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Precaution and Protectionism: GM Food and the WTO

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  • Rigby, Dan
  • Burton, Michael P.
  • Young, Trevor

Abstract

The dispute between the US and EU over GM foods at the WTO is examined in terms of the issues it raises about protectionism and environmental protection and precaution. The issue of whether GM, GM Derived and Non-GM foods are equivalent to each other is examined using data from a national choice modelling study in the UK. These categories of food are critical since they underpin the EU's new food labelling regime which it hoped would defuse the WTO dispute. The results are analysed using a Bayesian mixed logit model which allows greater flexibility in the modelling of preference distributions. This is particularly crucial where, as in this case, bi-modal distributions are identified with some indifferent or mildly averse to GM foodtypes while others are strongly averse. A strong finding of the analysis is that people treat ingredients derived from GM crops (but free from altered DNA) as equivalent to GM ingredients. This supports a labelling regime based on process rather than simply product and suggests considerable consumer benefits from the EU's new GM labelling regime.

Suggested Citation

  • Rigby, Dan & Burton, Michael P. & Young, Trevor, 2005. "Precaution and Protectionism: GM Food and the WTO," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24447, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae05:24447
    DOI: 10.22004/ag.econ.24447
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    References listed on IDEAS

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    1. D Rigby & M Burton, 2003. "Modeling Indifference and Dislike: A Bounded Bayesian Mixed Logit Model of the UK Market for GM Food," Economics Discussion Paper Series 0327, Economics, The University of Manchester.
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    Cited by:

    1. Wuyang Hu & Michele Veeman & Wiktor Adamowicz & Ge Gao, 2006. "Consumers' Food Choices with Voluntary Access to Genetic Modification Information," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 54(4), pages 585-604, December.
    2. Luisa Menapace & Gregory Colson & Carola Grebitus & Maria Facendola, 2011. "Consumers' preferences for geographical origin labels: evidence from the Canadian olive oil market," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 38(2), pages 193-212, June.

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    Keywords

    International Relations/Trade;

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