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Slide 2 Module 2.2 – The World Trade
Organization
Objectives
Inform on the role and activities of the WTO
Create awareness of the international importance of WTO agreements
Create understanding of the mechanisms within the WTO for handling questions of food safety regulation within international trade
Slide 3 Module 2.2 – The World Trade
Organization
Content
Introduction to the WTO What is it? What are its objectives?
How does it function? The Uruguay Round Agreements
Establishment of the WTO The SPS and TBT Agreements
WTO mechanisms and how they have been used in relation to OTA limits in coffee
Slide 4 Module 2.2 – The World Trade
Organization
The Uruguay Round
Multilateral trade negotiations that took place 1986-1994
For the first time included liberalisation of agricultural products
Resulted in the establishment of the WTO
Slide 5 Module 2.2 – The World Trade
Organization
WTO Agreements
The 13 WTO Agreements are binding to all members of WTO
The agreements governing regulation of safety and quality of food in international trade are: Agreement on the Application of Sanitary and
Phytosanitary Measures (SPS) Agreement on Technical Barriers to Trade (TBT)
Slide 6 Module 2.2 – The World Trade
Organization
The SPS Agreement
Recognises the rights of Members to establish appropriate measures to protect: Human life and health Animal life and health Plant life and health
On the condition that SPS Measures are:
Non-discriminatory and not unnecessarily trade restrictive
Based on sound science and internationally-agreed risk analysis procedures
Slide 7 Module 2.2 – The World Trade
Organization
The SPS Agreement
Emphasises the following:
Harmonisation Science base Least trade
restrictiveness Recognition of
equivalence Transparency
Specifically recognises: Codex Alimentarius -
Food safety OIE - Animal health IPPC - Plant health
Stricter measures are allowed if justified by a
risk assessment
Slide 8 Module 2.2 – The World Trade
Organization
What are the SPS ‘tools’?
SPS contains transparency provisions Notification authorities Enquiry points
SPS committee meets twice yearly International forum for discussion
An effective dispute settlement mechanism exists within WTO
There are other relevant ‘tools’...
Slide 9 Module 2.2 – The World Trade
Organization
Other relevant ‘tools’
Membership and participation in international standardization bodies Codex Alimentarius food safety standards IPPC standards for phytosanitary standards OIE for zoosanitary standards
Opportunities for capacity building in developing countries in the area of food safety To promote effective participation of developing countries
in the elaboration of international standards To facilitate the development of a ‘whole chain’ approach
to ensuring food safety
Slide 10 Module 2.2 – The World Trade
Organization
What are the SPS rules?
According to the WTO SPS Agreement, food safety measures should: Be based on science Not be unnecessarily trade-restrictive Not discriminate arbitrarily between
Members Be based on Codex standards
NB – these apply to official measures
Slide 11 Module 2.2 – The World Trade
Organization
The TBT Agreement
Covers all technical regulations, voluntary standards and conformity assessment procedures except when these are covered by the SPS
Legitimate objectives include: National security Prevention of deceptive practices Human health Plant and animal health Environment Others
Slide 12 Module 2.2 – The World Trade
Organization
The TBT Agreement
Requires use of international standards (including Codex Alimentarius standards on food quality, labelling, etc.)
Except when such standards would be an ineffective or inappropriate means for the fulfilment of the legitimate objectives pursued
Slide 13 Module 2.2 – The World Trade
Organization
Summary
The WTO Agreements are binding to Member States
SPS and TBT Agreements cover animal, plant and human life and health
Requirement of the use of international standards, such as Codex
Good Hygiene Practices along the coffee chain
How have these ‘rules and tools’ of food safety regulation been used in the case of
OTA contamination of foods?
Module 2.2
Slide 15 Module 2.2 – The World Trade
Organization
Dealing with the OTA issue – the case of cereals
Within FAO/WHO food safety programme Code of practice for the prevention of mycotoxin
contamination in cereals (with annex on OTA reduction) adopted by Codex in July 2003
Re-evaluation of OTA carried out by JECFA in 2001 at request of Codex
Maximum level for OTA in some cereals is being considered by the Codex Alimentarius Commission
Discussions of need for a Codex Code of Practice for the reduction of OTA in coffee and cocoa initiated in April 2005
Slide 16 Module 2.2 – The World Trade
Organization
Dealing with the OTA issue
Within the EU Various task forces looking into levels of
exposure to OTA from selected commodities, including coffee
Considering, on the basis of available data, risk management options – including establishment of limits
Slide 17 Module 2.2 – The World Trade
Organization
EC harmonized control for mycotoxins
1998 - Aflatoxins: nuts, cereals, milk, spices 2002 - Ochratoxin A: cereals, raisins 2003 – Patulin: apple products 2004 – Aflatoxins and ochratoxin: baby foods
and foods for infants and young children 2004 - Ochatoxin A: roasted coffee, soluble
coffee, grape juice and wine 2005 – Ochratoxin A: decisions on whether to
proceed with maximum limits for green coffee, beer, cocoa and spices
Slide 18 Module 2.2 – The World Trade
Organization
OTA in coffee: involvement of WTO
17/06/2003 - Notification by Germany to WTO on intention to set maximum limits for OTA in instant and roasted coffee and other products (wine not included)
05/08/2003 - Addendum to Germany’s notification extending date for comments
22/10/2003 - Questions posed by Colombia to the EC regarding Germany’s notification through SPS Committee
12/02/2004 – EC Standing Committee on the Food Chain Toxicological Safety agrees to notify WTO of proposed maximum limits for OTA in roasted (5g/kg) and soluble coffee (10 g/kg), grape juice and wine (2 g/kg)
Slide 19 Module 2.2 – The World Trade
Organization
OTA in coffee: involvement of WTO
02/03/2004 – ‘Specific Trade Concerns’ reported over 2003 summarised by WTO Secretariat
08/03/2004 - Submission by Papua New Guinea to SPS Committee on German notification
15/03/2004 – Statement by Colombia regarding German notification at SPS Committee
18/05/04 – Reply of the EC to Statement by Colombia and Comments of Papua New Guinea
Slide 20 Module 2.2 – The World Trade
Organization
Green Roasted Instant
EU ? 5 10 Finland 5 5 5 Germany 3 6 Greece 20 - - Italy 8 4 4 Netherlands - 10 10 Portugal 8 4 4 Spain (8) 4 4 Czech Rep. 10 10 10 Hungary 15 10 10 Switzerland 5 5 5
All ppb
Existing national limits
Slide 21 Module 2.2 – The World Trade
Organization
Looking back…looking ahead
Decisions are being taken internationally that affect the coffee trade
Be informed of what is happening and influence the decision-making process!!!
Effective participation takes work… Collaboration and coordination Building scientific evidence
Be serious about national OTA prevention programme
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