Measure the Measure: the Impact of Differences in Pesticide MRLs on Chilean Fruit Exports to the EU

This paper advances the measurement of nontariff measures (NTMs) by discussing a framework for how to compare regulations. We argue that relative differences in SPS regulations trigger the impact on trade flows between trading partner countries and specifically look at maximum residue levels (MRLs) for pesticides in a case study on Chilean fruit exports to the EU. In order to capture the relative differences and stringency in tolerance levels of trading partners, a simple indicator is constructed and applied in an econometric analysis. In comparison to existing indices of regulatory heterogeneity, the depth of information generated by our indicator severely compromises its coverage. Further development of our heterogeneity index will need to aim at including elements of process standards and conformity assessment procedures

The economics of accreditation

This paper is a report on a research project on the economics of accreditation in the UK. The main motivation and objective for the study is to have available a detailed analysis of how the accreditation system impinges on important aspects of economic life, such as innovation and business and economic performance. It aims to improve the general understanding of the benefits of using accredited conformity assessment and to help businesses make informed decisions when procuring conformity assessment and related services. It is also intended to be helpful to government by supporting evidence-based policy making in relation to accreditation and conformity assessmen

The institutionalization of Participatory Guarantee Systems (PGS) in Brazil: organic and fair trade initiatives

Since the nineties the Brazilian organic movements have been looking for alternatives to certification. They have argued that in and of itself or alone certification of family farms and small enterprise is not enough to promote either the learning processes associated with organic production or stimulate development of the local market. The discussion on a Brazilian System for Fair Trade began in 2004, and PGS were considered helpful for organizing farmers, providing guarantees and improving the market. In 2007, a draft of PGS regulation for use in organic was elaborated. The same actors who helped build the Organic System are also discussing Fair Trade System. With the help of public resources, NGOs and family farmers have established systems that provide credibility to consumers with regard to organic qualities and fair trade criteria. The use of PGS is a trend for family farmers trying to access quality markets and also helps participatory research. To some, one perceived challenge is to integrate the two policies (organic and fair trade) since the target publics are similar and the international cooperation agencies give support to both. However, current international initiatives for regulating PGS do not take into account the position of local movements. In the nineties a strategy blind to such a weakness split the organic movements in Latin America and it is unlikely that a similar strategy will promote harmonization or equivalence in the future

Trade Facilitation Measures under Free Trade Agreements: Are They Discriminatory against Non-Members?

Are trade facilitation measures under free trade agreements (FTAs) discriminatory? This important question has yet to be sufficiently explored by the existing literature on trade facilitation. Despite the multilateral scope and non-discriminatory objectives of trade facilitation measures, some trade facilitation measures under FTAs can be discriminatory, similar to those in preferential tariff elimination. Based on a review of FTAs in Asia and the Pacific, this study provides detailed empirical analysis on whether or not trade facilitation provisions in FTAs are exclusive to contracting FTA partners and how the measures can be discriminatory against non-members.Trade facilitation; free trade agreements (FTAs); discriminatory measures; national treatment (NT); most-favored-nation (MFN)

Technical Capacity, Policymaking and Food Standards: An Overview of Indian Experience

The SPS Agreement in the WTO gives legal validity to the CODEX\ud standards. Since the developed countries have been at the forefront of\ud setting the food standards in the CODEX, the developing countries have\ud been increasingly engaged in the CODEX, and also in the WTO, with an\ud objective to increase their exports of the agricultural and food products.\ud But such objective and desire have often been stymied by the lack of\ud institutions which can sustain the intense technical negotiations at the\ud CODEX. If these participations are not qualitatively satisfactory, the very\ud objective of such participations is not fulfilled. But since most of the\ud developing countries are lacking in such high technical capacity, they are\ud unable to influence or qualitatively shape the negotiations in the CODEX.\ud This also impacts their exports of agricultural and food products.\ud India has been an active member of the WTO. But whether it has been\ud able to influence or respond to the play of events internationally and\ud concomitantly balance it with the domestic imperatives that are embedded\ud in the international legal and technological regimes, institutional capacity\ud constraints and other social issues. This paper examines such issues, and\ud also examines some bilateral trade agreements which demonstrate the\ud mounting pressure on the developing countries to conform to the food\ud standards of the developed countries

The European Regulatory Framework and its implementation in influencing organic inspection and certification systems in the EU

The report presents a review of the most important European and international legislation that set the framework for organic certification, of reports prepared by international agencies working with organic standard setting and certification, and of relevant scientific literature. It discusses problems, future challenges of the organic control systems in Europe leading to suggestions for improvement. Food quality assurance is of key importance for the future development of the Common Agricultural Policy of the EU. A large number of mandatory and voluntary assurance and certification schemes exist for agriculture and in the food industry leading to the risk of increased costs for producers and confusion of consumers. Such schemes include the setting of requirements and bodies that undertake control and provide certificates. Requirements can be divided into statutory regulations regarding food safety and good agricultural practice and standards for voluntary attributes. Basic requirements of food safety, animal health and animal welfare are controlled by the Official Food and Feed Control (OFFC) systems, governed by Council Regulation (EC) 882/2004. Third party certification provides credibility to claims related to voluntary standards and is communicated to the consumers through the use of certification marks. The EU has developed a legislative basis for quality claims in relation to geographical indications, traditional specialities and organic farming and considers introducing labelling rules in relation to animal welfare, environmental impact and the origin of raw materials. Organic certification is one of a number of overlapping and competing schemes. The development of organic standards and certification in Europe started with private standards and national rules, leading to Regulation (EEC) 2092/1991. The requirements for competent authorities, control bodies and operators in this regulation regarding the control systems are reviewed. The discussion highlights the low level of knowledge among consumers of the requirements of organic certification, a weak emphasis of the control system on operator responsibility for organic integrity, issues of competition and surveillance of control bodies, a lack of consideration of risk factors in designing the inspection systems and a lack of transparency. A total revision of the European Regulations on organic production began in 2005. One important change introduced by the new Council Regulation (EC) 834/2007 for Organic Food and Farming is that the organic control system is placed under the umbrella of Council Regulation (EC) 882/2004 on Official Food and Feed Controls. Regulation (EC) 834/2007 also requires that control bodies have to be accredited according to general requirements for bodies operating product certification systems (ISO Guide 65/EN 45011). From July 2010 packaged organic products will have to carry the new EU logo as well as the compulsory indication of the control body. The report reviews the requirements for competent authorities, control bodies and operators from the various legal sources. The discussion highlights a lack of clarity on the impact of the OFFC regulation on the organic control system including how risk based inspections are to be implemented and the potential for in-consistencies in the enforcement of the regulation. A number of international initiatives concerned with the harmonisation of organic standards and to a lesser extent certification are reviewed, such as the International Task Force on Harmonisation and Equivalence (ITF)1 Two main alternative guarantee systems for organic production have been developed and researched by a number of organisations including IFOAM, ISEAL, FAO and the EU Commission. Smallholder Group Certification based on an Internal Control System (ICS) and Participatory Guarantee Systems (PGS) could also represent ways to minimize certification costs also for European farmers, in particular for operators that market directly or through very short supply chains. Both systems also illustrate examples of certification systems with a focus on system development and improvement. , the European Organic Certifiers Council (EOOC), the International Social and Environmental Accreditation and Labelling Alliance (ISEAL) and the Anti-Fraud Initiative (AFI). The multilateral initiatives have led to a better understanding of current problems and the scope and limitations for harmonisation. They have also contributed to the sharing of tools and methods and the identification of best practice. Apart from organic farming the European Union has two other food quality schemes: Regulation (EC) 510/2006 on geographical indications and Regulation (EC) 509/2006 on traditional specialities. The report explores the potential for combining these with organic certification, and draws lessons for organic certification based on Italian experience. The final chapter summarises problems and challenges from the previous chapters. Suggestions for improvements of the organic control system focus on two issues: the need for further harmonisation of the surveillance of control bodies and enforcement of the regulation and how operators’ responsibility for further development of organic systems could be supported in the control and certification system