ESTABLISHING PRODUCT STANDARDS AND CERTIFICATION SYSTEMS

1. ESTABLISHING PRODUCT STANDARDS AND CERTIFICATION SYSTEMS Iddya Karunasagar Fish Utilisation and Marketing Service FAO, Rome

2. SPS AND TBT AGREEMENTS • Introduce new disciplines that govern trading practices at international level • Set out rights and responsibilities of WTO members • That wish to take action to restrict imports in order to protect human, animal or plant health • When applying technical regulations and standards and conformity assessment procedures for traded goods

3. SPS AGREEMENT • RIGHT: to ensure that consumers are being supplied safe food • Safe by the standards the country considers appropriate • OBLIGATION: to ensure that strict health and safety regulations are not being used as an excuse for protecting domestic producers

4. SPS AGREEMENT • Restrictions should be minimum necessary to human, animal or plant health • They should be based on scientific principles and not maintained without sufficient scientific evidence • Governments must notify each other of SPS measures in the course of preparation

5. SPS AGREEMENT • Members are encouraged to adhere to international standards where they exist • Higher standards can be enforced, if there is scientific justification provided in accordance with internationally accepted risk assessment techniques

6. SPS AGREEMENT • Members should accept SPS measures of other countries as equivalent, even if different, where they provide the same level of protection as their own regulations • Control, inspection and approval procedures should be undertaken in no less favourable manner for imported products than for similar domestic products

7. SPS AGREEMENT • With regard to food safety measures, members should base their national measures on international standards, guidelines adopted by Codex Alimentarius Commission (CAC) • For Animal life and health, measures should be based on standards and guidelines adopted by the International Office of Epizootics (OIE)

8. SPS AGREEMENTArticle-1 General ProvisionsAnnex A DefinitionsSanitary/Phytosanitary Measures Any measure applied to Protect Human and Animal Life or Health from Risks from • improper use of food additives • contaminants • toxins • disease causing organisms in foods, beverages or feedstuffs

9. SPS AGREEMENTArticle-1 General ProvisionsAnnex A DefinitionsSanitary/Phytosanitary Measures Any measure applied to Protect Animal or Plant Life within the territory of the Member from risks related to the entry, establishment or spread of: • Pests or diseases • Disease carrying organisms • Disease causing organisms

10. end product criteria processes production methods testing inspection certification approval procedures quarantine treatments statistical methods sampling procedures risk assessment packaging labelling SPS AGREEMENTAnnex A - DefinitionsSanitary/Phytosanitary Measures include all laws, decrees, regulations, requirements and procedures related to

11. DEFINING PRINCIPLES OF SPS AGREEMENT(Article 2) • ADEQUACY: measures should only be applied to the extent to protect the health • JUSTIFICATION: measures should be based on scientific evidence • NON DISCRIMINATION: measures should not arbitrarily or unjustifiably discriminate, where identical or similar conditions prevail.

12. TBT AGREEMENT • Tries to prevent standards becoming obstacles for trade • Products imported from any WTO member receiving no less favorable treatment given to similar product of national origin or originating in any other country • Standards should be based on legitimate objectives, be drafted in terms of performance rather than design

13. TBT AGREEMENT • Governments should notify each other of standards in the course of preparation • Members are encouraged to adhere to international standards, where possible • Accept standards of other countries as equivalent, even if different, where they meet objectives of their own regulations • Foreign suppliers should have access to conformity assessment procedures on terms no less favourable than domestic producers

14. TBT AGREEMENT • Covers all types of consumer products including foods • Does not apply to requirements covered by SPS agreement • Covers measures designed to protect consumer against deception and fraud

15. TBT AGREEMENT • States that all technical standards and regulations must have a legitimate purpose • The impact or cost of implementing a standard must be proportional to the purpose f the standard • If there are two or more ways of achieving the same objective, the least trade restrictive alternative should be followed

16. Technical Barriers to Trade Agreement (TBT)Annex 1. Definitions • Technical regulation Document which lays down product characteristics or their related processes and production methods, including the applicable administrative provisions, with which compliance is mandatory. It may also include or deal exclusively with terminology, symbols, packaging, marking or labelling requirements as they apply to a product, process or production method.

17. Technical Barriers to Trade Agreement (TBT)Annex 1. Definitions • Standard Document approved by a recognized body, that provides, for common and repeated use, rules, guidelines or characteristics for products or related processes and production methods, with which compliance is not mandatory. It may also include or deal exclusively with terminology, symbols, packaging, marking or labelling requirements as they apply to a product, process or production method.

18. Technical Barriers to Trade Agreement (TBT)Annex 1. Definitions • Conformity assessment procedures Any procedure used, directly or indirectly, to determine that relevant requirements in technical regulations or standards are fulfilled.

19. Implications of the SPS and TBT agreements in Fisheries

20. SPS/TBT AgreementsGeneral Principles • Sovereignty • Harmonization • Equivalency • Scientific basis • Transparency • Technical Assistance • Special and differential treatment • Consultation and dispute settlement

21. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement Each country is sovereign to establish SPS measures it terms necessary to protect human and animal health and plants SPS/TBT AgreementsGeneral Principles SPS AGREEMENTAnnex A Definitions Appropriate Level of Protection The level of protection deemed appropriate by the Member to protect human, animal or plant life or health • “Acceptable Level of Risk”

22. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement Prohibits discriminatory, disguised or unnecessary restrictive trade measures SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 2 Basic Rights • Recognizes the rights of Members to establish appropriate levels of protection • Outlines the application of scientific evidence in establishing sanitary/phytosanitary measures

23. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement or for the prevention of deceptive practices, at the levels considered appropriate SPS/TBT AgreementsGeneral Principles The TBT Agreement establishes rights of Members: • to ensure the quality of its exports, • to protect human, animal or plant life or health • to protect the environment

24. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTAnnex ADefinitionsHarmonization Establishment, Recognition and Application of Common Sanitary/Phytosanitary Measures by Members

25. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTAnnex ADefinitions: HarmonizationCodex Alimentarius Commission Standards, Guidelines, and Recommendations for Food Safety • Food Additives • Veterinary Drug and Pesticide Residues • Contaminants • Methods of Analysis and Sampling • Codes /Guidelines of Hygienic Practices

26. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTAnnex ADefinitions: Harmonization • Standards, Guidelines, and Recommendations for Animal Health and Zoonoses • International Office of Epizootic • Standards, Guidelines, and Recommendations for Plant HealthInternational Plant Protection Convention

27. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTAnnex ADefinitions: Harmonization • For matters not covered by the identified Organizations • Standards, guidelines, and recommendations promulgated by other international organizations, open for membership to All WTO members, as identified by the SPS Committee may be applied

28. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 3Harmonization • Members shall base Sanitary and Phytosanitary Measures on international standards, guidelines and recommendations • Measures which conform to international standards are consistent with Agreement • Higher level of protection may be used

29. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 3Harmonization • Members are to fully participate in relevant international organizations • WTO to monitor progress of international harmonization

30. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 4Equivalence • Members shall accept other Member measures as equivalent, if final results are the same • Members shall consult to achieve bilateral and multilateral agreement (Mutual Recognition Agreements)

31. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 5Risk Assessment • Risk Assessment should take into account • available scientific evidence • relevant processes and production methods • inspection/sampling/testing methods • prevalence of specific diseases or pests • existence of pest/disease free areas • ecological/environmental conditions • quarantine or other treatment SPS Measures are to be based on an assessment of the risks to Human, Animal and Plant life and health using internationally accepted Risk Assessment Techniques

32. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 5: Risk Assessment • SPS Measures should minimize negative trade effects • Arbitrary or unjustified measures shall not be considered • Members may provisionally adopt international Standards • Protection level shall not be trade restrictive • Explanations may be requested by Members

33. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 7Transparency • Publication of regulations and provide lead time for comment • Establish Enquiry Point • Establish Notification Procedures • General Reservations (related to Confidential information)

34. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement Bypass publication Immediately notify Members through SPS Committee Secretariat Allow Members to comment and take comments into account SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 7Transparency Emergency circumstances

35. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 7Transparency Notification Procedures • Prompt publication • Provide information on effected products, objectives and rational • Provide copies of regulation on request • Allow Members to comment and take comments into account

36. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 9Technical Assistance • Members agree to facilitate technical assistance, especially to developing countries • If substantial investment is needed, technical assistance should be provided (WTO is not a funding organization)

37. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENT Article 10: Special and Differential Treatment • Members are to consider needs of other Member countries • Time limit exception (granted by SPS Committee upon request) • Longer time frames for compliance with this agreement • Developing countries should actively participate in international organizations

38. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles SPS AGREEMENT Article 11Consultations and Dispute Settlement • Rules established by GATT (Article XXII and XXIII) • Technical/Scientific - advise from experts, advisory panels or relevant international organizations • Other existing international agreements may be used

39. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement review operational procedures after3 years SPS/TBT AgreementsGeneral Principles SPS AGREEMENTArticle 11 Administration The SPS Committee was established to • encourage the use of International Standards • maintain contact with international organizations • develop procedures to monitor harmonization • monitor for duplication of procedures • examine specific standards

40. Sovereignty Harmonization Equivalence Scientific basis Transparency Technical Assistance Special and differential treatment Consultation and dispute settlement SPS/TBT AgreementsGeneral Principles TBT AGREEMENT The Committee on TBT • Meets as necessary, at least once a year • To enable members to consult on the operations of the agreement • Committee can establish working parties or other bodies as appropriate • Committee to ensure duplication with other technical bodies is prevented

41. Harmonization Equivalence Scientific basis Special and differential treatment/Technical assistance Achievements and Challenges

42. Harmonization Equivalence Scientific basis Special and differential treatment/ Technical assistance Shortcomings: Different inspection and control schemes Different fish standards applied High rates of detentions/rejections Achievements and Challenges • Achievements: • HACCP-based systems widely accepted • Codex Alimentarius Commission accepted as the international standards setting body

43. Harmonization Equivalence Scientific basis Special and differential treatment/ Technical assistance Shortcomings: Very few agreements Obligation of means vs. obligation of results Achievements and Challenges • Achievements: • “Food chain” and “Control at source” approaches • Cost-effectiveness of these approaches

44. Harmonization Equivalence Scientific basis Special and differential treatment/ Technical assistance Shortcomings: Needs exceed by far activities undertaken Lack of resources in developing countries Many standards not scientifically based Achievements and Challenges Achievements: • Risk analysis widely accepted • National and International work undertaken

45. Harmonization Equivalence Scientific basis Special and differential treatment/ Technical assistance Shortcomings: Developing countries obliged to meet market requirements Needs exceed by far initiatives Lack of resources in developing countries Many standards not scientifically based Achievements and Challenges • Achievements: • Regional and national initiatives (SIDA, EC-ACP) • STDF (Standard and Trade Development Fund) • Trust Fund for CAC

48. Risk Analysis Components • (Quantitative) Risk Assessment • How big is the risk, what factors control the risk? • Scientific process • Risk Communication • How can we talk about the risk with affected individuals? • Social and psychological process • Risk Management • What can we do about the risk? • Political process

49. 'risk assessment' means a scientifically based process consisting of four steps: hazard identification, hazard characterisation, exposure assessment and risk characterisation; 'risk management' means the process, distinct from risk assessment, of weighing policy alternatives in consultation with interested parties, considering risk assessment and other legitimate factors, and, if need be, selecting appropriate prevention and control options;

50. 'risk communication' means the interactive exchange of information and opinions throughout the risk analysis process as regards hazards and risks, risk-related factors and risk perceptions, among risk assessors, risk managers, consumers, feed and food businesses, the academic community and other interested parties, including the explanation of risk assessment findings and the basis of risk management decisions;