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UN Inter-Agency Workshop on Capacity Building/Development Geneva, 20-22 November 2002 UNIDO’S ACTIVITIES RELATED TO CAPACITY BUILDING IN THE FIELD OF MARKET ACCESS Presented by M r. B ernardo Calzadilla -Sarmiento Senior Advisor - UNIDO Office at Geneva

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UN Inter-Agency Workshop on Capacity Building/Development

Geneva, 20-22 November 2002

UNIDO’S ACTIVITIES RELATED TO CAPACITY BUILDING IN THE FIELD OF MARKET ACCESS

Presented by Mr. Bernardo Calzadilla-Sarmiento

Senior Advisor - UNIDO Office at Geneva

slide3

UNIDO’S ACTIVITIES RELATED TO CAPACITY BUILDING IN THE FIELD OF MARKET ACCESS

  • UNIDOs Integrated programme approach
  • UNIDOs Market AccessConceptual framework: the 3 Cs approach
  • SPS related case Study: Lake Victoria Project
slide4

THE INTEGRATED PROGRAMME APPROACH

UNIDO INTEGRATED PROGRAMMES (IPs) aim at improving industrial competitiveness and thereby contribute to poverty reduction. To optimise the chances of achieving this, the focus of integration is at the level of the UNIDO Service Modules selected for the programme, as well as at the level of donor mechanisms, national counterparts and other development activities in the country or region.

slide5

Service Module Approach

Industrial Governance and statistics

Investment and technology promotion

Quality and productivity

Small business development

Agro-industries

Industrial energy and Kyoto Protocol

Montreal Protocol

Environmental Management

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ECONOMY

SID

…..grouped in “3Es”:

The 8 Service Modules

ECONOMY

  • “Competitive Economy” - or

Making Industry more Efficient

  • “Sound Environment” - or

Environmentally Friendly Industry

ENVIRONMENT

  • “Productive Employment” - or

Promoting Employment in Industry

EMPLOYMENT

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SOUND

ENVIRONMENT

Environmentally friendly industry

COMPETITIVE ECONOMY

Making industry more efficient

Integrated

Packages

of Services

PRODUCTIVE EMPLOYMENTPromoting employment in industry

L

E

V

E

L

OF

I

N

T

E

R

V

E

N

T

I

O

N

POLICY

Industrial Governance & Statistics

Industrial Energy & Kyoto Protocol

Small Business Development

INSTITUTIONAL

Quality & Productivity

Investment & Technology Promotion

Environmental Management

Agro-Industries

ENTERPRISE

Montreal Protocol

slide8

UNIDO’S ACTIVITIES RELATED TO CAPACITY BUILDING IN THE FIELD OF MARKET ACCESS

  • UNIDOs Integrated programme approach
  • UNIDOs Market Access conceptual framework:
  • the 3 Cs approach
  • SPS related case Study: Lake Victoria Project
slide9

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

They have to adapt to the multilateral trading system

slide10

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

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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

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“Countries must have

marketable products to sell”

Pre-conditions for Market Access –

The Main Problem Areas

  • “Products must

meet market/client requirements”

  • “Rules for trade, customs

must be harmonized”

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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

slide15

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

slide16

UNIDO’S ACTIVITIES RELATED TO CAPACITY BUILDING IN THE FIELD OF MARKET ACCESS

  • UNIDOs Integrated programme approach
  • UNIDOs Market AccessConceptual framework: the 3 Cs approach
  • Capacity Building: Lake Victoria Project
slide17

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.
slide18

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
slide19

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
slide20

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)

slide21

THE CHALLENGES – LAKE VICTORIA

Inspection (regulations enforcement, system auditing and product certification,

hazard identification and analysis)

Support services: Testing analyses (GLP-accredit. ISO17025), standardization, metrology, training and

certification bodies; etc.

GOVERNMENT (GENERAL) LEVEL

INSTITUTIONAL FRAMEWORK LEVEL

ENTERPRISE LEVEL (OPERATORS)

CONSUMER LEVEL (MARKET)

slide22

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)

slide23

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)

slide24

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
slide25

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
slide26

Case of Victorian Lake

Fish industry

Lessons learned

  • Building up the competent authority and establishing QMS and HACCP systems was essential for restarting fish exports.
  • 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.
  • A CONCERTED INTER-AGENCY STRATEGY INVOLVING ALL STAKEHOLDERS WAS INDISPENSABLE TO ACHIEVE IMPACT