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Raising National and Regional Standards to Improve Competitiveness: THE ROLE OF PRIVATE SECTOR

Dr. Stephen Mbithi discusses the role of the private sector in improving standards to enhance competitiveness in African horticulture. He highlights the experiences of Kenya in meeting international standards and the pros and cons of private standards. This presentation was given at the CTA/PIP/ACP Consultations in Brussels on May 11, 2009.

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Raising National and Regional Standards to Improve Competitiveness: THE ROLE OF PRIVATE SECTOR

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  1. Raising National and Regional Standards to Improve Competitiveness: THE ROLE OF PRIVATE SECTOR Dr Stephen Mbithi CEO: Fresh Produce Exporters Association of Kenya (FPEAK) Coordinating CEO: Horticultural Council for Africa (HCA) Africa Ambassador to GLOBALGAP Contacts: (info@fpeak.org) (+254722716956) Presentation to CTA/PIP/ACP Consultations: Brussels 11 May 2009

  2. Africa Horticulture – A Glance • Domestic and Export • Small scale and large scale Linkages • Exports: • Morocco, Ghana, Ethiopia, Kenya, South Africa • Kenya: • Largest number of small scale in export value chain • 150,000 farmers, 4.5 mil direct and indirect dependency • Large-Small scale linkages as a driving force: • 200 exporters for 150,000 growers • Standards Compliance – a Marketing strength

  3. Standards- Kenya Experience • Horticulture and Fish Sectors Standards Dependent on EU Directives • Horticulture: • At the farm level- Industry Standards • KenyaGAP/GlobalGAP, then BRC (HACCP) at pack-houses • Confirmatory official control checks • Exporter – Led Models • Other standards: environmental/social/labor etc • Certification – necessary at farm level • Official control systems - • Phytosanitary/quality (conformity etc) • Export certification- per batch. Kenya Plant Health Inspectorate Services (KePHIS) • Fish: • At firm level: Official control systems/industry code • Export Certification per batch . Official Company Registration/Permits

  4. Standards Compliance: KenyaGAP Experience • An Industry Code – Self Regulation • Meet Regulations and market expectations • Domestication of International Standards • Benchmarking to Market standards • Tough but worthy process • PIP support. Stakeholder collaboration • KenyaGAP in Domestic Market • Kenya Bureau of Standards Recognition/ Fruits and veges (Public Notice 2009) • Supermarkets in Kenya, and Municipal Markets • Overall aim: • Whole sector compliance, increased market access for domestic fresh produce.

  5. Private Standards- Pros and Cons • Market Access • A market access option for developing countries where official control systems are not fully developed. • Where developed- are private standards a duplication? • Harmonization by other means? • Buyers way of harmonizing standards? Creating predictability? Sorting public sector inaction? • Cf EU and USA requirements • Creating exclusivity? discouraging competition? • COSTS: • Certification Vs Compliance? • At 1000 euro per certificate per farm, overall certification costs in Kenya (150,000 farmers) would be higher than total hort exports. • Other viable options of attesting compliance?

  6. Industry Perspectives –Standards Compliance • Creating transparency and structured participatory structures • Participation in standards setting- developing countries • Reducing Duplications • Benchmarking to each other • GFSI/SQF/GLOBALGAP etc • Domestication/ Local interpretations • Base-standard approach • Combined checklists • Official Control Systems/Industry Standards • Coordination- thro protocols • Certification: batch/company…public/private

  7. Thank You info@fpeak.org www.fpeak.org

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