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Do China's food safety standards affect agricultural trade? The case of dairy products

Author

Listed:
  • Dingqiang Sun
  • Jikun Huang
  • Jun Yang

Abstract

Purpose - – The purpose of this paper is to empirically examine how China's food safety standards affect agricultural trade in the case of dairy products. Design/methodology/approach - – A gravity model is applied to quantitatively address the impacts of changing food safety standards in China in the case of its dairy imports. The paper considers the trade impacts of not only a specific hazard substance but also overall strictness of safety standards. Findings - – The paper shows that changes in food safety standards of dairy products have no effect on China's dairy imports. The finding is not particularly surprising considering special characteristics of China's food safety standards. Given the fact that China's safety standards are relatively lower than that in its major exporters, the trade-impeding effect may not be substantial. Research limitations/implications - – First, this study is unable to estimate the trade-enhancing and trade-impending effects separately. Second, the study does not account for a potential endogeneity issue associated with food safety standards. Originality/value - – This paper contributes to the debate on how food safety standards affect trade by demonstrating that safety standards in developing countries like China can affect international trade differently from that in developed countries. Although results are specific to China's dairy imports, the explanations are applicable to food safety standards in other developing countries.

Suggested Citation

  • Dingqiang Sun & Jikun Huang & Jun Yang, 2014. "Do China's food safety standards affect agricultural trade? The case of dairy products," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 6(1), pages 21-37, January.
    • Handle: RePEc:eme:caerpp:v:6:y:2014:i:1:p:21-37
    DOI: 10.1108/CAER-06-2012-0062
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    Citations

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    Cited by:

    1. Santeramo, Fabio G., 2017. "On Non-Tariff Measures and Changes in Trade Routes: From North-North to South-South Trade?," 2017: Globalization Adrift, December 3-5, 2017, Washington, D.C. 266809, International Agricultural Trade Research Consortium.
    2. Sarah W. Adelman & Katherine N. Schmeiser, 2019. "Infant Formula Trade and Food Safety," Applied Economics and Finance, Redfame publishing, vol. 6(1), pages 1-10, January.
    3. Tariq H. Malik & Jae Chul Choi, 2021. "Social Media Versus Personal Experience in the Consumer’s Apprehension on Imported Food Security and Safety Dilemma," SAGE Open, , vol. 11(2), pages 21582440211, April.
    4. Santeramo, Fabio Gaetano & Lamonaca, Emilia, 2019. "The role of non-tariff measures in the agri-food sector: positive or negative instruments for trade?," MPRA Paper 96763, University Library of Munich, Germany.
    5. Sizhong Sun & Sajid Anwar, 2018. "Product innovation in China’s food processing industries," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 42(3), pages 492-507, July.
    6. Muhammad ISHAQ & Qing PING & Zahoorul HAQ & Chongguang LI & Chen TONG, 2016. "Maximum residue limits and agrifood exports of China: choosing the best estimation technique," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 62(2), pages 78-92.

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