Agricultural Gene Technology and Trade - International Agreements
- The WTO Agreements on Sanitary and Phytosanitary Measures (SPS) and Technical Barriers to Trade (TBT)
- Codex Alimentarius
- The Biosafety Protocol to the Convention on Biological Diversity
The WTO Agreements on Sanitary and Phytosanitary Measures (SPS) and Technical Barriers to Trade (TBT)
The SPS Agreement is one of the most significant outcomes of the Uruguay Round. For the first time since the General Agreement on Tariffs and Trade (GATT) was establishedin 1948, we have a set of rules governing the development and application of sanitary and phytosanitary measures. The SPS Agreement recognises the right of countries to take measures they consider necessary to protect plant, animal and human life and health. In exercising this right however, countries do have to ensure that the measures are:
- scientifically justified;
- based on an assessment of risks and no more than necessary; and
- non discriminatory and do not constitute a disguised restriction on trade.
Regulations relating to gene technology that apply to trade must meet these tests. The emphasis of the SPS Agreement is on scientific justification, risk assessment and consistency of approach to the determination of national measures. The Agreement also provides a major impetus to international harmonization by recognising the standards, recommendations and guidelines established by the Codex Alimentarius Commission on food safety matters as reference points for international trade and by encouraging countries to use international standards to the maximum extent possible.
The WTO Technical Barriers to Trade (TBT) Agreement is also relevant to regulation of products derived from gene technology. Many of the components of food standards are about product description, labelling/packaging requirements, trade practices, quality factors and consumer information. The TBT Agreement, like the SPS Agreement is binding on all signatories of the Uruguay Round. Article 2.2 of the Agreement states that "members shall ensure that technical regulations are not prepared, adopted or applied with a view to or with the effect of creating unnecessary obstacles to international trade. For this purpose, technical regulations shall not be more trade restrictive than necessary to fulfil a legitimate objective...". Some of the ‘legitimate objectives’ identified in the TBT agreement are prevention of deceptive practices, protection of human health and safety, animal or plant life or health, or the environment. The TBT and SPS Agreements are complementary and mutually reinforcing and together set the international framework covering both the safety and non safety aspects of standards and regulations. National measures affecting trade will need to be defensible in terms of the provisions of the SPS and TBT Agreements.
Codex Alimentarius
With the signing of the Uruguay Round, the work of the Codex Alimentarius Commission has gained new recognition and status. In terms of the WTO SPS Agreement, the Codex Alimentarius Commission is the internationally recognised standards setting body for food safety. Codex standards, recommendations and guidelines are recognised as international standards for the purposes of trade.
The objective of Codex standards is to protect the health of consumers and ensure fair practices in food trade. This is very much reflected in the structure of Codex standards. Codex is as much concerned about protecting the health of consumers as in protecting them from deceptive trade practices (adulteration, deceptive description etc). IndeedCodex has confirmed the pre-eminence of science in its standards setting process while recognising the need to take account of other legitimate factors, such as labelling, to achieve the objectives of health protection and fair practices in food trade. Codex has also been moving deliberately to apply the principles of risk analysis to its decision making.
It is also worth noting that Codex processes are open to public scrutiny both at the domestic and international levels. Codex Commission meetings are generally conducted in an open environment and, in recent years, the Organization has been making greater efforts to facilitate the participation of non governmental organizations in the Codex process. At the national level the Ministry of Agriculture, as the Codex Coordinator and Contact Point for New Zealand, has established an agreed national strategy on Codex matters that clearly recognises the role of science and risk analysis in international standards development. The New Zealand Codex Strategy has also sought to ensure that domestic consultative processes on all Codex matters are open and transparent and provide opportunities for non governmental agencies to have appropriate input.
At present there are no international standards or guidelines relating to foods derived from gene technology but Codex, which has the responsibility for this work, has started the process. The Codex Committee on Food Labelling, which has the responsibility for progressing this work, has circulated the draft proposals to member governments for comments. The Codex standards development process involves several rounds of comments and New Zealand, like other members, will have the opportunity to provide comments and influence the content and direction of the international standards/guidelines.
The Biosafety Protocol to the Convention on Biological Diversity
The global development of gene technology has led to demands for international regulations governing safety in the trade and use of genetically modified organisms (GMOs). The specific concern is that there should be a general procedure to ensure that importing countries are aware of any risks in using GMOs.
A protocol on biosafety is currently being negotiated under the United Nations Convention on Biological Diversity. The objective of the protocol will be to ensure the safe transfer, handling and use of living modified organisms (LMOs), specifically focussing on transboundary movement of any LMO resulting from modern biotechnology that may have adverse effects on the conservation and sustainable use of biological diversity, taking into account the risks to human health. Negotiations on the protocol are scheduled to be completed towards the end of 1998.
New Zealand is taking an active role in these negotiations and is continuing to develop its position as the negotiations evolve. As a country whose primary products are key exports, our broad interests would be best served by a protocol that:
- does not unnecessarily hinder research and development;
- facilitates the commercial availability of LMOs, while retaining the advantages of New Zealand's unique island environment; and
- is consistent with the principles of the WTO and our domestic biosafety legislation.
The protocol is scheduled to be completed by 1998. As a signatory to the Convention, New Zealand will be bound by the items ultimately included in the text, should we agree to ratify the protocol.
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