Short-term impact of food safety standards on agri-product exports: Evidence from Japan's positive list system on Chinese vegetable exports

Shaosheng Jin, Baojie Ma, Yuqing Zheng, Xin Jin, Wenchao Wu

Research output: Contribution to journalArticlepeer-review

4 Scopus citations

Abstract

We examine the short-term impact of the Positive List System (PLS), a strict food safety standard implemented by Japan in 2006, on vegetable exports from China to Japan. By applying a difference-in-difference model to unique monthly export data at the firm-product level, we found that the PLS decreased the probability of Chinese vegetable firms exporting to Japan by 3.4%, and decreased their export quantity and value by 9.7% and 8.6%, respectively. Most of the policy impact is through a decrease in the intensive trade margin (i.e., how much to trade), rather than the extensive trade margin (i.e., whether to trade). We also found that foreign-invested enterprises and smaller enterprises are less affected than non-foreign-invested enterprises and larger enterprises. Our results alleviate the concern that stricter food safety standards may exclude many firms, especially small ones, from the export market.

Original languageEnglish
Pages (from-to)362-381
Number of pages20
JournalJournal of Agricultural Economics
Volume75
Issue number1
DOIs
StatePublished - Feb 2024

Bibliographical note

Publisher Copyright:
© 2023 The Agricultural Economics Society.

Keywords

  • China
  • Japan
  • agriculture products
  • food safety standards
  • positive list system

ASJC Scopus subject areas

  • Agricultural and Biological Sciences (miscellaneous)
  • Economics and Econometrics

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