IDEAS home Printed from https://ideas.repec.org/a/ags/agreko/10125.html
   My bibliography  Save this article

Quantifying the impact of phytosanitary standards with specific reference to MRLs on the trade flow of South African avocados to the EU

Author

Listed:
  • Scheepers, S.
  • Jooste, Andre
  • Alemu, Zerihun Gudeta

Abstract

In this study a gravity model was used to investigate the impact of country specific MRLs that are more stringent than the MRLs set by CODEX on avocado exports by South Africa to the EU with specific reference to Prochloraz. The results revealed that the more stringent Prochloraz MRLs indeed have an impact on avocado exports to the EU. The simulation results show that the revenue foregone due to the more stringent Prochloraz MRLs is US$15.27 million. In relative terms this is significant, and should the Prochloraz MRLs be relaxed to the CODEX levels the contribution of the avocado industry to the gross domestic value of agricultural products would increase significantly. Furthermore, several studies have revealed the potentially negative impacts of abnormal levels of Prochloraz. The question arises why there are anomalies in the application of Prochloraz MRLs between countries and whether the CODEX MRL already account for these negative impacts. In depth analysis should be done with respect to the anomalies prevailing for Prochloraz MRLs to provide a proper scientific basis for applying them. Other recommendations are that much more attention should be given to the development of the national market for avocados and that other markets than the EU market should be explored for exports.

Suggested Citation

  • Scheepers, S. & Jooste, Andre & Alemu, Zerihun Gudeta, 2007. "Quantifying the impact of phytosanitary standards with specific reference to MRLs on the trade flow of South African avocados to the EU," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 46(2), pages 1-14, June.
    • Handle: RePEc:ags:agreko:10125
    DOI: 10.22004/ag.econ.10125
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/10125/files/46020260.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.10125?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Bergstrand, Jeffrey H, 1985. "The Gravity Equation in International Trade: Some Microeconomic Foundations and Empirical Evidence," The Review of Economics and Statistics, MIT Press, vol. 67(3), pages 474-481, August.
    2. Alan V. Deardorff, 1984. "An Exposition and Exploration of Krueger's Trade Model," Canadian Journal of Economics, Canadian Economics Association, vol. 17(4), pages 731-746, November.
    3. Taha, Fawzi A., 2004. "Impact Of Sanitary And Phyto-Sanitary Agreements On World Trade Of Poultry, And Poultry Products," 2004 Annual meeting, August 1-4, Denver, CO 20037, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    4. Grote, Ulrike & Sartorius von Bach, Helmke, 1994. "Research Note: An Investigation Of Avocado Trading In Europe," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 33(3), September.
    5. Otsuki, Tsunehiro & Wilson, John S. & Sewadeh, Mirvat, 2001. "Saving two in a billion: : quantifying the trade effect of European food safety standards on African exports," Food Policy, Elsevier, vol. 26(5), pages 495-514, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Santeramo, Fabio Gaetano & Lamonaca, Emilia, 2019. "On the impact of non-tariff measures on trade performances of the African agri-food sector," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 58(4), February.
    2. Najla KAMERGI & Gabriel FIGUEIREDO DE OLIVEIRA, 2021. "Les mesures techniques non tarifaires :quels effets sur les exportations agricoles des pays africains ?," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 54, pages 31-50.
    3. Santeramo, Fabio Gaetano & Lamonaca, Emilia, 2019. "The role of non-tariff measures in the agri-food sector: positive or negative instruments for trade?," MPRA Paper 96763, University Library of Munich, Germany.
    4. Liu, Chang & Lin, Dongtao & Liu, Jiawei & Li, Yanran, 2019. "Quantifying the effects of non-tariff measures on African agri-food exporters," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 58(4), April.
    5. Yuan Li & John C. Beghin, 2017. "A meta-analysis of estimates of the impact of technical barriers to trade," World Scientific Book Chapters, in: John Christopher Beghin (ed.), Nontariff Measures and International Trade, chapter 4, pages 63-77, World Scientific Publishing Co. Pte. Ltd..
    6. Choi, Jong Woo & Yue, Chengyan, 2016. "Investigating the impact of maximum residue limit standards on the vegetable trade in Japan," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 20(1), November.
    7. Santeramo, Fabio G., 2017. "On Non-Tariff Measures and Changes in Trade Routes: From North-North to South-South Trade?," 2017: Globalization Adrift, December 3-5, 2017, Washington, D.C. 266809, International Agricultural Trade Research Consortium.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Bo Xiong & John Beghin, 2017. "Disentangling Demand-Enhancing And Trade-Cost Effects Of Maximum Residue Regulations," World Scientific Book Chapters, in: John Christopher Beghin (ed.), Nontariff Measures and International Trade, chapter 6, pages 105-108, World Scientific Publishing Co. Pte. Ltd..
    2. Olayinka Idowu Kareem, 2014. "The European Union Sanitary and Phytosanitary Measures and Africa’s Exports," RSCAS Working Papers 2014/98, European University Institute.
    3. Mwebaze, P., 2018. "The Impact of EU Pesticide Residue standards on African Fresh Produce Exports to the UK," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 275998, International Association of Agricultural Economists.
    4. Sven M. Anders & Julie A. Caswell, 2007. "Standards as Barriers Versus Standards as Catalysts: Assessing the Impact of HACCP Implementation on U.S. Seafood Imports," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(2), pages 310-321.
    5. Xiong, Bo & Beghin, John C., 2011. "Disentangling the Demand-enhancing Effect and Trade-cost Effect of Technical Measures in Agricultural Trade among OECD countries," 2011: Agricultural Price Volatility, Trade Policy and Food Security in Developing Countries, December 2011, St. Petersburg, Florida 116898, International Agricultural Trade Research Consortium.
    6. Xiong, Bo, 2012. "Three essays on non-tariff measures and the gravity equation approach to trade," ISU General Staff Papers 201201010800003536, Iowa State University, Department of Economics.
    7. Mark, VANCAUTEREN & Bruno, HENRY DE FRAHAN, 2004. "Harmonization of Food Regulations and Trade in the Single Market : Evidence from Disaggregated Data," LIDAM Discussion Papers IRES 2004021, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    8. Bo Xiong & John Beghin, 2017. "Disentangling Demand-Enhancing And Trade-Cost Effects Of Maximum Residue Regulations," World Scientific Book Chapters,in: Nontariff Measures and International Trade, chapter 6, pages 105-108 World Scientific Publishing Co. Pte. Ltd..
    9. Nguyen, Anh Van Thi & Wilson, Norbert L.W., 2009. "Effects of Food Safety Standards on Seafood Exports to US, EU and Japan," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46758, Southern Agricultural Economics Association.
    10. Rinaldo Brau & Anna Maria Pinna, 2013. "Movements of People for Movements of Goods?," The World Economy, Wiley Blackwell, vol. 36(10), pages 1318-1332, October.
    11. Thomas L. Vollrath & Mark J. Gehlhar & Charles B. Hallahan, 2009. "Bilateral Import Protection, Free Trade Agreements, and Other Factors Influencing Trade Flows in Agriculture and Clothing," Journal of Agricultural Economics, Wiley Blackwell, vol. 60(2), pages 298-317, June.
    12. Nilanjan Banik & John Gilbert, 2010. "Regional Integration and Trade Costs in South Asia," Chapters, in: Douglas H. Brooks & Susan F. Stone (ed.), Trade Facilitation and Regional Cooperation in Asia, chapter 4, Edward Elgar Publishing.
    13. Michele Fratianni & Francesco Marchionne, 2011. "The Limits to Integration," Chapters, in: Miroslav N. Jovanović (ed.), International Handbook on the Economics of Integration, Volume I, chapter 9, Edward Elgar Publishing.
    14. Shiro Armstrong, 2007. "Measuring Trade and Trade Potential: A Survey," Asia Pacific Economic Papers 368, Australia-Japan Research Centre, Crawford School of Public Policy, The Australian National University.
    15. Costantini, Valeria & Mazzanti, Massimiliano, 2012. "On the green and innovative side of trade competitiveness? The impact of environmental policies and innovation on EU exports," Research Policy, Elsevier, vol. 41(1), pages 132-153.
    16. Joras Ferwerda & Mark Kattenberg & Han-Hsin Chang & Brigitte Unger & Loek Groot & Jacob A. Bikker, 2013. "Gravity models of trade-based money laundering," Applied Economics, Taylor & Francis Journals, vol. 45(22), pages 3170-3182, August.
    17. Peter Egger & Douglas Nelson, 2011. "How Bad Is Antidumping? Evidence from Panel Data," The Review of Economics and Statistics, MIT Press, vol. 93(4), pages 1374-1390, November.
    18. Huiyao Chen & Changyuan Luo & Mary-Françoise Renard & Shiyi Sun, 2021. "EU-China Trade and intra-EU Trade: Substitute or Complementary?," Working Papers hal-03467473, HAL.
    19. Amita Batra, 2006. "India's Global Trade Potential: The Gravity Model Approach," Global Economic Review, Taylor & Francis Journals, vol. 35(3), pages 327-361.
    20. Anderson, James E. & Yotov, Yoto V., 2016. "Terms of trade and global efficiency effects of free trade agreements, 1990–2002," Journal of International Economics, Elsevier, vol. 99(C), pages 279-298.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:agreko:10125. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aeasaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.