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Highlights from USTR's Sanitary and Phytosanitary Report

On March 30, 2011, the Office of the U.S. Trade Representative transmitted to Congress its second annual 2011 Report on Sanitary and Phytosanitary (SPS) Measures. This report focuses on SPS measures1 that appear to be unscientific, unduly burdensome, discriminatory, or otherwise unwarranted and create significant barriers to U.S. exports.

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Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

U.S. Continues Efforts to Open Foreign Markets

The following are highlights from the report of continued U.S. efforts to remove SPS barriers in foreign markets:

Korea beef. In April 2008, the U.S. and Korea signed an agreement to reopen fully Korea’s market to U.S. beef and beef products. Following massive public protests, a commercial understanding was reached to temporarily limit U.S. exports of certain beef and beef products until Korean consumer confidence improves. USTR states achieving full market access for U.S. beef and beef products exports to Korea remains a top priority and the U.S. will continue to urge Korea to open its market. (See ITT's Online Archives or 03/31/11 news, 11033108, for BP summary.)

India dairy. Since 2003, India has imposed unwarranted SPS requirements on dairy imports asserting the presence of paratuberculosis in U.S. dairy. The SPS requirements have essentially precluded U.S. access to India’s dairy market, one of the largest in the world. The U.S. continues to maintain that India should not make elimination of this bacterium a condition for issuing a sanitary export certificate for U.S. dairy products.

European Union biotechnology. In 2006, a WTO panel found that the EU moratorium on approvals of U.S. biotechnology agricultural products, such as certain corn and soybeans varieties, and marketing prohibitions were inconsistent with WTO rules. This dispute remains unresolved. A large backlog of applications remains pending in the EU approval system, which has the effect of blocking U.S. exports of certain agricultural products. The U.S. continues to press the EU to improve its regulatory system to normalize biotech trade.

China beef, poultry. China has imposed an unwarranted zero tolerance limit for the presence of Salmonella, Listeria spp., and other pathogens in imported meat and poultry, on which the U.S. continues to engage with China. In 2003, China imposed a ban on U.S. live cattle, beef, and beef products due to the detection of a Bovine Spongiform Encephalopathy (BSE) positive animal in the U.S. In January 2011, U.S. and Chinese officials agreed to continue discussions on this issue in an effort to reach an agreement that would allow trade to resume.

Taiwan beef. Taiwan banned imports of U.S. beef and beef products following the detection of a BSE positive animal in the U.S. in 2003. In October 2009, the countries reached final agreement on a Protocol expanding market access for U.S. beef and beef products (for human consumption). However, after the Protocol entered into force, Taiwan’s legislature adopted an amendment that, in effect, banned imports of ground beef and certain offals and other beef products from the U.S. Taiwan also announced additional border and testing measures for beef imports. The U.S. Government will continue to urge Taiwan to open its market fully.

Mexico potatoes. Mexico continues to prohibit the shipment of U.S. fresh potatoes beyond a 26 kilometer zone along the U.S. and Mexico border. In December 2010, U.S. and Mexican officials agreed to explore approaches to resolve this issue, including thirdparty mediation. Since then, Mexico and the U.S. have agreed to resolve this issue under the auspices of the North American Plant Protection Organization (NAPPO) and have initiated the mediation process.

Successful Re-Opening of Foreign Markets for U.S. Exporters

The following are highlights from the report of successful U.S. challenges to foreign SPS measures:

Chile beef. Chile banned nearly all U.S. beef and beef products following the discovery of a cow that tested positive for BSE in the U.S. in 2003. In March 2011, the U.S. successfully negotiated a re-opening of the Chilean market to allow the importation of a full range of U.S. beef and beef products. (See ITT's Online Archives or 03/24/11 news, 11032358, for BP summary.)

Egypt beef. Citing concerns over BSE, Egypt banned most U.S. beef and beef products, with the exception of some boneless beef and beef products. In January 2011, Egypt agreed to allow the importation of a full range of U.S. beef and beef products.

China pork. In early 2009, China banned U.S. pork, pork products, and live swine due to unwarranted H1N1 influenza concerns. At the 2009 U.S.-China Joint Commission on Commerce and Trade (JCCT), China announced its intent to remove its H1N1 ban on pork products. In March 2011, China agreed to lift its H1N1-related import ban on U.S. swine as a result of an agreement with USDA to conduct H1N1 testing and certification. (See ITT's Online Archives or 12/23/10 news, 10122315, for BP summary.)

Colombia poultry. Colombia blocked exports of poultry and poultry products from a number of U.S. states due to concerns over avian influenza. In August 2010, after several years of negotiations, the Administration convinced Colombia to lift its import ban, and U.S. producers can now ship a broad variety of poultry and poultry products to Colombia.

Ecuador poultry. In 2007 and 2008, Ecuador banned imports of live poultry and poultry products from two major poultry producing states, Arkansas and West Virginia, due to unwarranted concerns over avian influenza. The Administration pressed Ecuador to remove its restrictions, which Ecuador eventually agreed to do in December 2010.

Russia poultry. Citing alleged safety concerns over certain commonly used disinfectants, Russia imposed a ban on the import of U.S. poultry and poultry products in January 2010. USTR and USDA negotiators reached an agreement with Russia that restored shipments to Russia in August 2010.

Identification of SPS-related Trade Barriers in Specified Countries

The report identifies and describes significant unwarranted SPS-related trade barriers currently facing U.S. exporters, along with U.S. Government initiatives to eliminate or reduce the impact of these barriers in the following countries:

ArgentinaKuwait
AustraliaMexico
BoliviaMorocco
BrazilNew Zealand
ChileNicaragua
ChinaNorway
ColombiaPeru
Costa RicaPhilippines
Dominican RepublicRussia
EcuadorSaudi Arabia
EgyptSingapore
El SalvadorSouth Africa
EthiopiaSouth African Development Community
European UnionSouth Korea
GuatemalaSri Lanka
Gulf Cooperation CouncilSwitzerland
HondurasTaiwan (Chinese Taipei)
Hong KongThailand
IndiaTurkey
IndonesiaUkraine
IsraelUnited Arab Emirates
JamaicaUruguay
JapanVenezuela
KazakhstanVietnam

1SPS barriers arise from measures applied by foreign governments on the grounds that they are necessary to protect human, animal, or plant life or health from risks arising from the entry or spread of pests, from plant-or animal-borne pests or diseases, or from additives, contaminants, toxins, or disease-causing organisms in foods, beverages, or feedstuffs. Examples of the SPS issues included in the report include food safety, animal and plant health, biotechnology, etc.

(See ITT's Online Archives or 03/31/11 news, 11033122, for BP summary announcing the availability of USTR's three trade barrier reports.)

USTR 2011 Report on SPS Measures is available here.

USTR fact sheet on SPS measures is available here.