Whither commodity-based trade?

Abstract

Market access for livestock products from Africa has traditionally been limited by the presence of certain infectious diseases that pose risks to animal and human health. However, an increasingly discussed option for increasing market access for African meat exports is the concept of commodity-based trade (CBT) that focuses on the health and safety attributes of the product rather than the disease status of the country of origin. While this concept is gaining traction in international policy circles, there have been few analyses on the potential economic impacts and unintended consequences of such an approach. This paper examines the principles behind a dramatic shift in approach to trading opportunities that CBT might bring, exploring both technical and economic considerations.