Hostname: page-component-8448b6f56d-xtgtn Total loading time: 0 Render date: 2024-04-23T08:52:17.351Z Has data issue: false hasContentIssue false
  • English
  • Français

The Impact of ISO22000 Standard Diffusion on Agricultural Exports

Published online by Cambridge University Press:  03 June 2020

Nayung Kim Open the ORCID record for Nayung Kim [Opens in a new window]
Nayung Kim*
Affiliation:
Center for International Commerce and Strategy, Seoul National University, Korea
*
Email: ivykim0121@gmail.com
Get access Rights & Permissions [Opens in a new window]

Abstract

The WTO SPS Agreement sets a framework of rules that encourages harmonization through international standards. However, there is a lack of empirical research at the macro-level on how such international standards affect trade flows. This study conducts a general impact analysis on one of the most widely used food-related international standards in the world, the ISO22000, accounting for the different product types and country groups. The Codex Alimentarius Commission, one of three sister organizations of the SPS Agreement, notably participated in developing this standard that is based on its Food Code, harmonizing the Hazard Analysis and Critical Control Points (HACCP) and Good Manufacturing Practice (GMP). This study employs recent developments in using the gravity model, along with uniquely employed additional specifications to enhance further the reliability of the estimates. Results show that ISO22000 diffusion negatively affects the exports of processed products that are the major export goods of developed countries. Primary and semi-processed products that compose the majority of developing country exports are not significantly affected, providing evidence against the concerns for the compliance burdens of developing countries when being certified to the standard. The burdens may depend more on the degree of processing of the exported goods rather than on a country's development status.

Keywords

International food-related standardsSPS harmonizationinternational standard-setting bodiesISO22000agricultural exportsgravity modeldeveloping countriesprocessed products
Type
Research Article
Information
World Trade Review , Volume 20 , Issue 1 , February 2021 , pp. 40 - 55
Copyright
Copyright © The Author(s) 2020. Published by Cambridge University Press

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Anders, SM and Caswell, JA (2009) Standards as Barriers Versus Standards as Catalysts: Assessing the Impact of HACCP Implementation on US Seafood Imports. American Journal of Agricultural Economics 91(2), 310–321.CrossRefGoogle Scholar
Anderson, JE and van Wincoop, E (2003) Gravity with Gravitas: A Solution to the Border Puzzle. American Economic Review 93(1), 170–192CrossRefGoogle Scholar
Anderson, JE and Yotov, YV (2012) Gold Standard Gravity. NBER Working Paper No. 17835.CrossRefGoogle Scholar
Baier, SL and Bergstrand, JH (2007) Do Free Trade Agreements Actually Increase Members' International Trade? Journal of International Economics 71(1), 72–95.CrossRefGoogle Scholar
Blind, K (2004) The Economics of Standards: Theory, Evidence, Policy. Northampton, MA: Edward Elgar.Google Scholar
CEPII (2019) www.cepii.fr/anglaisgraph/bdd/distances.htm (accessed 20 March).Google Scholar
Clougherty, JA and Grajek, M (2014) International Standards and International Trade: Empirical Evidence from ISO 9000 Diffusion. International Journal of Industrial Organization 36, 70–82.CrossRefGoogle Scholar
Crivelli, P and Groeschl, J (2016) The Impact of Sanitary and Phytosanitary Measures on Market Entry and Trade Flows. The World Economy 39(2), 444–473.CrossRefGoogle Scholar
Czubala, W, Shepherd, B, and JS, Wilson (2007) Help or Hindrance?: The Impact of Harmonized Standards on African Exports. World Bank Policy Research Working Paper, 4400.CrossRefGoogle Scholar
Disdier, AC, Fontagne, L, and Mimouni, M (2008) The Impact of Regulations on Agricultural Trade: Evidence from the SPS and TBT Agreements. American Journal of Agricultural Economics 90(2), 336–350.CrossRefGoogle Scholar
Escannciano, C and Santos-Vijande, ML (2014) Reasons and Constraints to Implementing an ISO 22000 Food Safety Management System: Evidence from Spain. Food Control 40, 50–57.CrossRefGoogle Scholar
FAO (2004) The State of Agricultural Commodity Markets 2004. FAO Commodities and Trade Divisions Publications.Google Scholar
FAO (2013) Investigating the Structures of Agricultural Trade Industry in Developing Countries. Commodity and Trade Policy Research Working Paper No. 38.Google Scholar
FAO (2017) The Future of Food and Agriculture: Trends and Challenges. Rome.Google Scholar
Feenstra, RC (2004) Advanced International Trade: Theory and Evidence. Princeton, NJ: Princeton University Press.Google Scholar
Helpman, E, Melitz, M, and Rubinstein, Y (2008) Estimating Trade Flows: Trading Partners and Trading Volumes. The Quarterly Journal of Economics 123(2), 441–487.CrossRefGoogle Scholar
Henson, S, Masakure, O, and Cranfield, J (2011) Do Fresh Produce Exporters in Sub-Saharan Africa Benefit from GlobalGAP Certification?. World Development 39, 375–386.CrossRefGoogle Scholar
ISO (2017) The ISO Survey of Management System Standard Certifications – 2017 – Explanatary Note.Google Scholar
ISO (2018) Food Safety Management – ISO22000:2018, May 2018.Google Scholar
Karandagoda, N, Udugama, M, and Jayasinghe-Mudalige, U (2014) Exploring the Impact of Food Safety Standards on Global Tea Trade: A Gravity Model Based Approach. International Journal of Economic Practices and Theories 4(6).Google Scholar
Liu, L and Yue, C (2012) Investigating the Impact of SPS Standards on Trade Using a VES Model. European Review of Agricultural Economics 39(3), 511–528.CrossRefGoogle Scholar
Mohammed, R and Zheng, Y (2017) International Diffusion of Food Safety Standards: The Role of Domestic Certifiers and International Trade. Journal of Agricultural and Applied Economics 49(2), 296–322.CrossRefGoogle Scholar
OECD (2019) www.oecd.org/agriculture/topics/agricultural-trade (accessed 12 April).Google Scholar
Olivero, MP and Yoto, VY (2012) Dynamic Gravity: Endogenous Country Size and Asset Accumulation. Canadian Journal of Economics 45(1), 64–92.Google Scholar
Olper, A, Curzi, D, and Pacca, L (2014) Do Food Standards Affect the Quality of EU Imports?. Economics Letters 122, 233–237.Google Scholar
Piermartini, R and YV, Yotov (2016) Estimating Trade Policy Effects with Structural Gravity. WTO Working Paper ERSD-2016-10.Google Scholar
Schuster, M and Maertens, M (2015) The Impact of Private Food Standards on Developing Countries' Export Performance: An Analysis of Asparagus Firms in Peru. World Development 66(3), 221.CrossRefGoogle Scholar
Silva JMC, Santos and Tenreyro, S (2006) The Log of Gravity. The Review of Economics and Statistics 88(4), 641–658.CrossRefGoogle Scholar
Swann, P, Temple, P, and Shurmer, M (1996) Standards and Trade Performance: The UK Experience. The Economic Journal 106, 1297–1313.CrossRefGoogle Scholar
Terziovski, M, Power, D, and Sohal, AS (2003) The Longitudinal Effects of the ISO 9000 Certification Process on Business Performance. European Journal of Operational Research 146, 580–595.CrossRefGoogle Scholar
Trefler, D (2004) The Long and Short of the Canada–US Free Trade Agreement. American Economic Review 94(4), 870–895.CrossRefGoogle Scholar
Trienekens, J and Zuurbier, P (2008) Quality and Safety Standards in the Food Industry: Developments and Challenges. International Journal of Production Economics 113, 107–122.Google Scholar
Webb, M, Gibson, J, and Strutt, A (2018) Market Access Implications of Non-Tariff Measures: Estimates for Four Developed Country Markets. The World Economy 42(2), 1–20.Google Scholar
WITS (2019) http://wits.worldbank.org. (accessed 21 March).Google Scholar
WTO/UNCTAD (2012) A Practical Guide to Trade Policy Analysis, 107–108.Google Scholar
Zheng, Y, MK, Muth, and J, Brophy (2013) The Impact of Food Safety Third-Party Certifications on China's Food Exports to the United States. Selected Paper prepared for presentation at the 2013 AAEA and CAES Joint Annual Meeting, Washington, DC, 4–6 August.Google Scholar