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WTO SEMINAR TECHNICAL ASSISTANCE AND CAPACITY-BUILDING RELATED TO THE AGREEMENT ON THE APPLICATION OF SANITARY AND PHY

WTO SEMINAR TECHNICAL ASSISTANCE AND CAPACITY-BUILDING RELATED TO THE AGREEMENT ON THE APPLICATION OF SANITARY AND PHYTOSANITARY MEASURES Geneva, 5 November 2002 UNIDO’S ACTIVITIES RELATED TO MARKET ACCESS FACILITATION & SPS MEASURES Presented by Dr. B ernardo Calzadilla -Sarmiento

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WTO SEMINAR TECHNICAL ASSISTANCE AND CAPACITY-BUILDING RELATED TO THE AGREEMENT ON THE APPLICATION OF SANITARY AND PHY

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  1. WTO SEMINAR TECHNICAL ASSISTANCE AND CAPACITY-BUILDING RELATED TO THE AGREEMENT ON THE APPLICATION OF SANITARY AND PHYTOSANITARY MEASURES Geneva, 5 November 2002 UNIDO’S ACTIVITIES RELATED TO MARKET ACCESS FACILITATION & SPS MEASURES Presented by Dr. Bernardo Calzadilla-Sarmiento Senior Advisor - UNIDO Office at Geneva

  2. UNIDO’S ACTIVITIES RELATED TO MARKET ACCESS FACILITATION & SPS MEASURES • UNIDOs Conceptual framework: the 3 Cs approach • UNIDOs TBT& SPS related programmes: an overview • SPS related case Study: Lake Victoria Project

  3. DEVELOPING COUNTRIES ARE TAKING LIMITED ADVANTAGE OF IMPROVED ACCESS CONDITIONS BECAUSE: • They have serious shortfalls in capabilities • They face major non-tariff barriers to trade

  4. unable to produce goods of competitive quality and quantity. Supply often incompatible with international standards. Standards Metrology and testing no recognized laboratory capacities. Trade little say in international trade agreements Marketing and export promotion unable to identify and attract target consumers CAPACITY SHORTFALLS

  5. NON – TARIFF BARRIERS AFFECTING MARKET ACCESS REGISTRATION, DOCUMENTATION & CUSTOMS ISSUES SANITARY & PHYTOSANITARY MEASURES (SPS) TECHNICAL BARRIERS TO TRADE (TBT) MARKET ACCESS FACILITATION TRANSPORTATION & TRANSIT INTERNATIONAL RULES FOR TRADE INVESTMENT & FINANCIAL MATTERS

  6. Enhanced COMPETITIVENESS of Supply Capacity Countries must have marketable products to sell Recognized CONFORMITY with standards Products must meet market/client requirements Efficient CONNECTIVITY to Markets Rules for trade, customs must be harmonized PRE CONDITIONS FOR MARKET ACCESS The three Cs

  7. P R OD U C T S M A R K E T S Products to Market Develop Competitive Manufacturing Capability Prove Conformity with Market Requirements Connect to the Market Compete Conform Connect ….by upgrading supply capacities and standards infrastructures

  8. A CONCERTED INTER-AGENCY STRATEGY FACILITATES MARKET ACCESS STANDARDS & CONFORMITY ASSESSMNT INFRASTRUCTURE (TBT, SPS) UNIDO, FAO, WHO CUSTOMS PROCEDURES TRANSPORTATION DOCUMENTATION UNCTAD, IMO SUPPLY DEVELOPMENT (Capacity & Competitiveness) UNIDO Compete Conform Connect EXPORT PROMOTION ITC INVESTMENT FACILITATION FINANCIAL FLOWS UNCTAD INTERNATIONAL AGREEMENTS & RULES FOR TRADE WTO

  9. UNIDOs Conceptual framework|: the 3 Cs approach • UNIDOs TBT& SPS related programmes: an overview • SPS related case Study: Lake Victoria Project

  10. UNIDO’s Trade Facilitation & Market Access Programmes • Strategic choices: • Support at national level through UNIDO Integrated Programmes • Engage with regional economic integration processes • Focus on sectors and products with high export potential

  11. OVERVIEW OF UNIDO’S INTEGRATED PROGRAMMES TOTAL NUMBER 38 TOTAL NUMBER WITH FUNDING 32 TOTAL FUNDING REQUIREMENTS US$49.837,735 AVERAGE PROGRAMME DURATION 3 YEARS AVERAGE ANNUAL FUNDING RECEIVED US$ 5,800,000 AVERAGE ANNUAL FUNDING REQUIRED US$16,612,578

  12. GEOGRAPHICAL LOCATION OF ACTIVITIES

  13. Trade Facilitation: MSTQ for Market Access Engagement with regional economic integration processes UEMOA € 12,500,000 SADC Being Finalized AFRICA Follow-up LDC III: Regional programme for Trade participation ECOWAS (LDC) LATIN AMERICA $ 5,300,000; being Finalized Central America AIDMO /ESCWA /UNDP Yemen Regional Programme National Programme strengthening Competitiveness for WTO accession ARAB COUNTRIES $ 2,700,000 South-Asian LDCs ASIA Mekong-Delta $ 2,500.000

  14. Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Niger, Senegal, and Togo Establishment of a UEMOA System for Accreditation, Standardization and Quality Promotion Accreditation •Accreditation secretatiat at UEMOA • Laboratory network • Harmonisation of methods of analysis Standardization •Regional coordination system •Regional standards documentation center • 2002 ACTIONS • Approved € 12.5 ml • Coordination Unit established • Awarenes phase on going • Training Seminars (Standards, ISO 17025 • Study tour to SADC/Central America •Harmonisation of technical regulations Quality Promotion •Sectoral technical structures • Consumer protection • Promotion of standards, technical regulations & quality management • UEMOA award

  15. UNIDO / SADC Initiative to Eliminate current and potential TBTs • Assistance in building up the regional infrastructure for the elimination of TBT. • The framework for the SADC Regional Programme was formulated at a UNIDO - SADC/SQUAM Workshop held in Pretoria, South Africa 27 - 31 August 2001. • The Programme will give effect to the SADC Protocol on Trade (1stSeptember 2000) and enablemembers of SADC to meet WTO requirements on the elimination of non-tariffbarriers to trade within eightyears. • The Programme will enable SADC countries to take advantage opportunities to enhance their manufacturing and export capacity

  16. Facilitating trade participation of 7 ECOWAS countries through enhancement of standards, metrology, testing, quality promotion and related services • Focus: Main export commodities, such as food, textile and leather • US$ 88,500 German funding for programme preparation • Programme Components: • Strengthening of supply capacities • Increasing market reach, harmonization of standards • Development of conformity assessment, laboratory accreditation • Market intelligence services and export promotion • Strengthening of trade negotiation capacity • Streamlining of custom procedures • Cooperating Agencies: WTO, UNCTAD, ITC, PTB Cape Verde, Gambia, Ghana, Guinea (Conakry), Liberia, Nigeria, Sierra Leone.

  17. Trade facilitation in Central America • The Programme aims at tackling specific technical barriers to trade (TBTs) in production areas with critical export potential. • Part of the technical assistance will be to improve the required infrastructure for standardization, product certification and information networks, and the introduction of quality management systems at the enterprise level. • An important component will be to estimate the losses and foregone benefits afforded by the Central American countries to enter harmonized markets because of difficulties to comply with their technical regulations and standards. • The Programme is being developed with relevant UN partner agencies will also be active partners. • With a budget of approximately US$ 5 million and a time span of three years, the programme is expected to significantly improve the access to market of products originating from the region, thus spurring economic growth and creating employment opportunities • Preparatory assistance funded by UNIDO • Programme finalized • Launching by Vice-Presidents 2002 ACTIONS

  18. Regional Programme for Arab Countries • Cooperation with AIDMO, ESCWA and UNDP • Focus on Regional Accreditation • Cooperation between standards bodies in Arab countries and in other regions • 2001 ACTIONS • Programme Finalization • Expected final approval (UNDP) Trade facilitation in Asia • The Programmes are based on UNIDO work in LDCs in Asia in 1998 • South-Asian LDCs • Mekong-basin countries • 2001 ACTIONS • Programme Formulation

  19. UNIDOs Conceptual framework|: the 3 Cs approach • UNIDOs TBT& SPS related programmes: an overview • SPS related case Study: Lake Victoria Project

  20. Case of Victorian Lake Fish industry Situation Before • Major fish industry (Nile perch) developed around Lake Victoria, shared by Tanzania 51%, Uganda 43% and Kenya 6% • Revenues from exports exceeded USD 200 million/year • Employment for almost 500.000 people • Favorable ground for local suppliers and complementary industries.

  21. Case of Victorian Lake Fish industry Effect of Lake Fish Poisoning • EU export ban imposed in 1999 • Fish exports dropped by 50% in Tanzania and Uganda • 30% of workers lost their jobs • Most of the fish factories closed or worked far below capacity

  22. Case of Victorian Lake Fish industry Challenge – Project Objectives • Identify immediate and structural deficiencies • Establish solid foundation for fish safety system • Lift the ban imposed by EU

  23. THE CHALLENGES – LAKE VICTORIA Appropriate strategy for risk analysis, management and communication Appropriate food control legislation (FAO) Coordination and monitoring mechanisms involving all the stakeholders GOVERNMENT (GENERAL) LEVEL INSTITUTIONAL FRAMEWORK LEVEL ENTERPRISE LEVEL (OPERATORS) CONSUMER LEVEL (MARKET)

  24. THE CHALLENGES – LAKE VICTORIA Inspection (regulations enforcement, system auditing and product certification, hazard identification and analysis) Support services: Testing analyses (GLP-accredit. ISO17025), training and certification bodies; etc. GOVERNMENT (GENERAL) LEVEL INSTITUTIONAL FRAMEWORK LEVEL ENTERPRISE LEVEL (OPERATORS) CONSUMER LEVEL (MARKET)

  25. THE CHALLENGES – LAKE VICTORIA GOVERNMENT (GENERAL) LEVEL Strengthening individual and collective awareness and skills of personal Implementing GHP and HACCP based programs with benchmarking mechanisms Implementing quality management systems INSTITUTIONAL FRAMEWORK LEVEL ENTERPRISE LEVEL (OPERATORS) CONSUMER LEVEL (MARKET)

  26. THE CHALLENGES – LAKE VICTORIA GOVERNMENT (GENERAL) LEVEL INSTITUTIONAL FRAMEWORK LEVEL Collectiveawareness through the media Education focusing on young generation through school programs Strengthening capacity of consumers organizations ENTERPRISE LEVEL (OPERATORS) CONSUMER LEVEL (MARKET)

  27. Case of Victorian Lake Fish industry Project Implementation • Integrated corrective actions taken by UNIDO in partnership with • Uganda National Bureau of Standards • Tanzania Bureau of Standards • Federation of Kenya Employers • Lake Victoria Fishers Cooperative • UNDP, WHO, FAO, DFID • 3 years, USD 4.6 million • Sources of funds: Austria, Denmark, Germany, Italy, Japan, UK, UNDP, UNIDO

  28. Case of Victorian Lake Fish industry Results achieved • Organizational and regulatory framework for fish industry improved, service capacity for fish inspection strengthened • Testing laboratories locally available and internationally recognized • In-plant group training carried out in 17 factories for 950 staff and critical mass of expertise provided to processing plants in GHP, HACCP, ISO 9000 • Quality control upgraded at all levels • EU ban lifted by the end of 2000 and new market in US opened

  29. Case of Victorian Lake Fish industry Lessons learned • Establishment of QMS and HACCP systems was essential for restarting fish export • Strengthening simultanuoesly local support institutions such as standardization bodies and testing houses, inspection and certification bodies was decisive to regain the EU market and get access to new markets • HRD was indispensable to upgrade technical skills of the fish processing plants and support institutions

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