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The Impact of Sanitary and Phytosanitary Measures on Market Entry and Trade Flows

Author

Listed:
  • Crivelli, Pramila
  • Groeschl, Jasmin

Abstract

In an attempt to disentangle the impact of sanitary and phytosanitary (SPS) measures on trade patterns, we use the database on specific trade concerns on SPS measures of the WTO. Estimating various gravity model specifications at the HS4 disaggregated level of trade, we find that aggregated SPS measures constitute obstacles to agricultural and food trade consistently to all exporters. But conditional on market entry, trade flows are positively affected by SPS measures. In addition, we find that SPS measures related to conformity assessment hamper market entry, while SPS measures related to product characteristics increase bilateral trade flows conditional on meeting the standard.

Suggested Citation

  • Crivelli, Pramila & Groeschl, Jasmin, 2016. "The Impact of Sanitary and Phytosanitary Measures on Market Entry and Trade Flows," Munich Reprints in Economics 43460, University of Munich, Department of Economics.
    • Handle: RePEc:lmu:muenar:43460
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    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade

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