Summary
This report investigates the impact of Voluntary Sustainability Standards (VSS) on exports from developing countries, focusing on eight key agricultural commodities and twelve certification schemes from 2013 to 2021. The findings indicate that VSS certification generally boosts exports, with a one percent increase in VSS coverage leading to an average 1.86% rise in export value. However, the analysis also reveals that as certification levels grow, trade gains may diminish due to non-linear effects. In addition, trade benefits are found to be more significant for lower-income exporters trading with high-income markets, as VSS helps reduce information asymmetries. Finally, the report notes that increased domestic standards and rising foreign competition may mitigate these positive effects for primary agricultural exporters.