Cocoa: a sweet value chain Find out how in today s global value chain, sanitary and phytosanitary capacity helps to make sure that cocoa plants are

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1 Cocoa: a sweet value chain Find out how in today s global value chain, sanitary and phytosanitary capacity helps to make sure that cocoa plants are free from pests and diseases and that chocolate is safe for consumers.

2 Agriculture and Agenda 2030 SDG 2: hunger, food security, nutrition and sustainable agriculture SDG 8: economic growth, employment and work SDG 10: inequalities within and among countries SDG 13: combatting climate change and its impacts SDG 15: protecting ecosystems and biodiversity SDG 17: strengthening global partnership for sustainable development STDF s vision: sustainable economic growth, poverty reduction, food security and environmental protection in developing countries

3 Recent outcomes in WTO on trade and development Agreement on Agriculture Nairobi decision on elimination of export subsidies Trade Facilitation Agreement streamlining border and transit procedures to reduce transaction costs SPS Agreement disciplines on unjustified maintenance of NTMs

4 SPS Agreement: objective Recognizing the right to protect human, animal, plant life or health Avoiding unnecessary barriers to trade

5 Key principles SPS measures should inter alia be: non discriminatory transparent not more trade restrictive than necessary science based (risk assessment) Members encouraged to harmonize or base national measures on international standards (Codex, IPPC, OIE) presumption of compliance

6 Opportunities Increase investment in SPS capacity (market access, higher incomes, jobs, economic growth, food security, poverty reduc on) raise awareness, mobilize resources, show results and impact Continue reducing SPS related trade costs (development/implementation of SPS measures), good regulatory practice, SPS e cert Further explore impact of private certification schemes (SMEs, cost, inspection) Shifts in delivery of SPS capacity building: Technical vs. institutional Value chain approaches vs. long term investments in food safety, animal and plant health systems

7 Standards and Trade Development Facility Global Partnership Increased capacity to implement international SPS standards to gain / maintain market access Coordination mechanism and knowledge hub among providers of SPS technical assistance to identify good practice, strengthen coherence, avoid duplication and enhance results Funding for development and implementation of 150+ innovative and collaborative projects that support compliance with international SPS requirements to gain and maintain market access

8 Successful public private cooperation for stronger phytosanitary controls in Uganda s flower sector Results highlights Numbers of interceptions on roses due to plant pests fell from 34 to less than 5. Livelihoods of 6,000 workers (80% women) secured as EU exports continue. Streamlined inspection export certification system and surveillance and monitoring of pests improved. No. of interceptions MoU between NPPO and Uganda Flower Exporters Association sustaining collaboration and longer term impact. Year

9 Boosting safe fruit and vegetable exports from Thailand and Viet Nam Results Better management of food safety risks within supply chain Improved access to higher value markets (domestic and export): vegetable cooperative obtained Organic Thailand certification. Increased sales (volume and value): onion cooperative in Viet Nam had 50% fewer produce rejections and increased incomes. Evaluation 2015 Project had significant and lasting impact on enhancing management of food safety risks within fruit and vegetable chains. Beneficiaries gained in terms of improved market access, higher incomes and lower levels of product rejections.

10 How does climate change influence the elaboration and implementation of SPS measures? Strengthening SPS systems helps to mitigate negative effects (early warning systems, quarantine, surveillance, inspection, diagnosis) Greater use of pesticides and veterinary drugs Changes in occurrence of chemical and microbiological hazards and in range, seasonality and incidence of plant and animal diseases/invasive species Higher temperatures => proliferation of foodborne disease bacteria such as Salmonella Increased cost of production => erosion of farmer s profit margins (e.g. cost of Tuta absoluta management up by $500 million if Tuta invades rest of world)

11 Reducing SPS related trade costs Trade costs in agriculture much higher than in manufacturing, affecting competitiveness (WB, AfT at Glance 2015) Outdated border procedures and red tape greater barrier to trade than tariffs (WB, ITC, etc.) Performance gap between health/sps agencies and others STDF research: focus on SPS controls for specific products (Article 8/Annex C of SPS Agreement) 30% 25% 20% 15% 10% 5% 0% Private sector % rate of satisfaction with selected border agencies (bottom quintile respondents)* Customs Quality and Standards Health/SPS Source: World Bank Logistics Performance Index

12 SPS border management: opportunities to reduce costs and enhance health protection Streamline/simplify regulations and procedures Implement risk based approaches (inspections) Improve transparency Improve coordination between SPS authorities and with customs Integrate SPS controls in national single windows Encourage participation of SPS authorities in national TF Committees, needs assessments, etc. STDF Film: Safe Trade Solutions

13 Facilitating Safe Trade: current STDF work STDF seminar on Electronic SPS Certification (June 2016) with UN/CEFACT Raised awareness of opportunities and challenges linked to implementing electronic SPS certification systems, especially in developing countries Identified good practice to help developing countries move from paperbased to automated SPS cross border trade procedures. STDF Briefing Note + background paper under preparation Good Regulatory Practice in the SPS area Discussion in STDF Working Group (20 21 October)

14 Join STDF s network Contribute to the STDF Trust Fund and fund projects to deliver impact Share SPS results, experiences and lessons at the STDF Working Group Access SPS information and tools on the website (STDF publications, briefing notes, factsheets, films) Browse the STDF Virtual Library Sign up for the latest STDF news STDFSecretariat@wto.org