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The role of non-tariff measures in EU dairy trade with Russia

Author

Listed:
  • Jan Pokrivcak
  • Siemen van Berkum
  • Lenka Drgova
  • Marian Mraz
  • Pavel Ciaian

Abstract

This article investigates Russian non-tariff measures (NTMs) on dairy products and their implications for EU dairy exports. Based on survey results, numerous and detailed Russian standards on imported dairy products are considered by respondents as redundant and unnecessary from a food safety perspective. Conformity assessment procedures are identified as a major problem when exporting to Russia. They are non-transparent, time-consuming and expose exporters to significant risk that their products may be refused entry at the Russian border. Audits by Russian inspectors seem to be subject to arbitrary rules and exporting companies face great uncertainty because of unclear and often changing rules. Both fixed and variable costs may increase due to Russian non-tariff measures, adding an estimated 5--10% of export value to costs. The gravity model estimates indicate that, after controlling for other variables, non-tariff measures are more restrictive on US exports to Russia than on EU exports to Russia, while New Zealand's exports to Russia are least affected by NTMs. Overall, the estimates do not confirm that Russia's NTMs are significantly more restrictive than is the case with other countries' NTMs. Although Russian standards for dairy imports are inhibiting trade they are not more restrictive than those implemented by other countries.

Suggested Citation

  • Jan Pokrivcak & Siemen van Berkum & Lenka Drgova & Marian Mraz & Pavel Ciaian, 2013. "The role of non-tariff measures in EU dairy trade with Russia," Post-Communist Economies, Taylor & Francis Journals, vol. 25(2), pages 175-189, June.
    • Handle: RePEc:taf:pocoec:v:25:y:2013:i:2:p:175-189
    DOI: 10.1080/14631377.2013.787737
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    References listed on IDEAS

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    1. Disdier, Anne-Celia & Fontagne, Lionel & Mimouni, Mondher, 2008. "AJAE Appendix: The Impact of Regulations on Agricultural Trade: Evidence from the SPS and TBT Agreements," American Journal of Agricultural Economics APPENDICES, Agricultural and Applied Economics Association, vol. 90(2), pages 1-7.
    2. James E. Anderson & Eric van Wincoop, 2004. "Trade Costs," Journal of Economic Literature, American Economic Association, vol. 42(3), pages 691-751, September.
    3. Roberts, Donna & Josling, Timothy E. & Orden, David, 1999. "A Framework for Analyzing Technical Trade Barriers in Agricultural Markets," Technical Bulletins 33560, United States Department of Agriculture, Economic Research Service.
    4. Bijit Bora & Aki Kuwahara & Sam Laird, 2002. "Quantification Of Non-Tariff Measures," UNCTAD Blue Series Papers 18, United Nations Conference on Trade and Development.
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    Cited by:

    1. Ye Mingque & Alena Slisava, 2016. "Impact of Russian Non-Tariff Measures on European Union Agricultural Exports," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 8(5), pages 39-47, May.
    2. Eva Bieleková & Ján Pokrivčák, 2020. "Determinants of International Beer Export," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 12(2), June.
    3. Marijke Dijkshoorn-Dekker & Vincent Linderhof & Thomas J.M. Mattijssen & Nico Polman, 2020. "Food Secure Metropolitan Areas: The Transition Support System Approach," Sustainability, MDPI, vol. 12(13), pages 1-16, July.

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