DOI QR코드

DOI QR Code

Spillover Effects Study of US Import Refusals on ASEAN Countries' Fishery Products

미국의 대 아세안 수산물 수입거부조치 파급효과 연구

  • Li, Ping (Department of International Business and Trade, Kyung Hee University) ;
  • Kim, Hag-Min (Department of International Business and Trade, Kyung Hee University)
  • 이평 (경희대학교 무역학과) ;
  • 김학민 (경희대학교 무역학과)
  • Received : 2019.03.28
  • Accepted : 2019.04.19
  • Published : 2019.04.30

Abstract

Import refusals can be considered a new method of non-tariff barriers. This study aims to analyze reputation spillover effects on fish and fishery products imported from ASEAN countries to the U.S. FDA. The supply of aquatic products is not stable due to various factors such as reduction of fish stocks and climate change. Fish is a basic food ingested directly, but there are many ways to control the safety of aquatic products. ASEAN countries account for about 20% of U.S.imports in fish and fishery products. For Southeast Asian countries, fish and fishery products comprise a high proportion of exports revenue. Despite the large share of exports to the U.S., Southeast Asia countries have been receiving many import refusals from the United States. In this study, a theoretical model for examining import refusals is suggested using the negative binomial counting process. The reputation spillover effect, was divided into two spillover effects of 'neighbor reputation' and 'sector reputation'. Results show that there exists a neighbor reputation spillover effect. It can be said if there was a import refusal of the same product from neighboring countries in the preceding year, the home country have a possibility to experience import refusals of the same product. Therefore, it is interpreted that neighboring countries have good standard compliance can help home countries to effectively reach the target markets. Our findings have a important policy implication for ASEAN exporters of fish and fishery products.

Keywords

Acknowledgement

This paper was supported by the Ministry of Education of the Republic of Korea and the National Research Foundation of Korea (NRF-2016S1A2A3913925)

References

  1. Ababouch, L., G., Gandini and J., Ryder(2005), "Causes of Rejections and Rejections in International Fish Trade". FAO Fisheries Technical Paper 473. Food and Agriculture Organisation, Rome.
  2. Alberini, A., E. Lichtenberg, D. Mancini and G. Galinato(2005). "Was it Something I Ate? Implementation of the FDA Seafood HACCP Program" Working Paper No. 05-03, Department of Agricultural and Resource Economics, University of Maryland.
  3. Baylis, K., A., Martens and L. Nogueira(2009). "What Drives Import Refusals?", American Journal of Agricultural Economics, 91(5), 1477-1483. https://doi.org/10.1111/j.1467-8276.2009.01368.x
  4. Baylis, K. and L., Nogueira and K. Pace(2010), "Food Import Refusals: Evidence From the European Union", American Journal of Agricultural Economics, 93(2), 566-572. https://doi.org/10.1093/ajae/aaq149
  5. Buzby, J. C., L. J. Unnevehr, and D. Roberts (2008), 'Food Safety and Imports: An Analysis of FDA Food-Related Import Refusal', Economic Information Bulletin, 39, Economic Research Service.
  6. Buzby, J. C. and A. Regmi(2009), "FDA Refusals of Food Imports by Exporting Country Group", Choices, 24(2), 11-15.
  7. Bown, C. P. and M.A. Crowley(2007), "Trade Deflection and Trade Depression. Journal of International Economics", 72(1), 176-201. https://doi.org/10.1016/j.jinteco.2006.09.005
  8. Crivelli, P. and J.Groschl(2012), "The Impact of Sanitary and Phytosanitary Measures on Market Entry and Trade Flows", IFO Working Paper, No.136, August.
  9. Essaji, A.(2008), "Technical Regulations and Specialization in International Trade", Journal of International Economics, 76(2), 166-176. https://doi.org/10.1016/j.jinteco.2008.06.008
  10. Fahmi, A.S., M. Maksum and E.Suwondo(2015). "USFDA Import Refusal and Export Competitiveness of Indonesian Crab in US Market", Agriculture and Agricultural Science Procedia, 3, 226-230. https://doi.org/10.1016/j.aaspro.2015.01.044
  11. Fugazza, M.(2013), "The Economics Behind Non-Tariff Measures: Theoretical Insights and Empirical Evidence", UNCTAD Policy Issues in International Trade and Commodities Studies Series, 57, UNCTAD.
  12. Gu, Yang-jun, Yoon Joo-young and Liu Si-jin(2016), "A Study on the U.S. Legal Frameworks of SPS Measures and Recent Disputes in WTO", Asia-Pacific Journal Business & Commerce, 8(3), 21-57.
  13. Jouanjean, M. A. (2012), "Standards, Reputation, and Trade: Evidence from US Horticultural Import Refusals", World Trade Review, 11(3), 438-461. https://doi.org/10.1017/s1474745612000274
  14. Jaffee, S. and S. Henson(2004), "Standards and Agro-food Exports from Developing Countries: Rebalancing the Debate", Policy Research Working Paper 3348, The World Bank, Washington, DC.
  15. Henson, S.J. and J.Humphrey(2009), "The Impacts of Private Food Safety Standards on the Food Chain and on Public Standard-Setting Processes", fao/who, 5.
  16. Humphrey, C.M.(2003), "The Food and Drug Administration's Import Alerts Appear to Be Misbranded", Food and Drug Law Journal, 58(4), 595-612.
  17. Kang, Chang-Hee and Park Sang-gon(2017), "Microeconometrics Using Stata", Seoul: Jipil Media Press
  18. Karov, V., Roberts, D., Grant, J. H.and E. B. Peterson(2009). "A Preliminary Empirical Assessment of the Effect of Phytosanitary Regulations on US Fresh Fruit and Vegetable Imports ", No. 319-2016-9670.
  19. Kareem, O. I. (2016), "European Union's Standards and Food Exports from Africa: Implications of the Comprehensive Africa Agricultural Development Program for Coffee and Fish", Journal of African Development, 18(1), 83-97.
  20. Keiichiro, Honda, Tsunehiro Otsuki, and John S. Wilson(2015). "Food Safety Standards and International Trade: the Impact on Developing Countries' Export Performance." Food safety, market organization, trade and development. Springer, Cham, 151-166.
  21. Koonse, B.(2016), "A Summary of the United States Food and Drug Administrations' Food Safely Program for Imported Seafood; One Country's Approach.", Foods, 5(2), 31. https://doi.org/10.3390/foods5020031
  22. Maertens, M. and J. F. M. Swinnen (2009), 'Trade, Standards, and Poverty: Evidence from Senegal", World Development, 37(1), 161-178. https://doi.org/10.1016/j.worlddev.2008.04.006
  23. Martinez, M. G. and N. Poole(2004), " The Development of Private Fresh Produce Safety Standards: Implications for Developing Mediterranean Exporting Countries", Food Policy, 29(3), 229-255. https://doi.org/10.1016/j.foodpol.2004.04.002
  24. Mercer, J. (2010). Reputation and International Politics. Cornell University Press.
  25. Moise, E. and F. Le Bris(2013), " Trade Costs - What Have We Learnt: A Synthesis Report", OECD Trade Policy Paper No. 150. OECD Publishing.
  26. Natale, F., A. Borrello. and A. Motova (2015), "Analysis of the Determinants of International Seafood Trade Using a Gravity Model," Marine Policy, 60, 98-106 https://doi.org/10.1016/j.marpol.2015.05.016
  27. Ndayisenga, F. and J.Kinsey(1994), "The Structure of Non-tariff Trade Measures on Agricultural Products in High-income Countries", Agribusiness, 10(4), 275-292. https://doi.org/10.1002/1520-6297(199407/08)10:4<275::AID-AGR2720100402>3.0.CO;2-F
  28. Nye Jr, and S.Joseph(2016), Bound to lead: The Changing Nature of American Power. New York: Basic Books.
  29. Olale, Edward, and Spencer Henson(2011), "The Impact of Income Diversification among Fishing Communities in Western Kenya", Food Policy 43, 90-99. https://doi.org/10.1016/j.foodpol.2013.08.008
  30. Otsuki, Tsunehiro, John S. Wilson, and Mirvat Sewadeh(2001), "Saving two in a billion: Quantifying the Trade Effect of European Food Safety standards on African Exports", Food policy 26(5), 495-514. https://doi.org/10.1016/S0306-9192(01)00018-5
  31. Papadopoulos, Nicolas, and Louise A. Heslop(2014), Product-country Images: Impact and Role in International Marketing. Routledge.
  32. Petrey, L. A, and R. W. M. Johnson(1993), "Agriculture in the Uruguay Round: Sanitary and Phytosanitary Measures, Review of Marketing and Agricultural Economics, 61(430-2016-31082), 433.
  33. Ramsey, J. B. (1969). "Tests for Specification Errors in Classical Linear Least-squares Regression Analysis. Journal of the Royal Statistical Society: Series B (Methodological), 31(2), 350-371. https://doi.org/10.1111/j.2517-6161.1969.tb00796.x
  34. Rios, L. B. D. and S. Jaffee (2008), "Barrier, Catalyst, or Distraction? Standards, Competitiveness, and Africa's Groundnut Exports to Europe", The World Bank, Agriculture and Rural Development Discussion Paper.
  35. Shepherd, B. and N. L. Wilson (2013), "Product Standards and Developing Countries Agricultural Exports: The Case of the European Union", Food Policy, 42, 1-10. https://doi.org/10.1016/j.foodpol.2013.06.003
  36. Son, Seong-Min and Shin, Ji-Yeon(2015), " A Case Study on SPS Disputs of Fish and Fishery Products between China and Other Countries", The Journal of Korea Research Society for Customs, 16(4), 173-188.
  37. Tirole, J.A.(1996), "Theory of Collective Reputations with Applications to the Persistence of Corruption and to Firm Quality", The Review of Economic Studies 63(1), 1-22. https://doi.org/10.2307/2298112
  38. Thilmany, D. D. and C. B. Barrett(1997), "Regulatory Barriers in an Integrating World Food Market", Review of Agricultural Economics, 19(1), 91-107. https://doi.org/10.2307/1349680
  39. Tosun, J. and M., de Moraes Marcondes(2016), "Import Restrictions and Food-Safety Regulations: Insight from Brazil", Latin American Policy, 7 (2), 377-398. https://doi.org/10.1111/lamp.12104
  40. Wang, J. (2006). "Managing National Reputation and International Relations in the Global Era: Public Diplomacy Revisited", Public Relations Review, 32(2), 91-96. https://doi.org/10.1016/j.pubrev.2005.12.001
  41. Wilson, J. S., & Otsuki, T. (2004)."Standards and Technical Regulations and Firms in Developing Countries: New Evidence from a World Bank Technical Barriers to Trade Survey", World Bank, Washington DC.
  42. World Bank(2005), "Food Safety and Agricultural Health Standards: Challenges and Opportunities for Developing Countries Export", Report No. 31027, Poverty Reduction & Economic Management Trade Unit, Agriculture and Rural Development Department, The World Bank, Washington, DC.