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Trade and Agricultural Disease: Import Restrictions in the Wake of the India – Agricultural Products Dispute

Author

Listed:
  • Kamal Saggi

    (Vanderbilt University)

  • Mark Wu

    (Harvard University)

Abstract

Trade in agricultural products raises sensitivities, particularly when imports originate from a trading partner experiencing an outbreak of some type of agricultural disease. In this Article, we explain why despite the negative externalities associated with diseased imports, an importing country is generally not permitted to ban such imports outright under WTO law. Rather, it is allowed to do so only under fairly specific circumstances. We also highlight how the recent India – Agricultural Products ruling contributes to the jurisprudence of two issues concerning the SPS Agreement: the interpretation of international standards, and the relationship between the risk assessment and scientific evidence requirements.

Suggested Citation

  • Kamal Saggi & Mark Wu, 2016. "Trade and Agricultural Disease: Import Restrictions in the Wake of the India – Agricultural Products Dispute," Vanderbilt University Department of Economics Working Papers 16-00016, Vanderbilt University Department of Economics.
    • Handle: RePEc:van:wpaper:vuecon-16-00016
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    References listed on IDEAS

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    1. Margolis, Michael & Shogren, Jason F. & Fischer, Carolyn, 2005. "How trade politics affect invasive species control," Ecological Economics, Elsevier, vol. 52(3), pages 305-313, February.
    2. Bown, Chad P. & Hillman, Jennifer A., 2016. "Bird Flu, the OIE, and National Regulation: The WTO's India–Agricultural Products Dispute," World Trade Review, Cambridge University Press, vol. 15(2), pages 235-257, April.
    3. Norbert L. W. Wilson & Jesús Antón, 2006. "Combining Risk Assessment and Economics in Managing a Sanitary-Phytosanitary Risk," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(1), pages 194-202.
    4. Olson, Lars J. & Roy, Santanu, 2010. "Dynamic sanitary and phytosanitary trade policy," Journal of Environmental Economics and Management, Elsevier, vol. 60(1), pages 21-30, July.
    5. Philip L. Paarlberg & John G. Lee, 1998. "Import Restrictions in the Presence of a Health Risk: An Illustration Using FMD," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(1), pages 175-183.
    6. McAusland, Carol & Costello, Christopher, 2004. "Avoiding invasives: trade-related policies for controlling unintentional exotic species introductions," Journal of Environmental Economics and Management, Elsevier, vol. 48(2), pages 954-977, September.
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    Cited by:

    1. Blanchard, Emily & Wu, Mark, 2019. "Externalities and Agricultural Import Bans: Evaluating Regionalization Measures in Light of the Russia–Pigs Dispute," World Trade Review, Cambridge University Press, vol. 18(2), pages 173-195, April.

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    More about this item

    Keywords

    trade in agricultural products; disease; trade policy; WTO dispute;
    All these keywords.

    JEL classification:

    • F1 - International Economics - - Trade
    • K0 - Law and Economics - - General

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