Ensuring sanitary and phytosanitary standards

Have we ever checked what we are consuming in the name of imported fresh fruits and other food products and exporting vegetables and frozen food? We have never asked whether these are produced adhering to Sanitary and Phytosanitary regulations adopted under the Agreement negotiated in the Uruguay Round.

The Agreement on the Application of the Sanitary and Phytosanitary Measures was negotiated in the Uruguay Round. The Agreement specifies the principles and rules which member countries must use in regulating imports or exports of products. Bangladesh is one of those countries that imports agricultural products like raw cotton, rice, wheat, plants, fresh fruits, vegetables, meat, meat products and other food items. Is required to satisfy sanitary and phytosanitary regulations as well product standards. Many countries restrict the export of these products if they do not meet the quality requirements specified by regulations.

How can these regulations affect International Trade? Knowledge of health and sanitary regulations is important in planning exports or imports. A few examples will clarify the issue. A number of fresh fruits and vegetables have strict regulations on plant protection. Bangladesh imports US cotton for the spinning mills. But without fumigation for 72 hours at Chittagong Port, the consignment is not released. Even when fumigation is on the consignment is kept in a separate specified area. This restriction has been in operation since 1980s as the cotton is infected with a virus called ‘Ball Wovel’ which has the ability of destructing plants. Fumigation regulation of US Cotton was imposed by Agriculture Ministry. Many countries require fresh commodities from countries with specific pests, especially the fruit fly of Taphridiate (Butterfly) family, to be treated to prevent the establishment of pests in their territories. In the past ethylene di-bromide (EDB) was widely used for fumigation of such produce prior to importation. The prohibition of EDB by US, Japan and other countries jeopardize trade in fresh fruits and vegetables originating from tropical and semi- tropical countries. Because of the prohibition of EDB use, chemicals such as methyl bromide, phosphine and cyanide are used with varying degree of success. The Agreement on Sanitary and Phytosanitary Measures take into account human, animal and plant life or health.

Assessment of Risk Elements:

The Agreement has laid down some parameters to assess risks of various types. They are:-

From risk arising from the entry, establishment or spread of pests, diseases, disease carrying organisms or disease causing organism,

From risk arising from additives, contaminants, toxins or disease causing organisms in food, beverages, or feedstuffs,

From risk arising from disease carried by animals, plants or products thereof.

SPS Analysis:

Like the Agreement on Technical Barriers to Trade (TBT), SPS Agreement requires countries to:-

Base their SPS regulation on international standard guidelines or recommendation,

Play a full part in the activities of international organizations in order to promote the harmonization of SPS regulations on an international basis,

Provide an opportunity to interested parties in other countries to comment on standards which are not based on international standards,

Accept the SPS measures of exporting countries as equivalent if they achieve the same level of SPS protection.

It appears that both TBT and SPS are similar and are substitute to each other. Had it been so experts at Uruguay Round Negotiation would not have negotiated two separate Agreements. However, a deeper analysis reveals that TBT and SPS differ in a number of areas. They are as follows:-

The TBT Agreement requires that product standards should be applied on a Most Favoured Nations (MFN) basis. But the SPS Agreement permits standards to be applied on a discriminatory basis provided that they “do not arbitrarily unjustifiably discriminate between members where identical or similar condition prevail” The logic behind this rule is due to climatic differences, incidence of pests and fruit safety conditions.

SPS Agreement provides greater flexibility for countries to deviate from international standards than is permitted under TBT Agreement. TBT Agreement allows a country to deviate from international standards if this is necessitated by “climatic or geographic factors or technical problems”. The SPS Agreement on the other hand states that a country may introduce an SPS measure resulting in a high level of SPS protection than that achieved by an international standard. While assessing the risk to animal or plant life or health, economic factors such as establishment/ spread of pests/ disease, costs of control or eradication in importing member country to be taken into account.

In determining the appropriate level of SPS protection, the objective of minimizing negative trade effects should be kept in mind.

SPS Agreement permits countries to adopt SPS measures on a provisional basis, as a precautionary step when there is imminent risk of the spread of disease.

The number of Technical regulations laying down mandatory standards is steadily increasing in the most countries. The trend is the response of the governmental regulatory authority, to growing public demand that products marketed should meet minimum quality and safety standards and not have any adverse impact on health and on environment. Regulating authority should set and apply stricter health and sanitary regulation. To help enterprises obtain sanitary and phytosanitary information the two Agreements require each member country to set up enquiry point from which information can be obtained by interested business enterprises on issues such as:-

Technical regulations and voluntary standards adopted or proposed to be adopted;

Conformity assessment procedures, adopted or proposed to be adopted;

Sanitary and Phytosanitary regulations adopted or proposed th be adopted;

Control and inspection procedures, production and quarantine treatment, pesticide tolerance, and food additive approval procedures

The two Agreements aim to protecting interests of the foreign suppliers. However, standards ---both mandatory and voluntary as well as health and sanitary should not be formulated and applied so as to cause unreasonable barriers to trade. Business enterprises while exporting to the export markets conform to rules laid down in the Agreements. In case of non-conformity, they should bring it to the notice of the government so that government to government negotiation could begin. However, success of negotiation depends on the skill and efficiency of the government nominated persons. The Agreements further visualize that in certain areas consultations and co-operation between nations and standardizing authorities responsible for overseeing the operation of the Agreements. However, unnecessary creation of obstacles to trade should not be allowed. Further draft regulations to non-conformity to health, technical or sanitary areas to be published for member countries to comments.

A detail discussion has been made to help business enterprises to avoid future complicacy both in exports and imports. Bangladesh imports and exports huge quantities of agricultural products, plants, fresh fruits, vegetables, meat, meat products, dry foods, bakery items, shrimps, fishes and other food items. However, we hardly ask foreign suppliers whether sanitary and phytosanitary regulations been properly followed or not. Similarly, when Bangladesh exports those items to foreign markets, we never take/adopt regulations laid down by the Agreements. Rampant use of formalin as a preservative can create serious problem for our trade regime. Authorities responsible for overseeing the application of the regulations must increase their surveillance to make sure our products are safe for human health and environment.

The writer is former Director General of EPB. He can be

reached at hassan.youngconsultants@gmail.com