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What price precaution? European harmonisation of aflatoxin regulations and African groundnut exports

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  • Tsunehiro Otsuki
  • John S. Wilson

Abstract

The effects of varying regulatory standards on trade in agricultural products are at the forefront of policy debate. This paper employs a gravity model to estimate the impact of changes in aflatoxin standards on trade flows of groundnut products using trade data for Europe and Africa during 1989--1998. Results suggest that a 10 per cent tighter aflatoxin standard in European countries will reduce edible groundnut imports by 11 per cent. A new European Union regulation on aflatoxins will result in a trade flow that is 63 per cent lower than when the Codex Alimentarius international standards are followed. Copyright 2001, Oxford University Press.

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Bibliographic Info

Article provided by Foundation for the European Review of Agricultural Economics in its journal European Review of Agricultural Economics.

Volume (Year): 28 (2001)
Issue (Month): 3 (October)
Pages: 263-284

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Handle: RePEc:oup:erevae:v:28:y:2001:i:3:p:263-284

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