The free market operating in the presence of a major discrepancy between regulatory enforcement for export and domestic aquaculture products is a driving force for the two-track system that currently exists. Export products command substantially higher prices than those destined for the domestic market. Therefore
exports can generate higher income from sales for the producer who can then invest more to improve inputs for higher quality products. Greater scrutiny by importing countries and the threat of substantial losses to the producer if an export shipment is
embargoed provide incentives for that producer not to circumvent safety requirements. There is also an incentive for the government to devote more resources to enforcement of food safety regulations for export products because they generate greater tax revenues.Conversely, very low profit margins in the domestic market, particularly among small-scale producers, allow very little capital to be reinvested in safer production techniques (Ellis and Turner, 2008). Farmers also have less to invest in education about better production methods and the changing regulations for their industry.There is a lower probability of a regulatory infractions coming to the attention of officials and therefore a lower risk of their products being embargoed.