Can AEO Accreditation Help Assist ACP Exporters Using Triangular Supply Chains in Overcoming Potential Brexit Related Trade Disruptions?

Summary

To date both EU and UK companies involved solely in intra-EU trade have seen little need to secure AEO status. However a desire to minimise Brexit  related trade disruptions is leading more companies to apply for AEO status. ACP exporters serving the UK market along triangular supply chains need to ensure their UK or EU27 partners have attained AEO status before 31st October 2019 in order to minimise their vulnerability to ‘no-deal’ Brexit related trade disruptions. Read more “Can AEO Accreditation Help Assist ACP Exporters Using Triangular Supply Chains in Overcoming Potential Brexit Related Trade Disruptions?”

SPS and Food Safety Issues Likely to be Central to US/UK Trade Negotiations

 

Summary
Ensuring the UK moves away from restrictive EU SPS requirements is likely to be central to the post-Brexit US-UK trade agreement negotiations. If the UK begins to move away from EU SPS and food safety control systems in relations with the US, this could open up new opportunities for ACP exporters whose market position is coming under increasing pressure from the EU’s new Plant Health Regulation, which is likely to come into force only after the UK is no longer part of the EU Customs Union and Single Market. While the citrus sector is the most obvious area where the ACP would have an interest in initiating dialogue with the UK over the SPS import requirements to be applied in the post Brexit period, a review of the UK’s Plant Health Information Portal suggests the initiation of an dialogue on the UK’s future SPS import requirements could prove useful in a range of other areas where increasingly strict EU wide import requirements are being imposed. Read more “SPS and Food Safety Issues Likely to be Central to US/UK Trade Negotiations”

Growth in Fairtrade sales in France good news for St Lucia but shift to dual certification is a constraint

 

Summary
Fairtrade banana sales in France have grown rapidly following the sourcing decisions by major supermarket chains’. St Lucian exporters are now seeking to target the French Fairtrade banana market in light of the Brexit related uncertainties. However the consumer trend towards dual certified Fairtrade/Organic bananas poses challenges for St Lucian exporters, given the absence of treatments for Black Sigatoka (black leaf streak) in wet tropical regions which are accepted by organic certifiers. This suggests the UK market will remain of considerable importance. This highlights the need for CARIFORUM leaders need to launch a political dialogue with UK on the need to retain both existing MFN banana sector tariff in the longer term and existing quota ceilings on reduced tariff access, determined on a pro-rata basis through the apportionment of existing bilaterally negotiated EU banana TRQs between the UK and EU27 market. In addressing the TRQ apportionment issue CARIFORUM leaders could usefully ally with political leaders in African banana exporting countries, who would be most severely impacted by the disruptions on EU27 markets which would follow on from any mismanagement of the apportionment of existing EU bilaterally negotiated banana TRQs. Read more “Growth in Fairtrade sales in France good news for St Lucia but shift to dual certification is a constraint”

Uganda Takes Steps to Improve Traceability Around SPS Export Controls

Summary
Steps to register exporters of horticulture products subject to stricter SPS requirements constitute a first step in ensuring continued access to the EU market. However ensuring new systems are effectively operated will be critical. It remains to be seen whether the resources can be mobilised in Uganda to enhance the effectiveness of the new regulatory framework being established. This is likely to prove critical to whether or not the recent growth in Ugandan horticulture exports to the EU can be sustained. Read more “Uganda Takes Steps to Improve Traceability Around SPS Export Controls”

Ghanaian Pre-emptive Export Ban on Chilli Peppers, Aubergines and other Leafy Vegetables May Be Just the Beginning

Ghanaian Pre-emptive Export Ban on Chilli Peppers, Aubergines and other Leafy Vegetables May Be Just the Beginning

Summary

In the face of increasingly strict EU SPS implementing regulations the Ghanaian government has introduced  a pre-emptive export ban on leafy vegetables. A comprehensive system based approach to pest controls is urgently needed in Ghana, with the South African Phytclean electronic compliance database scheme potentially offering a model for private sector initiatives and private/public sector partnership. Initiating a dialogue with the UK authorities in the context of on-going Continuity Agreement negotiations, on future UK SPS controls, could prove of value in the face of increasingly strict EU SPS controls. In a range of areas, given UK agro-climatic conditions and production conditions the UK authorities assess risks far lower than the EU as whole for a range of fruit and vegetable products of export interest to ACP countries. Securing a reduction in these UK-only SPS controls in line with agro-climatic conditions in the UK could open up new market opportunities for Ghanaian exporters. Read more “Ghanaian Pre-emptive Export Ban on Chilli Peppers, Aubergines and other Leafy Vegetables May Be Just the Beginning”

COLEACP Warning Highlights New EU Requirements for Retaining Access to EU Market for Chilli and Pepper Exports

Summary
COLEACP is offering support to ACP producers of chillies and pepper in getting to grips with new EU documentation requirements related to effective treatment against False Codling Moth infestations. While such initiatives are welcome the increasing commercial costs of compliance is likely to progressively squeeze smaller scale producers out of EU market supply chains. This is likely to be compounded by the ongoing EU review of the acceptable minimum residue levels for pesticides applied to a range of fruit and vegetable imports. Read more “COLEACP Warning Highlights New EU Requirements for Retaining Access to EU Market for Chilli and Pepper Exports”

South Africa-EU CBS Dispute Takes a New Twist

Summary
The discovery of the Citrus Black Spot (CBS) fungal infection in citrus imports from Tunisia could prove a game changer in terms of South African efforts to secure a reduction of the EU’s commercially costly CBS control requirements. This is likely to give added important to discussions with the UK on its’ future SPS control arrangements to be applied under ‘no-deal’ Brexit Continuity Agreements. Removing controls on a citrus specific infection in a context where the UK has no commercial citrus production, alongside a lifting of TRQ restrictions on South African duty free access to the UK market, could help unlock the currently stalled UK-SADC EPA Continuity Agreement negotiations. This would be particularly the case if such a move signalled the UK governments’ willingness to respond more broadly to the changed trade realities which a ‘no-deal’ Brexit will give rise to. Read more “South Africa-EU CBS Dispute Takes a New Twist”

UNCTAD Reviews Impact of Future UK MFN Policy on Low Income Developing Countries

Summary
The UNCTAD analysis highlights the central importance of future UK MFN tariffs to the value of any ‘rolled over’ ACP preferential access to the UK market. This is an important issue under both a ‘no-deal Brexit and a ‘hard Brexit’. This will require effective ACP lobbying of the UK government to retain in place existing MFN tariffs in areas of greatest interest to ACP exporters. In the country and product analysis undertaken by UNCTAD the importance of triangular trade flows to the UK via the Netherlands is neglected, with this trade also being adversely impacted by any changes in EU MFN tariffs. Read more “UNCTAD Reviews Impact of Future UK MFN Policy on Low Income Developing Countries”

Spanish Pressure for Application of Safeguards Against Imports of South Africa Citrus Fruit Increase Despite Evidence of National Nature of the Current Citrus Market Crisis

Summary
While Spanish citrus producers continue to press for safeguard measures against imports of citrus fruit from South Africa, EU data suggests the growth of imports from morocco and Egypt has been more significant than the growth in imports from South Africa. Furthermore EU data suggests declines in both EU citrus consumption and EU exports have had a far greater market effect than any increase in import volumes. EU data also suggests the current citrus market difficulties are specific to Spain, the only EU country where citrus prices are below the 5 year average. This strongly suggests that rather than restrictions on imports from South Africa, national action is required to strengthen the functioning of the citrus supply chains and eliminate unfair trading practices along citrus supply chains. Read more “Spanish Pressure for Application of Safeguards Against Imports of South Africa Citrus Fruit Increase Despite Evidence of National Nature of the Current Citrus Market Crisis”

CBS Control Challenge Yields Benefits for False Codling Moth Controls

 

Summary
The development of a systems based approach to pest and disease control for CBS is yielding benefits in terms of South African controls of False Codling Moth (FCM). EU FCM interceptions on imports from South Africa were down in 2018, with a far lower level of interceptions than other ACP exporters despite South Africa’s far higher volume of exports to the EU of potentially infected products. Calls for a ‘white list’ approach to FCM related import controls if adopted by the EU could free up scarce pest control resources for deployment in the most vulnerable areas. However development assistance support will be required to ensure small scale producers are not commercially disadvantaged by any moves over to a ‘white list’ approach. Given South Africa’s successful experience there would appear to be scope for the sharing of best pest-control practices across ACP exporters of vulnerable products. Read more “CBS Control Challenge Yields Benefits for False Codling Moth Controls”