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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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slide2

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

slide3

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
slide4

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
slide5

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

slide7

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

slide8
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

slide9

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

slide10

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

slide11

UNIDOs Conceptual framework|: the 3 Cs approach

  • UNIDOs TBT& SPS related programmes: an overview
  • SPS related case Study: Lake Victoria Project
slide12

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
slide13

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

slide16

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

slide17

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

slide18

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
slide19

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.

slide20

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

slide21

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
slide22

UNIDOs Conceptual framework|: the 3 Cs approach

  • UNIDOs TBT& SPS related programmes: an overview
  • SPS related case Study: Lake Victoria Project
slide23

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.
slide24

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
slide25

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
slide26

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)

slide27

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)

slide28

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)

slide29

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)

slide30

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
slide31

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
slide32

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