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Protectionism indices for non-tariff measures: An application to maximum residue levels

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  • Li, Yuan
  • Beghin, John C.

Abstract

We propose aggregation indices of Non-Tariff Measures (NTMs) to quantify their protectionism relative to international standards of stringency. We apply the indices to national Maximum Residue Limit (MRL) regulations on pesticides and veterinary drugs affecting agricultural and food trade and using a science-based criteria embodied in Codex Alimentarius international standards. The approach links two streams of the NTM literature, one concerned with the aggregation of various NTMs into operational indices for econometric and modeling purposes, and the other attempting to evaluate the protectionism of NTMs. The data used in the application come from a large international dataset on veterinary and pesticide MRLs and CODEX MRL standards for a large set of countries.

Suggested Citation

  • Li, Yuan & Beghin, John C., 2014. "Protectionism indices for non-tariff measures: An application to maximum residue levels," Food Policy, Elsevier, vol. 45(C), pages 57-68.
  • Handle: RePEc:eee:jfpoli:v:45:y:2014:i:c:p:57-68
    DOI: 10.1016/j.foodpol.2013.12.005
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    Cited by:

    1. Kareem, Olayinka Idowu, 2016. "Food safety regulations and fish trade: Evidence from European Union-Africa trade relations," Journal of Commodity Markets, Elsevier, vol. 2(1), pages 18-25.
    2. Mahdi Ghodsi & Julia Grübler & Oliver Reiter & Robert Stehrer, 2017. "The Evolution of Non-Tariff Measures and their Diverse Effects on Trade," wiiw Research Reports 419, The Vienna Institute for International Economic Studies, wiiw.
    3. Ferro, Esteban & Otsuki, Tsunehiro & Wilson, John S., 2015. "The effect of product standards on agricultural exports," Food Policy, Elsevier, vol. 50(C), pages 68-79.
    4. Fernandes,Ana Margarida & Ferro,Esteban & Wilson,John S. & Fernandes,Ana Margarida & Ferro,Esteban & Wilson,John S., 2015. "Product standards and firms? export decisions," Policy Research Working Paper Series 7315, The World Bank.
    5. Ferro, Esteban & Wilson, John S. & Otsuki, Tsunehiro, 2013. "The effect of product standards on agricultural exports from developing countries," Policy Research Working Paper Series 6518, The World Bank.
    6. Bo Xiong & John Beghin, 2017. "Disentangling Demand-Enhancing And Trade-Cost Effects Of Maximum Residue Regulations," World Scientific Book Chapters,in: Nontariff Measures and International Trade, chapter 6, pages 105-108 World Scientific Publishing Co. Pte. Ltd..
    7. Meloni, Giulia & Swinnen, Johan, 2017. "Standards, Tariffs And Trade: The Rise And Fall Of The Raisin Trade Between Greece And France In The Late 19th Century And The Definition Of Wine," Working Papers 253853, American Association of Wine Economists.
    8. John C. Beghin & Bo Xiong, 2016. "Economic Effects of Standard-Like Nontariff Measures: Analytical and Methodological Dimensions," Food and Agricultural Policy Research Institute (FAPRI) Publications 16-wp569, Food and Agricultural Policy Research Institute (FAPRI) at Iowa State University.
    9. de Faria, Rosane Nunes & Wieck, Christine, 2014. "Measuring The Extent Of Gmo Asynchronous Approval Using Regulatory Dissimilarity Indices: The Case Of Maize And Soybean," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182796, European Association of Agricultural Economists.
    10. John C. Beghin & Jean-Christophe Bureau & Alexandre Gohin, 2017. "The Impact of an EU–US Transatlantic Trade and Investment Partnership Agreement on Biofuel and Feedstock Markets," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(2), pages 321-344, June.
    11. Federica DeMaria & Sophie Drogue, 2017. "EU Trade Regulation for Baby Food: Protecting Health or Trade?," The World Economy, Wiley Blackwell, vol. 40(7), pages 1430-1453, July.
    12. Pramila Crivelli & Jasmin Groeschl, 2016. "The Impact of Sanitary and Phytosanitary Measures on Market Entry and Trade Flows," The World Economy, Wiley Blackwell, vol. 39(3), pages 444-473, March.
    13. John C. Beghin & Miet Maertens & Johan Swinnen, 2017. "Nontariff Measures and Standards in Trade and Global Value Chains," World Scientific Book Chapters,in: Nontariff Measures and International Trade, chapter 2, pages 13-38 World Scientific Publishing Co. Pte. Ltd..
    14. Yuan Li & Bo Xiong & John C Beghin, 2017. "The Political Economy of Food Standard Determination: International Evidence from Maximum Residue Limits," World Scientific Book Chapters,in: Nontariff Measures and International Trade, chapter 14, pages 239-267 World Scientific Publishing Co. Pte. Ltd..
    15. Arita, Shawn & Mitchell, Lorraine & Beckman, Jayson, 2015. "Estimating the Effects of Selected Sanitary and Phytosanitary Measures and Technical Barriers to Trade on U.S.-EU Agricultural Trade," Economic Research Report 212887, United States Department of Agriculture, Economic Research Service.
    16. Kareem, Fatima Olanike & Martinez-Zarzoso, Inmaculada & Brümmer, Bernhard, 2016. "Protecting Health or Protecting Imports? Evidence from EU Non-Tariff Barriers," Discussion Papers 241267, Georg-August-Universitaet Goettingen, GlobalFood, Department of Agricultural Economics and Rural Development.
    17. Ferrier, Peyton, 2014. "The Effects of Phytosanitary Regulations on U.S. Imports of Fresh Fruits and Vegetables," Economic Research Report 176199, United States Department of Agriculture, Economic Research Service.
    18. repec:eee:reveco:v:53:y:2018:i:c:p:185-202 is not listed on IDEAS
    19. Hejazi, Mina & Grant, Jason H. & Peterson, Everett, 2016. "Hidden Trade Costs? Maximum Residue Limits and US Exports to Trans-Atlantic and Trans-Pacific Trading Partners," 2016 Annual Meeting, July 31-August 2, 2016, Boston, Massachusetts 235847, Agricultural and Applied Economics Association.
    20. Lei, Lei, 2018. "Effects of trade policy on technological innovation in agricultural markets - implications for the developing economies," IDE Discussion Papers 687, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    21. de Faria, Rosane Nunes & Wieck, Christine, 2015. "Empirical evidence on the trade impact of asynchronous regulatory approval of new GMO events," Food Policy, Elsevier, vol. 53(C), pages 22-32.
    22. Bo Xiong & John C. Beghin, 2017. "Stringent Maximum Residue Limits, Protectionism, and Competitiveness: The Cases of the US and Canada," World Scientific Book Chapters,in: Nontariff Measures and International Trade, chapter 12, pages 193-207 World Scientific Publishing Co. Pte. Ltd..
    23. Beghin, John C. & Bureau, Jean-Christophe & Gohin, Alex, 2014. "The Impact of an EU-US TTIP Agreement on Biofuel and Feedstock Markets," Proceedings Issues, 2014: Food, Resources and Conflict, December 7-9, 2014, San Diego, California 197153, International Agricultural Trade Research Consortium.
    24. Olayinka Idowu Kareem, 2014. "The European Union Sanitary and Phytosanitary Measures and Africa’s Exports," RSCAS Working Papers 2014/98, European University Institute.

    More about this item

    Keywords

    NTMs; Non-tariff measures; Barriers; Protectionism; Maximum residue limit; MRL;

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

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