Sanitary And Phytosanitary Electronic Certificates

The digitalisation of agricultural trade via electronic Sanitary and Phytosanitary (SPS) certificates is a crucial tool to reduce trade costs, enhance supply chain efficiency, and to ensure safe trade. Building on OECD research, this report examines the current use and impact of SPS e-certification. Gravity model analysis demonstrates that SPS e-certification significantly boosts trade. Counterfactual estimates reveal it helped averting a reduction in trade by 33% in the meat processing sector during the COVID-19 pandemic. Challenges remain, however, in the implementation and adoption of SPS e-certification due primarily to the legal complexities and financial constraints governments face, as well as resistance to change. Developing countries face additional obstacles created by the digital divide. This report highlights the critical importance of interoperability between systems and the availability of data to fully realise the benefits of SPS e-certification.