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Affiliation(s)

Centre for Sustainable Industrial and Integrated Development, Ibadan, Nigeria

ABSTRACT

Assessment of the effect of aflatoxin standard of the EU trading partners on bilateral trade values of sub-Saharan African countries primary cocoa export to EU trading partners and sub-Saharan African countries processed cocoa export to EU trading partners from 2001 to 2010 was conducted. The bilateral trade values of sub-Saharan African countries primary cocoa export and processed cocoa export to EU trading partners from 2001 to 2010 was obtained from COMTRADE 2012. Gravity models were utilized to capture the bilateral trade values data for sub-Saharan African countries primary cocoa export and processed cocoa export to EU trading partners from 2001 to 2010 for 11 sub-Saharan African countries primary cocoa and processed cocoa exporters and their nine EU trading partners. The gravity models were estimated utilizing the Tobit model. A comparative analysis of the effect of aflatoxin standards on the bilateral trade values of sub-Saharan African primary cocoa export and processed cocoa exports to EU trading partners was conducted by utilizing descriptive analysis for analyzing the coefficients of aflatoxin standard for primary cocoa export and processed cocoa exports. The result showed that the coefficient of the aflatoxin standard for sub-Saharan African countries primary cocoa export to EU trading partners was 0.9 and the coefficients of aflatoxin standard for the gravity model for sub-Saharan African countries processed cocoa export to the EU trading partners were cocoa butter 0.2057 and cocoa powder 0.666. This implied that, aflatoxin standard of the EU trading partners export market had a lesser market access restriction effect on sub-Saharan African countries processed cocoa exports than that of sub-Saharan African primary cocoa export and that the aflatoxin standard of the EU trading partners export market had a lesser market access restriction effect on sub-Saharan African cocoa butter exports than that of sub-Saharan African countries cocoa powder export in the given period.

KEYWORDS

aflatoxin, sub-Saharan, cocoa, African, primary, processed, countries and export

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