By Jean-Christophe Bureau, Wayne Jones, Estelle Gozlan, Stephan Marette (auth.), Barry Krissoff, Mary Bohman, Julie A. Caswell (eds.)

Consumers have continuously been interested in the standard, and especially the security, of the meals they consume. in recent times this trouble has taken on extra prominence. client concentrate on meals defense has been sharpened by means of stories approximately new hazards, corresponding to that posed by means of "mad cow" disorder, and approximately extra general assets of threat, comparable to nutrition­ borne pathogens, insecticides, and hormones. whilst, a few shoppers are in­ creasingly attracted to understanding extra approximately how their meals is produced and in choosing items in keeping with construction practices. a few of the questions shoppers are asking in­ clude no matter if nutrients is produced with using smooth biotechnology, if it is or­ ganically produced, how animals are handled in meat and egg creation structures, and no matter if foodstuff is produced utilizing conventional equipment. fresh tendencies additionally convey elevated purchaser call for for quite a few nutrition items which are clean, tasty, and on hand on a year-round foundation. This has fostered elevated worldwide exchange in nutrients. for instance, shoppers in temperate climates reminiscent of North the US may be able to purchase raspberries all year long, and Europeans can get pleasure from South American espresso. exchange in processed foodstuff items is admittedly expanding extra speedily than alternate in agricultural commodities, additional addressing the call for for kind between consumers.

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Krouse, C. , 1990, Theory of Industrial Economics, Basil Blackwell, Cambridge, MA. , 1979, Increasing returns, monopolistic competition and international trade, J Int £Con 9:469-479. Landelfeld, J. , and Seskin, E. , 1982, The economic value of life: Linking theory and practice, Am J Public Health 6:555-566. Magat, W. , and Viscusi, W. , 1992, Informational Approaches ttl Regulation, MIT Press, Cambridge, MA. Mahe, L. , 1997, Environment and quality standards in the WTO: New protectionism in agricultural trade, Eur Rev Agric £Con 24(3-4):480-503.

The interpretation of substantial equivalence differs among regulatory authorities and stakeholders. For some, the concept incorporates an analysis of possible intended and unintended effects of genetic modification. For others, it focuses on the substantive quality and characteristics of the final product. Efforts are currently under way through the Codex Ad Hoc Intergovernmental Task Force on Foods Derived from Biotechnology and the OECD Task Force for the Safety of Novel Foods and Feeds to strengthen the existing common set of principles and information, including substantial equivalence, that can be applied to the safety assessment of novel foods.

C. BUREAU ET AL. However, the increased risk may limit the welfare gains from international trade and should, in any rigorous approach, be taken into consideration when assessing the gains resulting from trade liberalization. Trade Liberalization and Welfare: A Case-by-Case Assessment The examples developed by Falvey (Box 3) and Bureau, Marette, and Schiavina (Box 2) are very particular cases. They are presented as illustrations of possible economic mechanisms, not as empirical evidence that freer trade can have negative effects on product quality.

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