The effect of sanitary and phytosanitary measures on Cameroon's cocoa exports: An application of the gravity model
2022
Assoua, Joe Eyong | Molua, Ernest L. | Nkendah, Robert | Djomo Choumbou, Raoul Fani | Tabetando, Rayner
There is growing concerns about food quality and food safety standards along the agricultural value chain in recent years. This study seeks to analyse the effect of changes in food policy regulations, particularly sanitary and phytosanitary measures on Cameroon's cocoa exports and to explore the compliance strategy to sanitary and phytosanitary measures adopted by institutional actors in the cocoa sub-sector. To achieve this, the study used a mixed methodological approach, consisting of both qualitative and quantitative approaches using business surveys and gravity-based models respectively. Key informant interviews were conducted with major institutional actors in the cocoa sub-sector and the data were analysed using the thematic content analysis. The study used panel data on Cameroon's cocoa trade with 10 major importing countries between 2001 and 2017 using the gravity model. The results indicate that institutional actors had adopted both reactive and proactive compliance strategies to sanitary and phytosanitary measures in importing markets. Also, the result suggests that cocoa export from Cameroon is not significantly influenced by sanitary and phytosanitary measures in major importing markets. Other factors such as gross domestic product, common language, and population were significant in influencing trade flows. The results also point to the limited supply-side capacity of the export commodity. These findings necessitate the need to strengthen Cameroon's standards-setting institutions and the regulatory framework to improve Cameroon's capacity to comply with sanitary and phytosanitary measures and to improve the export quality. Also, it is important to implement policies to address supply-side constraints and low productive capacity in the cocoa sub-sector.
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