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Standards, reputation, and trade: evidence from US horticultural import refusals

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  • JOUANJEAN, MARIE-AGNÈS

Abstract

By disentangling productivity- from quality-sorting in horticultural exports, this paper investigates the impact of food safety standards and consumers’ preference for quality on developing countries’ capacity to export high care and differentiated agricultural products (HCAs). Using a unique database on US import refusals, the empirical analysis shows that a shock to reputation has a downgrading effect, reducing the capacity to participate and benefit from trade in HCAs. The occurrence of at least one refusal in the current year reduces HS 6-digit average unit export price by over 8% and the long-run propensity suggests a 25% cut.

Suggested Citation

  • Jouanjean, Marie-Agnès, 2012. "Standards, reputation, and trade: evidence from US horticultural import refusals," World Trade Review, Cambridge University Press, vol. 11(03), pages 438-461, July.
  • Handle: RePEc:cup:wotrrv:v:11:y:2012:i:03:p:438-461_00
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    Cited by:

    1. Daniele Curzi & Lucia Pacca & Alessandro Olper, 2013. "Estimating Food Quality from Trade Data: An Empirical Assessment," LICOS Discussion Papers 33913, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
    2. Beghin, John C. & Disdier, Anne-Celia & Marette, Stephan, 2012. "Trade Restrictiveness Indices in Presence of Externalities: An Application to Non-Tariff Measures," Working Papers 142386, International Agricultural Trade Research Consortium.
    3. Kumar, C Nalin, 2016. "Sensitivity of India’s agri-food exports to the European union: An institutional perspective," Working Papers 366, Institute for Social and Economic Change, Bangalore.
    4. repec:bla:jcmkts:v:55:y:2017:i:2:p:387-405 is not listed on IDEAS
    5. Curzi, Daniele & Raimondi, Valentina & Olper, Alessandro, 2013. "Quality Upgrading, Competition and Trade Policy: Evidence from the Agri-Food Sector," Proceedings Issues, 2013: Productivity and Its Impacts on Global Trade, June 2-4, 2013. Seville, Spain 152387, International Agricultural Trade Research Consortium.
    6. repec:hal:gmonwp:hal-00961727 is not listed on IDEAS
    7. Jouanjean, Marie-Agnes & Maur, Jean-Christophe & Shepherd, Ben, 2011. "Reputation matters: Spillover effects in the enforcement of US SPS measures," MPRA Paper 35270, University Library of Munich, Germany.
    8. Jouanjean, Marie-Agnès & Maur, Jean-Christophe & Shepherd, Ben, 2015. "Reputation matters: Spillover effects for developing countries in the enforcement of US food safety measures," Food Policy, Elsevier, vol. 55(C), pages 81-91.
    9. Beghin, John C. & Disdier, Anne-Celia & Marette, Stephan, 2012. "Trade Restrictiveness Indices in Presence of Externalities: An Application to Non-Tariff Measures," Working Papers 142386, International Agricultural Trade Research Consortium.
    10. John Christopher Beghin & Anne-Célia Disdier & Stéphan Marette, 2014. "Trade Restrictiveness Indices in Presence of Externalities : An Application to Non-Tariff Measures," Working Papers hal-00961727, HAL.

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