In a paper we published in the journal GM Crops and Food: Biotechnology and Agriculture in the Food Chain, with colleagues from Indonesia and the Philippines, we document the cost of compliance -both actual and estimates- for existing products int he regulatory pipeline in the those countries. These estimates tend to be lower than other estimates in the literature, yet this fact can be a reflection of both countries taking advantage of spillovers from regulatory investments done elsewhere and/or a significant underestimation of actual costs incurred by the public sector. The later could in turn be a result of not inputting the real cost of performing regulatory activities in the public sector -which may be considered a subsidy to and by the public sector in itself- or the fact that not all activities that may be required by the competent regulatory authority have been included in these estimates.
Nevertheless, we discussed many of the implications from the consideration of compliance costs. As we have pointed out in this blog and in a number of published articles, the most pertinent issue from a public and/or regulatory policy view, may not be the cost of compliance rather the time needed to complete regulatory hurdles and the potential for introducing uncertainty into the regulatory decision making process which may have a negative impact on investment decisions.
To access the full abstract for the article by Falck Zepeda, J., J. Yorobe, Jr., B. Amir Husin, A. Manalo, E. Lokollo, G. Ramon, P. Zambrano and Sutrisno “Estimates and Implications of the Costs of Compliance with Biosafety Regulations in Developing Countries: The case of the Philippines and Indonesia,”. GM Crops and Food: Biotechnology and Agriculture in the Food Chain. Volume 3, Issue 1 January/February/March 2012, you can