There is a widely held view that global private standards would eventually replace the national regulatory institutions in developing countries. The purpose of our paper is to suggest an alternative view to the above. We consider the capacity of regulatory institutions in developing country can be strengthened in the global context. We will look at the quality and sanitation standards for food and agricultural products, with cases of salmon farming industry in Chile and the fresh agricultural products in Mexico. The national regulatory institutions have been traditionally strong for food and agricultural sector. Two cases illustrate that role of national regulatory institution is still important but performs different functions in the present-day context.