Ahmad Mukhtar Economist -Trade and Food Security, FAO Liaison Office Geneva Materials of the workshop on Resolving agricultural trade issues through the WTO organized by FAO in collaboration with Ukraine’s Ministry of Agrarian Policy and Food of Ukraine in Kyiv on June 7, 2017. http://www.fao.org/economic/est/est-events-new/wtokiev/en/ http://www.fao.org/europe/news/detail-news/en/c/892730/

1. 1
Standards and related issues in the
WTO Agreement on SPS and TBT
Ahmad Mukhtar [Economist - Trade and Food Security]
FAO Liaison Office Geneva, Switzerland
June 2017
With due credit to the WTO Secretariat for using their material in this presentation

2. 0
5
10
15
20
25
30
35
40
1947 GATT
Established
1962 Pre-Kennedy
Round
1972 Post-Kennedy
Round
1987 Post-Tokyo
Round
1995 Post-Uruguay
Round
AVERAGETARIFF,%
Overall, import weighted tariff on
industrial products
2
≈ 40%
> 4%

3. Trend…
3
%
20171947
?

4. Non-tariff Measures (NTMs)
4
Technical barriers to trade
Sanitary and phytosanitary
measures
Trade in
services
Government purchase
Quantitative restrictions
Subsidies
Trade-related intellectual
Property rights

5. Difference between..
SPS Measures
Human or Animal health from food-
borne risks
Human health from animal or plant-
carried diseases
Animal and plants from pests or
diseases
TBT Measures
Human disease control (non-food safety)
Nutritional claims
Food packaging and quality
5

6. Difference between SPS and TBT
HOWEVER:
A regulation/legislation could consist of two components:
◦ One falling under the SPS Agreement
◦ Another falling under the TBT Agreement
Example:
This regulation defines the quality, safety, packaging and labelling
requirements for fresh domestic and imported blackberries for consumption in
country X .
6

7. Agreement on Technical Barriers to Trade
It applies to all goods ....
◦ technical regulations (mandatory)
◦ standards (voluntary)
◦ conformity assessment procedures
7
TBT
SPS
But: its provisions do not apply to sanitary
or phytosanitary (SPS) measures

8. Agreement on Sanitary and Phytosanitary
Measures (SPS)
8
The right to protect
human, animal
or plant life or
health
Avoiding
unnecessary
barriers to trade

9. Main Provisions of the SPS Agreement
1. Non-discrimination
2. Scientific justification
• harmonization
• risk assessment
• consistency
• least trade-restrictiveness
3. Equivalence
4. Regionalization
5. Transparency
6. Technical assistance/special treatment
7. Control, inspection and approval procedures
9

10. SPS Measures: Definition - Annex A
10
Human or risks arising from additives,
animal health contaminants, toxins or disease
organisms in food, drink, feedstuff
A measure taken to protect:
Human life plant- or animal-carried diseases
Animal or pests, diseases, disease-causing
plant life organisms
A country other damage caused by entry,
establishment or spread of pests
from
from
from
from

11. SPS Agreement - Basic Right: Article 2.1
11
“Members have the right to take sanitary
and phytosanitary measures necessary
for the protection of human, animal or
plant life or health, provided that such
measures are not inconsistent with the
provisions of this Agreement”

12. Non-discrimination: Article 2.3
No unjustifiable discrimination
◦ between Members with similar conditions
◦ between own territory and other Members
12

13. Scientific justification: Article 2.2
13
Members
shall
ensure
that any
SPS
measure
is:
applied only to the extent necessary
to protect human, animal or plant
life or health (least trade restrictive)
based on scientific principles
not maintained without
sufficient scientific evidence
except as provided for in Article 5.7

14. Scientific Justification: Articles 3 & 5
14
Measures must be based on
International Standards
Risk Assessment

15. Scientific justification, Harmonization: Article 3
15
Standard-setting organizations
food safety
CODEX
plant health
IPPC
animal health
OIE
Codex = Joint FAO/WHO Codex Alimentarius Commission
OIE = World Organization for Animal Health
IPPC = International Plant Protection Convention (FAO)

16. Scientific justification, Risk Assessment: Article 5.1
Members shall ensure that their SPS measures are based on
◦ an assessment, as appropriate, of the risks to human, animal or plant life or
health,
◦ taking into account risk assessment techniques developed by the relevant
international organizations.
16

17. Scientific justification, Consistency: Article 5.5
Members shall
17
avoid arbitrary distinctions
in appropriate level of SPS protection
(ALOP) considered in different
situations
if distinctions result in discrimination or
disguised restrictions on trade

18. Scientific justification
Least trade restrictive: Article 5.6
Once have determined the NEED for
an SPS measure
AND
Have determined the LEVEL of protection needed
must select
Least-trade restrictive measure
(technically and economically feasible)
to achieve level of health protection
18

19. Members may provisionally adopt SPS measures
 when relevant scientific information is insufficient
 on the basis of available information
In such circumstances, Members shall
 seeks to obtain additional information to assess risk
 review the measure within a reasonable period of time
19
Scientific justification
Exception: Provisional measures Article 5.7

20. Equivalence
Article 4
Members shall
20
accept SPS measures of
other Members as equivalent
If the exporting country objectively
demonstrates that its measures achieve the
ALOP of the importing country

21. Pest- or disease-free areas
Article 6 (Regionalization)
21
“area”
all of a country part of a country all or parts of
several countries
WTO DS 475: Russia-Pigs case

22. Transparency
Article 7 & Annex B
22
Members shall
establish an Enquiry Point
AND
designate a Notification Authority
notify other Members of new or changed
SPS regulations when
no international standard exists
OR
the new regulation is different than the
international standard
regulation may have
significant effect on
trade
AND

23. 23
Special & Differential Treatment and Technical Assistance
Articles 9 & 10
Members...
• ...shall take account of the special needs of
developing countries
• ...should accord longer time frames for
compliance
• ...agree to facilitate provision of Technical
Assistance

24. Transparency in the SPS Agreement
Main Elements
OBLIGATIONS
1. Designation of notification authority
2. Establishment of enquiry point
3. Notification of draft regulations
4. Publication of regulations
BEYOND OBLIGATIONS
Taking advantage of transparency
24
SPS Agreement:
Article 7
Annex B
G/SPS/7/Rev.3

25. Allow 60 days
comment period !
Notification of draft SPS regulations:
When to notify?
Regular measures
Draft text
When modifications are
still possible !
Emergency measures IMMEDIATELY !

26. Cooperation WTO AGCD - FAO
Agriculture
FAO observer organization
Implementation of the NFIDC Decision
Data for “Members participation in normal growth of world trade in ag products”
document
AMIS
SPS
FAO Observer organization
Codex and IPPC
STDF
Various ad hoc activities incl. training, projects

27. Questions-Comments
ahmad.mukhtar@fao.org
Tel: +41-22-9172777
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