Transcript Document

Strengthening Developing Countries’ Capacities to
respond to Health, Sanitary and
Environmental Requirements
Regional Perspectives
Presentation of the Scoping
Paper for Central America: The
Experience of Costa Rica by
Eduardo Gitli
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Background:
Central American Component
Studies Commissioned
Sectors
Health, sanitary & env.
related requirements
1.
Central America and the
International Trade of Poultry
Products
Eduardo Gitli, Randall Arce &
Eliana Villalobos, CINPE
Poultry
Application of SPS
regulations against
specific avian diseases
and HACCP requirements
(exports US & intra- CA)
2.
Sanitary and Environmental
Barriers to Trade in Fisheries:
The Case of Costa Rica
Max Valverde, Ambio Foundation
Fish &
Fishery
products
Environmental measures
as well as HACCP, &
stringent testing
requirements
3.
Barriers to Organic Agriculture:
Organic
Products
The Case of Costa Rica
Roxana Salazar, Ambio Foundation
IDRC/UNCTAD Project INT/99/A64
Standards, TBT & SPS
(Labeling and
Certification issues)
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Scope & Objectives
Scope:
 Implications of health, sanitary & environmental
requirements in international markets for exports of
Central America.
 Trading conditions for organic agricultural products.
Objectives:
 Designing strategies at the national & international levels
to strengthen capacities to respond to health &
environment related requirements & opportunities.
 Recommendations for future trade negotiations & improve
DCs insertion into the MTS.
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Main Findings:
Poultry
 Poultry exports by Central American countries are
very small and confined to trade within this region.
 Different degrees of tariff protection and sanitary
measures exist throughout Central American
countries.
 Costa Rica, the main poultry exporter is the only one
that has made efforts to be declared “Newcastle V
free” to be able to enter the US market. Despite
these efforts Costa Rica cannot export poultry to
the US because HACCP has not yet been widely
implemented.
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Main Findings:
(Continued)

Difference between the price per pound of
chicken breast which almost doubles the price per
pound of drumsticks.
Chicken Breast
(Price per Pound)
Chicken
Drumsticks
(Price per Pound)
U.S.
$ 2.60
$ 1.44
Costa Rica
$ 1.15
$ 1.30
Source: Gitli 2001, Supermarket Prices for Chicken and Chicken Parts, 1999 and 2000
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Lessons learned:
Poultry
 In Central American countries compliance with SPS
measures is considered the reasonable “way of doing
business”.
 In particular, CR attempts to engage proactively in
standard setting processes & to anticipate
standards if/when possible.
 However, other Countries, i.e., Guatemala, prefer to
focus on the regional market rather than on
developed country markets in the case of poultry
exports.
 Compliance with standards = market access
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Main Findings:
Organic Products

Organic markets are very demanding, i.e., quality,
packaging & costs of certification are very high.

Organic farms are small & dispersed throughout
Costa Rica, difficult to achieve economies of scale.

Trade in organic food and the growth in OA
production are hampered by lack of harmonized
regulations among potential trading partners.

Recently the Government of CR through the National
Program of Organic Agriculture (1995, within MAG)
& other stakeholders are actively involved in
promoting organic production and exports.
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Main Findings:
Organic Products
 National Organic
Standards &
Regulations
 Organic
Certification


 Cost of Certification
 Effort to become
included in the EU
equivalent “third
country” list
Harmonization of
organic food
regulations
Commercialization
Institutional
Support

Commercialization

Identification of
Priorities/
Recommendations
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Lessons Learned:
Organic Products
The NPOA has identified the following priorities
at the national level:

Strengthening alliances with media &
consumers consumption.

Providing training for extension workers.

Developing incentives.

Building a national strategy through a
participatory process.
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Main Findings:
Fishery Products
Chart 3. Export destinies
12%
6%
9%
US
Ctral. Am.
73%
EU
Others
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Main Findings & Lessons Learned:
Fishery Products

Environmental barriers are here to stay. (WTO
litigation, Shrimp-Turtle and Asbestos Case,
effectiveness).

Equivalency is interpreted as “sameness” as the TED
and HACCP experience shows.

Technical aid seldom crystallizes (e. g. HACCP labs).

Often, negotiation leads to better results than
litigation.

National legislation is a prima facie token of good faith.

Notification mechanisms do not work as soundly as
expected.
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
Main Findings & Lessons Learned:
(Continued)
The extension of HACCP to the whole
supply chain (fishing boats, offshore
storage facilities, processing plants) is
the main threat for Costa Rican
fisheries.
It makes sense from an
innocuousness point of view.
But
technical assistance and a longer phasein period are required if we want to
prevent a social catastrophe.
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
The Way Forward
At the National Level
At the Multilateral Level
 Pro-active/Preventive
Actions

Harmonisation

Equivalency & mutual
recognition of
standards
 Capacity-building

Transparency
 Public-private
coordination

Technical Assistance

Standard setting
 Drafting/Implementing
national legislation
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI
All the papers are available on the
UNCTAD Trade and Environment
website:
http://www.unctad.org/trade_env/index.htm
Workshop on Standards and Trade
16-17 May 2002, Geneva, Palais des Nations, Room XXVI