Driven by market, consumer preferences and recent climate change discussions, the usage of ‘sustainability’ standards has over the last decade gained ground worldwide. Sustainability standards are largely voluntary, non-mandatory and an increasingly important component of the green economy. While on the one hand the usage of sustainability standards helps achieve several economic and environment objectives, on the other hand they can potentially act as barriers to trade in particular for small producers. This paper examines the potential trade and commercial aspects of sustainability standards in terms of their diversity, cost of incorporation and interaction with supply chains. It considers the compatibility of sustainability standards with the existing trade architecture of the World Trade Organization, drawing on relevant case law developments. Finally, it recommends the usage of international platforms such as the UNFSS and ITC Standards map, to enable product/ service specific information sharing, conformity assessment and business networking.

1. Introduction
2. The Trade and Sustainability Interface
    A. Understanding the ‘Sustainability Standards’
    B. Product or Process based Sustainability Standards?
3. Commercial and Trade Considerations of Sustainability Standards
    A. Cost Drivers and Sustainability Standards
    B. Fragmentation of Sustainability Standards
    C. The Interaction between Global Supply Chains and Sustainability Standards
4. Sustainability Standards Interlinkage with the WTO Agreements
    A. Sustainability Standards as Potential Non-Tariff Barriers to Trade
    B. The WTO Agreement on Government Procurement
    C. Decisions of the WTO Dispute settlement Body
5. Conclusion and Recommendations
References

• Deepali Fernandes(University of Zurich; International Trade Consultant)
• Yongmin Bian(International Law at the University of International Business and Economics Law School)