The Impact Of EU Pesticide MRL Standards On China's Tea Export: An Empirical Study

Recently, the developed countries and regions such as Japan and EU introduced international standards as more than 80%. Animal resourced foods, machinery and electrical appliance and textile and costume are the three areas the international standards mostly focus on. Tea is one of China's traditional export agriculture products. As the further opening of international agriculture market and its fierce competition, a series of sanitary and phytosanitary standards are set up by some developed countries on China's tea export, which effect great influence on our tea exports.Firstly, the constitutes of EU agriculture green technology standards system and EU agriculture MRL regulations are introduced, which give readers a previous understanding on EU agriculture system, and make road to the following empirical analysis.Secondly, analyze the impact of EU tea pesticide MRL standards on China's tea exports. This paper combined the advantages of both domestic and foreign literatures, introduce new variable: the quantity of standards, to measure the stringent of standards on China's tea exports other than dummy variable which were introduced most in domestic literatures. On the same time, factors such as exchange rate and price are added in the gravity model, reconstruct gravity model, to study the impact of EU tea pesticide MRL on China's tea exports. The results are similar to most literatures: EU agriculture pesticide MRL blocked China's tea exports. Other factors, such as price and exchange rate, are imported in the model; the results of regression indicate price and exchange rate have significant effect on China's tea exports. All of these are consistent with the practice experience. Every time when EU's new regulations and laws relevant to agriculture pesticide MRL are make out, it has significant effect on China's tea exports. Generally speaking, the sharing standard promotes trade. China's pesticide MRL standard is included in EU standard, so, China's pesticide MRL standard is considered as the sharing standard. However, the result of the empirical study is the increase of china's standard doesn't promote trade. The main reason is there is big gap in pesticide standard quantity between EU and China.At last, analyze the problem of China's agriculture standard system and the main characters of foreign developed countries'agriculture standard system. Then, suggestions are made to construct China new agriculture standard system in the new times.