Impact of global value chains on tariffs and non-tariff measures in agriculture and food

•Theory predicts that tariffs will be lower in countries integrated in GVCs.•We test this prediction in the agri-food sectors of about 160 countries over the 1995–2015.•We consider both tariffs and non-tariff measures (NTMs) as policy outcomes.•Both forward and backward GVC integration reduce significantly tariffs and NTMs.•Strong GVC integration lower tariffs mainly outside RTAs. We analyse whether global value chains (GVCs) reduce trade barriers in the agricultural and food sectors as they affect lobbying and government incentives. Political economy theory predicts that tariffs will be lower in countries integrated in GVCs and that the effect will be stronger outside regional trade agreements (RTAs). We use data from 1995 to 2015 from 160 countries on tariffs and non-tariff measures (NTMs) in the agri-food sector. Our evidence indicates that GVC integration, measured as domestic (foreign) value added in foreign (domestic) final goods, does affect trade policy. Stronger GVC integration is associated with lower tariffs, but mainly outside RTAs, and lower NTMs, both inside and outside RTAs.