Different standards in pesticides and pest protection have often been used as trade barriers, whether real or manufactured. While harmonization is often touted as a means to limit the ability of domestic (protectionist) interests to use standards as a barrier to trade, the process of harmonization itself is subject to rent-seeking. In this paper, we explore the harmonization of standards that affect pesticide use in NAFTA and ask whether the process is benefiting any groups more than others. There is evidence that patented pesticide producers have greater access to the harmonization process and may be using harmonization to raise costs to their rivals while preserving their ability to price discriminate.
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Paper provided by Canadian Agricultural Trade Policy Research Network in its series Commissioned Papers with number
24163.
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