Assessment of the economic impact of product certification: A significant area of application of measurement

Measurements to test whether the application of national and international standards and harmonized metrology-related procedures have impact on trade were carried out. The economics of conformity assessment procedures and their impact on trade of industrial products were reviewed. In particularly, the associated economic impact resulted from product certification induced by technological and macroeconomic variables was assessed. Within the context of a case study, four key leading industrial products (steel, bus coachwork, automotive tires and cement) exhibiting potential export were investigated. With the exception of cement, whose production is nearly matched by consumption, the other three possess growing export potential. The production time series of these products were fitted by means of a multiple linear regression method, successfully applied to a 5% level of significance. For all products studied, a substantial growth in production (over 11%) was attributed to product certification; translating into a significant economic impact. The multiple linear regression approach was able to account for the idiosyncrasies of shared product standards and conformity assessment procedures in specific industries to explain an increase in production which, directly, affects trade.