to support and assist in improving technology for standards compliance. |
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- Domestic policy analysis - Non-Tariff barriers - Africa (Central) - Africa (East) - Africa (North) - Africa (Southern) - Africa (West) |
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Public Access  GTAP Resource 4387 (494.9 KB) Replicated: 0 time(s)Restricted Access No documents have been attached. Special Instructions No instructions have been specified. |
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Last Modified: 9/15/2023 2:05:45 PM
