The Impact Of Green Barrier On China's Vegetable Export And Production

WTO is not a perfect trade system. After China's entering WTO, although the tariff barrier and quota barrier had been moved, the green barrier and anti-dumping measures become important obstacles to the export of China's vegetable products. Presently, Japan, one of main importers of China's vegetable products, makes a series of limitation measures for China's vegetable.From April to October in 2001, Japan's government began to carry out technical measures to China's vegetable and other agricultural products. In April 2002, Japan's government announced to stop importing China's spinach, because the pesticide residue had been detected in the spinach products. The most serious issue was that Japan's government stipulated a new food hygiene law which was made into effect in 2002. In the newly developed law, the technical standards are stricter, and some unexpected factors also exist. Such technical measures and green barrier make an enormous threat to China's vegetable export.On the basis of quantified analysis, this paper applies both theoretical and empirical studies. It fully analyses the productivity and superiority of China and Japan. Furthermore, it analyses the impact of Japan's green barrier on China's vegetable export and production. In addtion to it, on the basis of new trade protection theory, the paper uses the game theory and empirical model to analyse the factors which contribute to the green barrier in Japan. Finally, on the basis of empirical model, the paper provides some suggestions.In the theoretical analysis section, the paper discusses the theories of trade protection and green trade protection. Based on the background and factors, the paper gives the defination of green barrier. And the paper analyzes the impacts of green trade barrier, and green tariff on the trade and social welfare.In the empirical analysis, firstly, the paper analyses the trade and competition status of China's vegetable products and draws the traits of China's vegetable trade. Using the indice of NTB, RCA, CA, DRCC, the paper analyses the competition of China's vegetables. Then, the paper analyses the trade, transportation, production, andcompetition of Japan's vegetables, and based on them, the paper quantified the international competition of Japan's vegetables.Secondly, the paper discuss a series of Japan's technical measures, and analyses the impacts of them on vegetable trade. Importantly, the paper analyses the changing of production cost and the changing of DRCC and based on them, quantifies the impacts of green barrier on comparative advantage of China's vegetables.Based on the theoretical and empirical analysis, the paper discuss the reason of applying the green barrier. From one side, it is because of quality and pollution. From another side, it is for the trade protection.Finally, the paper supplies the suggestions for the different reasons. It provides trade strategy according to trade protection, and it provides production suggestions according to environmental reasons.