This paper investigates the impact of pesticide regulations, measured through maximum residue levels (MRLs), on the competitiveness of European Union (EU) agri-food sectors. Using a novel dataset combining EU and Codex standards for 193 pesticides across 117 HS6 products (2010–2023), and incorporating hazard classifications, we construct indices of regulatory stringency. Competitiveness is evaluated through multiple revealed comparative advantage (RCA) indicators. Results show a predominantly negative relationship between MRL stringency and EU competitiveness, particularly for highly and extremely hazardous pesticides, reflecting increased compliance costs and reduced export shares. However, country’s intrinsic comparative advantage measures indicate positive effects for extremely and highly hazardous pesticides, suggesting selection mechanisms where more productive regions, sectors or firms remain and expand. The impact varies across sectors and regions: fruits and vegetables are most negatively affected, while cereals and oilseeds are more resilient, with the Mediterranean region performing better. Overall, stricter MRLs reshape rather than uniformly reduce competitiveness, with important implications for EU trade policy the design of regulatory measures such as mirror clauses. ---------------Funding acknowledgementFunded by the European Union. Grant Agreement No. 101060075. Views and opinions expressed are those of the authors only and do not necessarily reflect those of the European Union or the European Commission. Neither the European Union nor the granting authority can be held responsible for them.UK Research and Innovation Project Code: 10047415 https://gtr.ukri.org/projects?ref=10047415 CitationSanjuán A.I, Garcés I., Philippidis G., (2026). The EU MRLS on pesticides and EU competititiveness. Project deliverable Brighstpace Horizon Europe project GA Nr. 101060075. https://doi.org/10.5281/zenodo.19730121 Legal noticeThis document was produced under the terms and conditions of Grant Agreement No. 101060075 for the European Commission. It does not necessary reflect the view of the European Union and in no way anticipates the Commission’s future policy in this area. The European Commission is not liable for any consequence stemming from the reuse of this publication.© BrightSpace, 2025The reuse of this document is authorised under a Creative Commons Attribution 4.0 International (CCBY 4.0) licence (https://creativecommons.org/licenses/by/4.0/). This means that reuse is allowed provided appropriate credit is given and any changes are indicated.For any use or reproduction of elements that are not owned by the BrightSpace consortium, permission may need to be sought directly from the respective right holders.Project informationBrightSpace Horizon Europe project Grant Agreement No. 101060075https://cordis.europa.eu/project/id/101060075CALL: Innovative governance, environmental observations and digital solutions in support of the Green DealWORK PROGRAMME Topic ID: HORIZON-CL6-2021-GOVERNANCE-01-12 EU agriculture within a safe and just operating space and planetary boundariesBrightSpace Project coordination: Wageningen Economic Research, The Hague, NLContact: brightspace.wser@wur.nl | Website: www.brightspace-project.euProject duration: 1 November 2022 – 31 October 2027
Sanjuán et al. (Fri,) studied this question.