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Trends in food quality regulation: Implications for processed food trade and foreign direct investment

Author

Listed:
  • Neal H. Hooker

    (Department of Resource Economics, University of Massachusetts, Amherst, MA 01003)

  • Julie A. Caswell

    (Department of Resource Economics, University of Massachusetts, Amherst, MA 01003)

Abstract

Foreign direct investment (FDI) has been increasing at a faster rate than direct exports of processed foods over the past decades. To what extent does national-level food quality regulation influence these trends? Although unquantified as to its impact, such national-level regulation is frequently cited as a potential source of nontariff barriers to trade for food products. FDI may allow food processors to avoid rules intended to disadvantage imported products by siting production within particular markets. It may also allow more precise and rapid adaptation to domestic quality regulations. We discuss what is known about the effect of national-level regulation on companies' strategies for operating in international markets. © 1996 John Wiley & Sons, Inc.

Suggested Citation

  • Neal H. Hooker & Julie A. Caswell, 1996. "Trends in food quality regulation: Implications for processed food trade and foreign direct investment," Agribusiness, John Wiley & Sons, Ltd., vol. 12(5), pages 411-419.
    • Handle: RePEc:wly:agribz:v:12:y:1996:i:5:p:411-419
    DOI: 10.1002/(SICI)1520-6297(199609/10)12:5<411::AID-AGR1>3.0.CO;2-9
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    References listed on IDEAS

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    1. Fidele Ndayisenga & Jean Kinsey, 1994. "The structure of nontariff trade measures on agricultural products in high-income countries," Agribusiness, John Wiley & Sons, Ltd., vol. 10(4), pages 275-292.
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    Cited by:

    1. Noelke, Corinna M. & Caswell, Julie A., 2000. "A Model Of The Implementation Of Quality Management Systems For Credence Attributes," 2000 Annual meeting, July 30-August 2, Tampa, FL 21874, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Salay, Elisabete & Caswell, Julie A., 1998. "Developments In Brazilian Food Safety Policy," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 1(2), pages 1-11.
    3. Amanor-Boadu, Vincent & Hobbs, Jill E. & Kruja, Zana & Martin, Larry J., 1999. "Net Benefits Of Increased Trade Liberalization To The Canadian Economy," Miscellaneous Publications 18089, George Morris Center.
    4. Samir Mili & Manuel Rodríguez Zúñiga, 2001. "Exploring future developments in international olive oil trade and marketing: A Spanish perspective," Agribusiness, John Wiley & Sons, Ltd., vol. 17(3), pages 397-415.
    5. Bredahl, Maury E. & Holleran, Erin, 1997. "Technical Regulations And Food Safety In Nafta," Proceedings of the 3rd Agricultural and Food Policy Systems Information Workshop, 1997: Harmonization\Convergence\Compatibility in Agriculture and Agri-Food Policy: Canada, United States and Mexico 16906, Farm Foundation, Agricultural and Food Policy Systems Information Workshops.
    6. Finco, Adele & Padella, Monica & Di Pronio, Guido & Pollonara, Mirco, 2008. "Dinamiche del commercio internazionale dell'olio di oliva italiano: un'analisi prospettica," 2008 XVI Convegno Annuale SIEA - Le Dinamiche del Commercio Agro-alimentare Tra Commodities e Prodotti Differenziati, 5-6 Giugno 2008, Trieste 48194, Italian Society of Agri-food Economics/Società Italiana di Economia Agro-Alimentare (SIEA).
    7. Epperson, James E. & Estes, Edmund A., 1999. "Fruit And Vegetable Supply-Chain Management, Innovations, And Competitiveness: Cooperative Regional Research Project S-222," Journal of Food Distribution Research, Food Distribution Research Society, vol. 30(3), pages 1-6, November.
    8. Stiegert, Kyle W. & Ardalan, Archie Amir & Marsh, Thomas L., 2006. "Foreign-Market Entry Strategies in the European Union," Journal of Food Distribution Research, Food Distribution Research Society, vol. 37(3), pages 1-12, November.
    9. Muhammad, Safdar & Singh, Surendra P. & Ekanem, Enefiok P. & Tegegne, Fisseha & Akuley-Amenyenu, Anonya, 2001. "Exports From Developing Countries And Food Safety Concerns," Journal of Food Distribution Research, Food Distribution Research Society, vol. 32(1), pages 1-7, March.
    10. Kariyawasam, Sumudu & Jayasinghe-Mudalige, Udith K. & Weerahewa, Jeevika, 2006. "Assessing Consumer Attitudes and Perceptions Towards Food Quality: The Case of Consumption of Tetra-Packed Fresh Milk in Sri Lanka," Annual Meeting, 2006, May 25-28, Montreal, Quebec 34173, Canadian Agricultural Economics Society.
    11. Adele Finco & Monica Padella & Guido Di Pronio & Mirco Pollonara, 2009. "Dinamiche del commercio internazionale dell?olio di oliva italiano: un?analisi prospettica," Economia agro-alimentare, FrancoAngeli Editore, vol. 11(2), pages 169-185.
    12. Combris, Pierre & Pinto, Alexandra Seabra & Fragata, Antonio & Giraud-Heraud, Eric, 2007. "Does taste beat food safety? Evidence from the "Pera Rocha" case in Portugal," 105th Seminar, March 8-10, 2007, Bologna, Italy 7879, European Association of Agricultural Economists.
    13. Maria Aguiar Fontes & Eric Giraud-Héraud & Alexandra Seabra Pinto, 2013. "Consumers' behaviour towards food safety: A litterature review," Working Papers hal-00912476, HAL.
    14. Neal H. Hooker & Julie A. Caswell, 1999. "A Framework for Evaluating Non‐Tariff Barriers to Trade Related to Sanitary and Phytosanitary Regulation," Journal of Agricultural Economics, Wiley Blackwell, vol. 50(2), pages 234-246, May.

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