. /.   WORLD TRADE  
ORGANIZATION  G/SPS/GEN/714 
12 July 2006 
 (06-3369) 
Committee on Sanitary and 
Phytosanitary Measures Original:   Spanish 
 
 
 
STATEMENT BY ECUADOR ON REGULATION (EC) NO. 258/97  
 
Statement by Ecuador at the Meeting  
of 27 and 28 June 2006  
 
  The following communication, received on 6 July 2006, is being circulated at the request of 
the delegation of Ecuador.  
_______________ 
 
 1. Ecuador would hereby like to express its  support for the statement by Peru 
(G/SPS/GEN/713). It also wishes to advise the Euro pean Communities that the impact study relating 
to the inclusion of what are known as "novel foods" under Regulation No. 258 is close to finalization. 
The preliminary phase of this study establishes that the implementation of this Resolution as it stands 
could have adverse economic and social repercussi ons on Ecuador's production system on at least two 
fronts:  an actual impact on exports which currently  enter the European Union and a potential impact 
on products which enter other markets, such as the Un ited States, but have as yet been unable to enter 
the European market and which afford considerable potential. 
2. With regard to actual economic impact, Central Bank of Ecuador export data show that, in 
2005, the products identified as nove l foods in this study represen ted approximately  US$67,504,330, 
US$504,000 of which correspond to primary products  and US$67 million to processed products.  
3. In spite of the fact that processed products, in  particular fruit juice and notably passion fruit 
concentrate, account for the largest share of export value, the exports most seriously affected are 
primary products, which have a high labour factor c ontent given that they are labour-intensive. This 
exacerbates the potential social impact of the implementation of the European Regulation on novel 
foods. 
4. Let us turn now to the social and productive imp act. If, in order to consider the possible social 
impact, a representative sample is taken of only fi ve primary products considered as novel foods -
abacá  (Manila hemp), naranjilla  (lulo or Quito orange), tomate de árbol  (tree tomato or tamarillo), 
chocho  (Andean lupin) and malanga  (cocoyam or taro) - and exports of these products are affected, a 
regressive impact would also be felt on the in come of around 38,538 agricultural production units 
which, according to the most recent agricultu ral census, directly depend on these crops.  
5. Consequently, these five products are sour ces of income for at least 38,538 head-of-
household farmers, each with an average of four direct dependents, and the social impact could 
therefore extend to some 154,000 people. 
6. Although health protection, as specified in the SPS Agreement, is a legitimate objective, it is 
inappropriate for requirements, tests and procedur es which are disproportionate in terms of time and G/SPS/GEN/714 
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  cost to be established for products which, merely b ecause of their origin or of different consumption 
habits, are subject to formalities and procedures which would be unnecessary in the normal course of trade. 
7. Finally, Ecuador wishes to thank the European Communities for all its efforts in this matter 
and to request that the comments made before th is Committee and any impact studies submitted with 
a view to reviewing this Regulati on be taken into consideration. 
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