What Price Precaution? European Harmonisation of Aflatoxin Regulations and African Groundnut Exports

Posted: 29 Feb 2008

See all articles by Tsunehiro Otsuki

Tsunehiro Otsuki

World Bank

John S. Wilson

World Bank

Mirvat Sewadeh

World Bank - World Bank Institute (WBI)

Abstract

The effects of varying regulatory standards on trade in agricultural products are at the forefront of policy debate. This paper employs a gravity model to estimate the impact of changes in aflatoxin standards on trade flows of groundnut products using trade data for Europe and Africa during 1989-1998. Results suggest that a 10 per cent tighter aflatoxin standard in European countries will reduce edible groundnut imports by 11 per cent. A new European Union regulation on aflatoxins will result in a trade flow that is 63 per cent lower than when the Codex Alimentarius international standards are followed.

Keywords: EU food safety regulation, Africa, groundnuts, aflatoxins standards, gravity model

Suggested Citation

Otsuki, Tsunehiro and Wilson, John S. and Sewadeh, Mirvat, What Price Precaution? European Harmonisation of Aflatoxin Regulations and African Groundnut Exports. European Review of Agricultural Economics, Vol. 28, No. 3, pp. 263-284, 2001, Available at SSRN: https://ssrn.com/abstract=914293

Tsunehiro Otsuki

World Bank ( email )

1818 H Street, N.W.
Washington, DC 20433
United States

John S. Wilson

World Bank ( email )

1818 H Street, N.W.
Washington, DC 20433
United States

Mirvat Sewadeh

World Bank - World Bank Institute (WBI)

1818 H Street, N.W.
Washington, DC 20433
United States

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